Notes to SEFA
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. 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. No federal awards were expended in the form of noncash assistance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate. The United States Department of Agriculture has approved a maximum provisional indirect cost rate of 19.58%. The Association recovers indirect costs at the maximum rate of 19.58% under federal programs that allow full indirect cost reimbursement, and recovers indirect costs at varying rates below 19.58% on other federal programs that do not allow full indirect cost recovery. Total indirect costs recovered under all federal programs were $198,898 for the year ended September 30, 2022.