Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note A to the County's financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of Clare County, Michigan (the County) under programs of the federal government for the year ended September 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 Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the County, it is not intended to and does not present the financial position, changes in net position, or cash flows of the County. The Countys reporting entity is defined in Note A of the Countys financial statement audit report.
Title: PASS-THROUGH AGENCIES
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note A to the County's financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The County receives certain federal awards as subgrants from non-federal entities. Pass-through entities, where applicable, have been identified in the Schedule with an abbreviation, defined as follows: MEDC-Michigan Economic Development Corporation, DOJ-Department of Justice, AAA-Region 7 Area Agency on Aging, MDNR-Michigan Department of Natural Resources, MDHHS-Michigan Department of Health and Human Services, MSP-Michigan State Police, FEMA-Federal Emergency Management Agency, WMRMC-West Michigan Regional Medical Consortium, MSCAO-Michigan Supreme Court Administrator's Office
Title: RECONCILIATION TO THE FINANCIAL STATEMENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note A to the County's financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The federal revenue reported in Exhibit D of the Countys financial statements reports revenues of $2,645,082 while the SEFA reports total expenses of $2,919,096. The $274,014 difference is due to $146 adjustments received for the prosecuting attorney cooperative reimbursement program for fiscal year 2021 and $273,868 in unavailable for grant funds not received within 60 days of the end of the fiscal year.