Title: Loans Outstanding
Accounting Policies: The accompanying consolidated schedule of expenditures of federal awards (SEFA) includes the federal grant activity of the Organization and is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance, UG). Therefore, some amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of, the basic financial statements. The amount of expenditures for the Appalachian Regional Commission Business Development Revolving Loan Fund (RLF) is computed as defined in Appalachian Regional Commission Business Development Revolving Loan Fund Guidelines (the Guidelines). The Guidelines define current year expenditures, identified as the RLF contribution, as the grantee's fiscal year beginning balance of outstanding loans plus current year loan expenditures plus the amount of RLF income earned and expended on eligible administrative costs during the grantee's fiscal year.
De Minimis Rate Used: N
Rate Explanation: The Organization obtains negotiated indirect cost rates for its federal grants and did not elect to use the 10% de minimis indirect cost rate
Federal loans outstanding at April 30, 2023 consist of the following: IRP #1 - U.S. Department of Agriculture (August 1994) $ 103,288
IRP #2 - U.S. Department of Agriculture (August 1996) 123,888
IRP #3 - U.S. Department of Agriculture (August 2000) 243,467
IRP #4 - U.S. Department of Agriculture (April 2003) 301,023
IRP #5 - U.S. Department of Agriculture (October 2006) 413,909
IRP #6 - U.S. Department of Agriculture (March 2009) 467,974
U.S. Small Business Administration (May 2020) 696,527
U.S. Small Business Administration (September 2015) 212,477
U.S. Small Business Administration (June 2017) 165,551
Total $2,728,104 The proceeds of loans that were received and expended in prior years are not considered federal awards expended when the laws, regulations, and the provisions of contracts or grant agreements pertaining to such loans impose no continuing compliance requirements other than to repay the loans and have been excluded from the SEFA.
Title: General
Accounting Policies: The accompanying consolidated schedule of expenditures of federal awards (SEFA) includes the federal grant activity of the Organization and is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance, UG). Therefore, some amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of, the basic financial statements. The amount of expenditures for the Appalachian Regional Commission Business Development Revolving Loan Fund (RLF) is computed as defined in Appalachian Regional Commission Business Development Revolving Loan Fund Guidelines (the Guidelines). The Guidelines define current year expenditures, identified as the RLF contribution, as the grantee's fiscal year beginning balance of outstanding loans plus current year loan expenditures plus the amount of RLF income earned and expended on eligible administrative costs during the grantee's fiscal year.
De Minimis Rate Used: N
Rate Explanation: The Organization obtains negotiated indirect cost rates for its federal grants and did not elect to use the 10% de minimis indirect cost rate
The grant revenue amounts received and expensed are subject to audit and adjustment. If any expenditures are disallowed by the grantor as a result of such an audit, any claim for reimbursement to the grantor would become a liability of the Organization. In the opinion of management, all grant expenditures are in compliance with the terms of the grant agreements and applicable federal laws and regulations.
Title: Reconciliation to Financial Statements
Accounting Policies: The accompanying consolidated schedule of expenditures of federal awards (SEFA) includes the federal grant activity of the Organization and is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance, UG). Therefore, some amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of, the basic financial statements. The amount of expenditures for the Appalachian Regional Commission Business Development Revolving Loan Fund (RLF) is computed as defined in Appalachian Regional Commission Business Development Revolving Loan Fund Guidelines (the Guidelines). The Guidelines define current year expenditures, identified as the RLF contribution, as the grantee's fiscal year beginning balance of outstanding loans plus current year loan expenditures plus the amount of RLF income earned and expended on eligible administrative costs during the grantee's fiscal year.
De Minimis Rate Used: N
Rate Explanation: The Organization obtains negotiated indirect cost rates for its federal grants and did not elect to use the 10% de minimis indirect cost rate
Following is a reconciliation of amounts per the SEFA to the fiscal year 2023 financial statements: Expenditures per SEFA $ 2,404,498
Total RLF funds received,
reflected on SEFA per the Guidelines (302,221)
Revenue recognized in prior year,
expended in current year (632,693)
Government grants revenue
per financial statements $ 1,469,584