Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the City of Ferndale, Michigan, and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the basic financial statements, which are reconciled in Note 5.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: SUMMARY OF SIGNIFICANT EXPLANATIONS OF SCHEDULE
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The following descriptions identified below as (a) - (b) represent explanations that cross references to amounts on the Schedule of Expenditures of Federal Awards:
(a) Denotes program tested as a “major program”.
(b) Denotes program required to be clustered by United States Environmental Protection Agency.
Title: SUBRECIPIENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
No federal awards were passed through by the City to any subrecipients during the year.
Title: RECONCILIATION TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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. Negative amounts (if any) shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The City of Ferndale has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The following reconciles the intergovernmental revenues reported in the June 30, 2023, basic financial
statements to the expenditures of the City administered federal programs reported on the Schedule of
Expenditures of Federal Awards:
Inter- Federal
governmental State/Local Bond/Loan Award
Revenue Revenue Proceeds Expenditures
PRIMARY GOVERNMENT
General Fund $ 4,505,889 $ (4,499,789) $ - $ 6,100
Special Revenue Funds 4,229,234 ( 3,483,702) - 745,532
Debt Service Funds 244,402 (244,402) - -
TOTAL PRIMARY GOVERNMENT 8,979,525 ( 8,227,893) - 751,632
ENTERPRISE FUNDS
Water and Sewer Fund 221,864 (221,864) 2,051,480 2,051,480
Auto Parking Fund 55,000 (55,000) - -
TOTAL ENTERPRISE FUNDS 276,864 (276,864) 2,051,480 2,051,480
$ 9,256,389 $ (8,504,757) $ 2,051,480 $ 2,803,112