Notes to SEFA
Title: Note 3 - Program Costs
Accounting Policies: This schedule is prepared on the same basis of accounting as the Councils financial statements. The Council uses the accrual basis.
De Minimis Rate Used: N
Rate Explanation: The Council has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The amounts shown as current year expenses represent only the federal grant portion ofthe program costs. Entire program costs, including the Council of Governments' portion,may be more than shown.
Title: Note 4 - Determination of Expenses for the CARES COVID Relief Revolving Loa
Accounting Policies: This schedule is prepared on the same basis of accounting as the Councils financial statements. The Council uses the accrual basis.
De Minimis Rate Used: N
Rate Explanation: The Council has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Council of Governments has a Revolving Loan Fund to provide loans due to the urgencyof the Covid pandemic. Under this federal grant, expenses are calculated as principalbalance outstanding plus cash and investment balance of funds on hand plus loan relatedexpenses paid out of income during the fiscal year.
Title: Note 5 Indirect Cost Allocation Plan
Accounting Policies: This schedule is prepared on the same basis of accounting as the Councils financial statements. The Council uses the accrual basis.
De Minimis Rate Used: N
Rate Explanation: The Council has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Council of Governments has historically developed annually an Indirect Cost Allocation Plan (ICAP), based upon the adopted agency budget for that calendar year. The ICAP is prepared to recover anticipated overhead expenses across all agency programs for the year, reflective of any overage (or shortage) from the prior year. This is referred to as aFixed Carryforward Rate: The fixed carryforward rate is based on an estimate of the costs that will be incurred during the period for which the rate applies. When the actual costs for such period have been determined, an adjustment will be made to the rate for a future period, if necessary, to compensate for the difference between the costs used to establish the fixed rate and the actual costs. The ICAP rate is applied to total direct salaries and wages, excluding fringe benefits, and applies to all programs administered by BFCOG.The Benton-Franklin Council of Governments (BFCOG) is a multipurpose agency which is responsible for the use of Federal funds from multiple sources. These include the US Department of Transportation, US Department of Commerce, and the US Department of Agriculture. It was previously determined that the cognizant agency for BFCOG is the Department of Interior.The ICAP rate for 2022 was 246.83%.