Notes to SEFA
Accounting Policies: Note 1. Basis of PresentationThe accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of theNorth Scott Community School District under programs of the federal government for the year endedJune 30, 2022. The information in this schedule is presented in accordance with the requirements of Title2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, andAudit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only aselected portion of the operations of North Scott Community School District, it is not intended to and doesnot present the financial position, changes in net position or cash flows of North Scott Community SchoolDistrict.Note 2. Summary of significant accounting policiesExpenditures reported on the Schedule of Expenditures of Federal Awards are reported on the modifiedaccrual or accrual basis of accounting based on the fund-type of the program. Such expenditures arerecognized following the cost principles contained in Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presentedin this schedule may differ from amounts presented in or used in the preparation of the basic financialstatements. Revenue from federal awards is recognized when the District has done everythingnecessary to establish its right to revenue. For governmental funds, revenue from federal awards isrecognized when it is both measurable and available. Expenditures of federal awards are recognized inthe accounting period when the liability is incurred.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.