Notes to SEFA
Accounting Policies: (1) GENERAL INFORMATIONThe accompanying schedule of expenditures of federal, state and city awards presents the activities in allthe federal, state and city awards programs of ECS. All government financial assistance received directlyfrom federal, state or city agencies, as well as financial assistance passed through other governmentalagencies or not-for-profit organizations, is included on the schedule.(2) BASIS OF ACCOUNTINGThe schedule of expenditures of federal, state and city awards is presented using the accrual basis ofaccounting. The amounts reported in this schedule as expenditures may differ from certain financialreports submitted to funding sources on either a cash or modified accrual basis of accounting.(3) RELATIONSHIP TO BASIC FINANCIAL STATEMENTSFederal, state and city awards expenditures are reported on the statements of activities and functionalexpenses. In certain programs, the expenditures reported in the basic financial statements may differ fromthe expenditures reported in the schedule of expenditures of federal, state and city awards, becauseprogram expenditures exceeding grant or contract budget limitations are not reflected on the schedule ofexpenditures of federal, state and city awards.(4) INDIRECT COSTSECS has not elected to use the 10-percent de minimus indirect cost rate allowed under the UniformGuidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.