Notes to SEFA
Title: Note 2- Summary of Significant Accounting Policies
Accounting Policies: The accompanying schedule of expenditures of federal awards includes thefederal award activity of Hancock County School District under programs of thefederal government for the year ended June 30, 2022. The information in thisschedule is presented in accordance with the requirements of Title 2 U.S. Codeof Federal Regulations Part 200, Uniform Administrative Requirements, CostPrinciples, and Audit Requirements for Federal Awards (Uniform Guidance).Because the schedule presents only a selected portion of the operations ofHancock County School District, it is not intended to and does not present thefinancial position, changes in net position, or cash flows of Hancock CountySchool District.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Expenditures reported on the schedule are reported on the modified accrualbasis of accounting. Such expenditures are recognized following the costprinciples contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Negativeamounts shown on the schedule represent adjustments or credits made in thenormal course of business to amounts reported as expenditures in prior years.