Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
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 (Schedule) includes the federal grant activity of the Village of Wellsville, New York (the Village), under programs of the federal government for the year ended May 31, 2023. 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 Village, it is not intended to and does not present the financial position or the respective changes in financial position of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information of the Village.
Title: Summary of Significant Accounting Policies
Accounting Policies: Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
Title: Pass-Through Programs
Accounting Policies: Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Where the Village receives funds from a government entity other than the federal government (pass-through), the funds are accumulated based upon the Assistance Listing (AL) number advised by the pass-through grantor. Identifying numbers, other than the Assistance Listings, which may be assigned by pass-through grantors are not maintained in the Village’s financial management system.
Title: Indirect costs
Accounting Policies: Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Indirect costs are not included in the reported expenditures as they are not included in the federal funding for each program. The Village has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Matching Costs
Accounting Policies: Expenditures reported on the Schedule are presented in conformity with accounting principles generally accepted in the United States and the amounts presented are derived from the Village’s general ledger. Federal expenditures are recorded when an allowable cost is incurred under the applicable program and is due and payable.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Matching costs, i.e., the Village’s or State’s share of certain program costs, are not included in the reported expenditures.