Notes to SEFA
Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (Schedule) includes thefederal award activity of the City of Denison 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 Title 2,U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion ofthe operations of the City of Denison, it is not intended to and does not present the financial position, changesin financial position or cash flows of the City of Denison.Summary of Significant Accounting Policies Expenditures reported in the Schedule are reported on thebasis of cash receipts and disbursements, which is a basis of accounting other than U.S. generally acceptedaccounting principles. Such expenditures are recognized following the cost principles contained in the
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.