Notes to SEFA
Accounting Policies: NOTE 1. BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity ofHampton County, South Carolina (the County), and is presented on the accrual basis of accounting.The County reporting entity is defined in Note 1 of the Countys basic financial statements.The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Codeof Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, andAudit Requirements for Federal Awards. Therefore, some amounts presented in the schedule maydiffer from amounts presented in, or used in the preparation of, the basic financial statements.NOTE 2. SIGNIFICANT ACCOUNTING POLICIESMeasurement FocusThe determination of when an award is expended is based on when the activity related to the awardoccurred.Program Type DeterminationType A programs are defined as federal programs with federal expenditures exceeding the larger of$750,000, or 3% of total federal expenditures. The threshold of $750,000 was used in distinguishingbetween Type A and Type B programs.Method of Major Program SelectionThe risk-based approach was used in the selection of federal programs to be tested as majorprograms. The County did not qualify as a low-risk auditee for the fiscal year ended June 30, 2022.De-Minimis Indirect Cost RateDuring 2022, the County did not use the de-minimis indirect cost rate.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.