Audit 52149

Accounting Policies: 1.REPORTING ENTITY The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal financial assistance programs of Shasta Valley Resource Conservation District, California (District). The Districts reporting entity is defined in Note 1 to the Districts basic financial statements. All federal awards received directly from federal agencies as well as federal awards passed through other government agencies are included on the Schedule of Expenditures of Federal Awards. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net position or cash flows of the District. 2.BASIS OF ACCOUNTING Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The accompanying Schedule of Expenditures of Federal Awards, is presented using the accrual basis of accounting for grants accounted for in the proprietary fund types, as described in the notes to the District financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursements. 3.INDIRECT COST RATE The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. 4.RELATIONSHIP TO FEDERAL FINANCIAL REPORTS The amounts reported in the accompanying Schedule of Expenditures of Federal Awards agree or can be reconciled with amounts reported in the related federal financial assistance reports. 5.RELATIONSHIP TO BASIC FINANCIAL STATEMENTS The amounts reported in the accompanying Schedule of Expenditures of Federal Awards agree or can be reconciled with amounts reported in the Districts basic financial statements. 6.PASS-THROUGH ENTITIES IDENTIFYING NUMBER When federal awards were received from a pass-through entity, the Schedule of Expenditures of Federal Awards shows, if available, the identifying number assigned by the pass-through entity. When no identifying number is shown, the District determined that no identifying number is assigned for the program or the District was unable to obtain an identifying number from the pass-through entity. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate.