Title: NOTE A - BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Countys financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: For purposes of charging indirect costs to federal awards, the County has not elected to use the 10 percent de minimis cost rate as permitted by ?200.414 of the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Tuscola County, Michigan (the County) under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirements 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 Schedule presents only a selected portion of the operations of the County, it is not intended to and does not present the financial position, changes in net position, or cash flows of the County.The Countys reporting entity is defined in Note 1 of the Countys Audited Financial Statements. The Countys financial statements include the operations of the Tuscola County Health Department (9/30/2022), Tuscola County Medical Care Facility, and the Tuscola County Road Commission, which received federal awards that are not included in the Schedule for the year ended December 31, 2022, as these entities were separately audited from the County.
Title: NOTE C - UNITED STATES DEPARTMENT OF AGRICULTURE LONG-TERM DEBT
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Countys financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: For purposes of charging indirect costs to federal awards, the County has not elected to use the 10 percent de minimis cost rate as permitted by ?200.414 of the Uniform Guidance.
The County has outstanding loans under the United States Department of Agriculture (USDA) Water and Waste Disposal Systems for Rural Development Communities totaling $3,956,209 as of December 31, 2022.
Title: NOTE D - RECONCILIATION TO FINANCIAL STATEMENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Countys financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: For purposes of charging indirect costs to federal awards, the County has not elected to use the 10 percent de minimis cost rate as permitted by ?200.414 of the Uniform Guidance.
A reconciliation of the amounts presented in the Schedule to the amounts presented in the financial statements is as follows: Intergovernmental revenues reported in the financial statements:Governmental funds $19,550,393 Business-type activities 4,672,257 Component units 16,236,890 Total intergovernmental revenue 40,459,540 Subtract separately audited entities:Tuscola County Health Department (09/30/2022) (3,368,178)Tuscola County Medical Care Facility (4,672,257)Tuscola County Road Commission (16,236,890)Subtract state and local sources: (5,142,997)Total expenditures of federal awards:$11,039,218