Title: Note (3) RELATIONSHIP TO THE BASIC FINANCIAL STATEMENTS
Accounting Policies: Note (1)GENERALThe accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of the federal award programs of the City of San Jose, California (the City). The Citys reporting entity is defined in Note I to its basic financial statements. The SEFA includes all federal awards received directly from federal agencies and federal awards passed-through other governmental agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate. Note (2) BASIS OF PRESENTATIONThe accompanying schedule is presented using the modified accrual basis of accounting for program expenditures accounted for in the governmental funds and the accrual basis of accounting for program expenditures accounted for in the proprietary funds as described in Note I to the Citys basic financial statements. The City did not elect to use the 10% de minimis cost rate as covered in U.S. Code of Federal Regulations, Title 2 section 200.414 Indirect (F&A) costs.For reimbursable grants, the City recognizes revenues commencing on the date of grant approval (provided all eligibility requirements are met) since this is when the City is eligible to claim expenditures for reimbursements. Pass-through entity identifying numbers are presented where available.
Expenditures of federal awards are reported in the Citys basic financial statements as expenditures in the general, special revenue, and capital projects funds and as expenses for non-capital expenditures and as additions to capital assets for capital related expenditures in the enterprise funds. Federal award expenditures agree or can be reconciled with the amounts reported in the Citys basic financial statements.During the year ended June 30, 2022, the City discovered overages related to two Department of Housing & Urban Development grants as well as one Department of Labor grant. These overages were caused by overestimating accruals in the year ended June 30, 2021. As a result, this caused the following grant projects to be negative in year ended June 30, 2022: B17-MC-06-0021 ($1,300), M18-MC-06-0215 ($291,084), and 002-1168-20 ($115).During the year ended June 30, 2022, the City discovered overages related to the Homeland Security Program Grant Number FEMA-4308-DR. The excess expenditures, in the amount of $379,263, were reimbursed from insurance proceeds, however, they were reported on the SEFA in previous years, and are reported as a negative amount in the SEFA for the year ended June 30, 2022.
Title: Note (4) INTERNET CRIMES AGAINST CHILDREN (ICAC) GRANT
Accounting Policies: Note (1)GENERALThe accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of the federal award programs of the City of San Jose, California (the City). The Citys reporting entity is defined in Note I to its basic financial statements. The SEFA includes all federal awards received directly from federal agencies and federal awards passed-through other governmental agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate. Note (2) BASIS OF PRESENTATIONThe accompanying schedule is presented using the modified accrual basis of accounting for program expenditures accounted for in the governmental funds and the accrual basis of accounting for program expenditures accounted for in the proprietary funds as described in Note I to the Citys basic financial statements. The City did not elect to use the 10% de minimis cost rate as covered in U.S. Code of Federal Regulations, Title 2 section 200.414 Indirect (F&A) costs.For reimbursable grants, the City recognizes revenues commencing on the date of grant approval (provided all eligibility requirements are met) since this is when the City is eligible to claim expenditures for reimbursements. Pass-through entity identifying numbers are presented where available.
The following schedule represents expenditures and revenues for the Internet Crimes Against Children Task Force Program from the U.S. Department of Justice and the California Governors Office of Emergency Services (CalOES) for the year ended June 30, 2022. Federal funding of the program is reported under assistance number 16.543.
Title: Note (5) PROGRAM TOTALS
Accounting Policies: Note (1)GENERALThe accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of the federal award programs of the City of San Jose, California (the City). The Citys reporting entity is defined in Note I to its basic financial statements. The SEFA includes all federal awards received directly from federal agencies and federal awards passed-through other governmental agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate. Note (2) BASIS OF PRESENTATIONThe accompanying schedule is presented using the modified accrual basis of accounting for program expenditures accounted for in the governmental funds and the accrual basis of accounting for program expenditures accounted for in the proprietary funds as described in Note I to the Citys basic financial statements. The City did not elect to use the 10% de minimis cost rate as covered in U.S. Code of Federal Regulations, Title 2 section 200.414 Indirect (F&A) costs.For reimbursable grants, the City recognizes revenues commencing on the date of grant approval (provided all eligibility requirements are met) since this is when the City is eligible to claim expenditures for reimbursements. Pass-through entity identifying numbers are presented where available.
The following table summarizes programs funded by various sources or grants whose totals are not shown on the SEFA: Federal Grantor/ Pass-Through Entity/ Federal Program TitleAssistance Listing NumberFederal ExpendituresWIOA ClusterWIOA Adult ProgramPassed through California Employment Development Department17.258 $2,503,011 Passed through City of Sunnyvale17.258 653 Passed through Npower Inc.17.258 509 Subtotal WIOA Adult Program 2,504,173 WIOA Youth Activities17.259 1,991,973 WIOA Dislocated Worker Formula Grants17.278 1,879,551 Total WIOA Cluster $6,375,697 Workforce Investment Act (WIA) National Emergency GrantsPassed through California Employment Development Department17.277 $25,816 Passed through City of Sunnyvale17.277 334,734 Total WIA National Emergency Grants $360,550 Highway Planning and Construction ClusterHighway Planning and ConstructionPassed through California Department of Transportation20.205 $954,408 Passed through Metropolitan Transportation Commission20.205 2,469,657 Subtotal Highway Planning and Construction 3,424,065 Recreational Trails ProgramPassed through California Department of Transportation20.219 379,517 Total Highway Planning and Construction Cluster $3,803,582 COVID-19 Coronavirus State and Local Fiscal Recovery FundsDirect from U.S. Department of Treasury21.027 $104,681,996 Passed through California Department of Community Services & Development21.027 4,348,501 Passed through California Water Resources Control Board21.027 560,381 Total COVID-19 Coronavirus State and Local Fiscal Recovery Funds $109,590,878