Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the Schedule) includes thefederal award activity of Independent School District No. 595 under programs of the federalgovernment for the year ended June 30, 2022. The information in this schedule is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Because the Schedule presents only a selected portion of the operations ofIndependent School District No. 595, it is not intended to and does not present the financialposition or changes in net position of Independent School District No. 595.
Title: Child Nutrition Cluster
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Cash receipts from the U.S. Department of Agriculture through the Minnesota Department ofEducation are included in revenues from federal sources. It is assumed that federal funds areexpended first.
Title: Commodity Distribution
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Program regulations do not require the District to maintain separate inventory records forpurchased food and food received from the U.S. Department of Agriculture. This non-monetaryassistance (expenditures) is reported in the Schedule at the fair market value of thecommodities received.
Title: Matching Requirements
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Certain Federal programs require that the District contribute non-federal fund (matching funds)to support the Federally-funded programs. The District has complied with the matchingrequirements. The expenditure of non-federal matching funds is not included on the Schedule.
Title: Pass-Through Entities
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
All pass-through entities listed on the previous page use the same AL numbers as the federalgrantors to identify these grants, and have not assigned any additional identifying numbers.
Title: Subrecipients
Accounting Policies: Expenditures reported on the Schedule are reported under generally accepted accountingprinciples (U.S. GAAP). Such expenditures are recognized following the cost principlescontained in the Uniform Guidance, wherein certain types of expenditures are not allowable orare limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The District did not pass any federal money to subrecipients.