Notes to SEFA
Accounting Policies: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting: The accompanying schedule of expenditures of federal awards (the Schedule) is presented on the accrual basis of accounting. Consequently, amounts are recorded as expenditures when the obligations are incurred. 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Cost Principles: Federal expenditures were recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance).
De Minimis Rate Used: N
Rate Explanation: The auditee did not elect to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance as the Association has a negotiated indirect cost rate with the federal government.