Notes to SEFA
Accounting Policies: 1. BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards include the federal grant activity of theCity of El Reno (the City), under programs of the federal government for the year ended June 30, 2022.The information in the schedule of expenditures of federal awards is presented in accordance with therequirement of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements,Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedulepresents only a selected portion of the operations of the City, it is not intended to and does not present thefinancial position, changes in net assets or cash flows of the City.2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown onthe Schedule represent adjustments or credits made in the normal course of business to amounts reportedas expenditures in prior years. The expenditures are recorded upon the disbursement of funds that meetfederal award requirements.3. INDIRECT COST RATEThe City had no indirect costs charged to the federal grants during the year ended June 30, 2022 and electednot to use the de minimus rate of 10%.4. SUBSEQUENT EVENTSThe City has evaluated the effects of all subsequent events from June 30, 2022, throughJanuary 23, 2023, the date the SEFA was available to be issued, for potential recognition or disclosure inthis SEFA. The City is not aware of any subsequent events which would require recognition or disclosurein the SEFA.7
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.