Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southern Pine Electric Cooperative, Inc. and Subsidiary (the Cooperative) under programs of the federal government for the year ended December 31, 2022. Expenditures reported on the schedule are reported on the accrual basis of accounting. The information in this schedule is presented in accordance with 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 of the amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the consolidated financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
RURAL ELECTRIFICATION LOANS AND LOAN GUARANTEES (10.850) - Balances outstanding at the end of the audit period were 2303552. RURAL ECONOMIC DEVELOPMENT LOANS AND GRANTS (10.854) - Balances outstanding at the end of the audit period were 700000.
Title: Subrecipients
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southern Pine Electric Cooperative, Inc. and Subsidiary (the Cooperative) under programs of the federal government for the year ended December 31, 2022. Expenditures reported on the schedule are reported on the accrual basis of accounting. The information in this schedule is presented in accordance with 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 of the amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the consolidated financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
There were no awards passed through to subrecipients.
Title: Recognition of Federal Expenditures
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southern Pine Electric Cooperative, Inc. and Subsidiary (the Cooperative) under programs of the federal government for the year ended December 31, 2022. Expenditures reported on the schedule are reported on the accrual basis of accounting. The information in this schedule is presented in accordance with 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 of the amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the consolidated financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Cooperative incurred $1,118,911 of FEMA related expenditures in fiscal year 2020. In accordance with FEMAs Public Assistance Program guidelines, the Cooperative recorded the eligible expenditures in its fiscal year 2022 Schedule of Expenditures of Federal Awards when its project worksheet was approved by FEMA.