Audit 52982

Accounting Policies: A. GeneralThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of allfederal award programs of Florence School District One, South Carolina (the District) for the year endedJune 30, 2022. All federal awards received directly from federal agencies, as well as those passed throughother government agencies, are included on the Schedule.B. Basis of AccountingThe accompanying Schedule includes federal grant activity of the District under programs of the federalgovernment for the year ended June 30, 2022. The information in this Schedule is presented in conformitywith the requirements of Title 2 U.S. Code of Federal Requirements (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance). Because theSchedule presents only a selected portion of the operations of the District, it is not intended to and does notpresent financial position, changes in net position, or cash flows of the District.Expenditures reported in the Schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement.C. Relationship to Basic Financial StatementsFederal award expenditures are reported in the Districts basic financial statements as expenditures in theSpecial Revenue Fund and Food Service Fund.D. Relationship to Federal Financial ReportsAmounts reported in the accompanying Schedule agree with the amounts reported in the related federalfinancial reports except for timing differences relating to expenditures made subsequent to the filing of thefederal financial reports.E. Indirect CostThe District has a restricted indirect cost rate that is used for its federal programs and did not use the 10%de Minimis indirect cost rate as allowed under the Uniform Guidance and covered in 2 CFR Part 200.414.F. SubrecipientsThe District did not provide any awards to subrecipients for the year ended June 30, 2022. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.