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2017 Schedule of Federal Expenditures and Reports CITY OF FRIDLEY, MINNESOTA SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND INDEPENDENT AUDITOR’S REPORTS For The Year Ended December 31, 2017 - This page intentionally left blank - Government Auditing Standards - This page intentionally left blank - GOVERNMENT AUDITING STANDARDS Government Auditing Standards deficiency in internal control material weakness significant deficiency 5921!Xijuf!Cfbs!Qbslxbz-!Tu/!Qbvm-!NO-!66221!!!!!!762/537/8111!!!!!!xxx/sfeqbuidqbt/dpn 1 Government Auditing Standards Government Auditing Standards 2 Report on Compliance for Each Major Federal Program OMB Compliance Supplement Management’s Responsibility Auditor’s Responsibility Government Auditing Standards U.S. Code of Federal RegulationsUniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards 5921!Xijuf!Cfbs!Qbslxbz-!Tu/!Qbvm-!NO-!66221!!!!!!762/537/8111!!!!!!xxx/sfeqbuidqbt/dpn 3 Opinion on Each Major Federal Program Report on Internal Control over Compliance deficiency in internal control over compliance material weakness in internal control over compliance significant deficiency in internal control over compliance 4 Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance 5 Notes to Schedule of Expenditures of Federal Awards Note 1 - Basis of Presentation The Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of federal award programs expended by the City of Fridley, Minnesota under programs of the federal government for the year ended December 31, 2017. The 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 City of Fridley, Minnesota, it is not intended to and does not present the financial positions, or change in financial position of the City of Fridley, Minnesota. Note 2 Summary of Significant Accounting Policies A. The expenditures on this Schedule are on the modified accrual basis of accounting. B. Pass-through entity identifying numbers are presented where available. Note 3 - Indirect Cost Rate The City of Fridley, Minnesota did not elect to use the 10% de minimis cost rate for indirect (F&A) costs. Note 4 - Subrecipients The City of Fridley, Minnesota did not pass any federal funds to subrecipients during FY 2017. 6 Financial Statements Federal Awards 7 8 9 - This page intentionally left blank - 10