Notes to SEFA
Title: Note 3. Donated Personal Protective Equipment (PPE) (Unaudited)
Accounting Policies: Note 1. Summary of Significant Accounting PoliciesThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes thefederal award activity of the City of Gardner, Massachusetts (the City) under programs of thefederal government for the year ended June 30, 2022. The information in the Schedule ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations(CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirementsfor Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of the City, it is not intended to and does not present the financialposition, changes in net position, or cash flows of the City.Expenditures reported on the Schedule are reported on the modified accrual basis ofaccounting. Such expenditures are recognized following the cost principles contained in theUniform Guidance, wherein certain types of expenditures are not allowable or are limited toreimbursement.The amounts reported for the National School Lunch Program NonCash Assistancerepresent the fair value of commodities received.Expenditures awarded from the Federal Emergency Management Agency (FEMA), must bepresented on the Schedule when; 1) FEMA has approved the Citys project worksheet (PW)and 2) the City has incurred the eligible expenditures. The $103,669 reported for DisasterGrants Public Assistance (Presidentially Declared Disasters), AL 97.036, representsexpenditures incurred in prior years that were approved by FEMA during fiscal year 2022.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
During fiscal year 2022, the City did not receive donated PPE from federal sources.
Title: Note 4. Subrecipients
Accounting Policies: Note 1. Summary of Significant Accounting PoliciesThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes thefederal award activity of the City of Gardner, Massachusetts (the City) under programs of thefederal government for the year ended June 30, 2022. The information in the Schedule ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations(CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirementsfor Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of the City, it is not intended to and does not present the financialposition, changes in net position, or cash flows of the City.Expenditures reported on the Schedule are reported on the modified accrual basis ofaccounting. Such expenditures are recognized following the cost principles contained in theUniform Guidance, wherein certain types of expenditures are not allowable or are limited toreimbursement.The amounts reported for the National School Lunch Program NonCash Assistancerepresent the fair value of commodities received.Expenditures awarded from the Federal Emergency Management Agency (FEMA), must bepresented on the Schedule when; 1) FEMA has approved the Citys project worksheet (PW)and 2) the City has incurred the eligible expenditures. The $103,669 reported for DisasterGrants Public Assistance (Presidentially Declared Disasters), AL 97.036, representsexpenditures incurred in prior years that were approved by FEMA during fiscal year 2022.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Of the federal expenditures presented in the Schedule, the City did not provide federal awards to subrecipients.