Audit 51255

Accounting Policies: 1. GENERALThe Schedule of Expenditures of Federal Awards presents the activity of all applicable federal award programs ofAcademy Independent School District. The District's reporting entity is defined in Note l of the basic financialstatements. Federal awards received directly from federal agencies, as well as federal awards passed through othergovernment agencies, are included on the Schedule of Expenditures of Federal Awards.2. BASIS OF ACCOUNTINGThe Schedule of Expenditures of Federal Awards is presented using the modified accrual basis of accounting.Awards are presented using the modified accrual basis of accounting. The District's significant account policies,including the modified accrual basis of accounting, are presented in Note I of the basic financial statements. Theinfonnation in the schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Unifonn Guidance). Therefore, some of the amounts presented in this schedule may differ from amountspresented in, or used in the preparation of, the financial statements.3. PASS-THROUGH EXPENDITURESNone of the federal programs expended by the District were provided to sub-recipients. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.