Notes to SEFA
Accounting Policies: (1) GENERAL INFORMATIONThe accompanying schedule of expenditures of federal awards presents the activities in all of the federalfinancial assistance programs of PVCC. All financial assistance received directly from federal agencies as wellas federal financial assistance passed through other governmental agencies or nonprofit organizations areincluded on the schedule.(2) BASIS OF ACCOUNTINGThe accompanying schedule of expenditures of federal awards is presented using the accrual basis ofaccounting. The amounts reported in this schedule as expenditures may differ from certain financial reportssubmitted to federal funding sources on either a cash or modified cash basis of accounting.(3) RELATIONSHIP TO BASIC FINANCIAL STATEMENTSFederal awards expenditures are reported on the statements of activities and functional expenses. In certainprograms, the expenditures reported in the basic financial statements may differ from the expenditures reportedin the schedule of expenditures of federal awards, because program expenditures exceeding grant or contractbudget limitations are not reflected on the schedule of expenditures of federal awards.(4) INDIRECT COSTSPVCC has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.