Notes to SEFA
Title: PASS-THROUGH EXPENDITURES
Accounting Policies: The accompanying schedule of expenditures of federal awards presents the activity of all applicable federal awards of the City of Jacksonville, Texas. The Citys reporting entity is defined in Note I to the Citys basic financial statements. Federal awards received directly from federal agencies as well as federal awards passed through other government agencies are included in the respective schedule. The accompanying schedule of expenditures of federal awards is presented using modified accrual basis ofaccounting, which is described in Note I to the Citys basic financial statements. Grant expenditure reports as of September 30, 2022, which have been submitted to grantor agencies will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor agencies are typically prepared at a later date and often reflect refined estimates of year-end accruals. The reports will agree at termination of the grant as the discrepancies noted are timing differences.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
None of the federal programs expended by the City were passed through to subrecipients.
Title: PUBLIC ASSISTANCE GRANT EXPENDITURES
Accounting Policies: The accompanying schedule of expenditures of federal awards presents the activity of all applicable federal awards of the City of Jacksonville, Texas. The Citys reporting entity is defined in Note I to the Citys basic financial statements. Federal awards received directly from federal agencies as well as federal awards passed through other government agencies are included in the respective schedule. The accompanying schedule of expenditures of federal awards is presented using modified accrual basis ofaccounting, which is described in Note I to the Citys basic financial statements. Grant expenditure reports as of September 30, 2022, which have been submitted to grantor agencies will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor agencies are typically prepared at a later date and often reflect refined estimates of year-end accruals. The reports will agree at termination of the grant as the discrepancies noted are timing differences.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The expenditures of $331,770 for 4586PATXP0000001 were incurred in a previous year but are reported on the Schedule of Expenditures of Federal Awards for the year ended September 30, 2022. This is the period in which the related project worksheets (PWs) were approved.
Title: LOAN AND LOAN GUARANTEES
Accounting Policies: The accompanying schedule of expenditures of federal awards presents the activity of all applicable federal awards of the City of Jacksonville, Texas. The Citys reporting entity is defined in Note I to the Citys basic financial statements. Federal awards received directly from federal agencies as well as federal awards passed through other government agencies are included in the respective schedule. The accompanying schedule of expenditures of federal awards is presented using modified accrual basis ofaccounting, which is described in Note I to the Citys basic financial statements. Grant expenditure reports as of September 30, 2022, which have been submitted to grantor agencies will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor agencies are typically prepared at a later date and often reflect refined estimates of year-end accruals. The reports will agree at termination of the grant as the discrepancies noted are timing differences.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City is indebted to the Texas Water Development Board (TWDB) as a result of issuance of Combination Tax and Revenue Certificates of Obligation, Series 2022A. The bonds were sold to provide financing to construct improvements and extensions to the Citys wastewater collection system project. The amounts reflected in the Schedule of Expenditures of Federal Awards represent expenditures incurred during the year ended September 30, 2022. The balance for the bonds is $5,919,000 at year end.