Title: NOTE 1 – BASIS OF ACCOUNTING
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is the same basis used for the financial statements of the Organization. Such expenditures are recognized following the cost principles contained in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has not elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Instead, the Organization utilizes indirect cost rates that are included in their cost allocation plan which is reviewed and approved by the board of directors and is allowed under the grants.
Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is the same basis used for the financial statements of the Organization. Such expenditures are recognized following the cost principles contained in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
Title: NOTE 2 – PROGRAM COSTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is the same basis used for the financial statements of the Organization. Such expenditures are recognized following the cost principles contained in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has not elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Instead, the Organization utilizes indirect cost rates that are included in their cost allocation plan which is reviewed and approved by the board of directors and is allowed under the grants.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Rural Community Development Resources (the Organization) under programs of the federal government for the year ended December 31, 2021. The information in this schedule is presented in accordance with the requirements of OMB Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Costs Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Title: NOTE 3 - REVOLVING LOAN FUNDS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is the same basis used for the financial statements of the Organization. Such expenditures are recognized following the cost principles contained in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has not elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Instead, the Organization utilizes indirect cost rates that are included in their cost allocation plan which is reviewed and approved by the board of directors and is allowed under the grants.
SBA revolving loan fund – Expenditures of SBA revolving loan funds are limited to the balance due on the SBA loan. The amount of loan funds outstanding at December 31, 2021, was $23,149 and is included on the schedule. EDA revolving loan fund – Expenditures of EDA revolving loan funds are based on the following calculation: See Notes to SEFA for table. Other revolving loan funds – Expenditures from other revolving loan funds are reported at the value of new loans made to borrowers during the year since these loans impose no continuing compliance requirement other than to repay the loan.
Title: NOTE 4 – INDIRECT COST RATE
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is the same basis used for the financial statements of the Organization. Such expenditures are recognized following the cost principles contained in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has not elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Instead, the Organization utilizes indirect cost rates that are included in their cost allocation plan which is reviewed and approved by the board of directors and is allowed under the grants.
The Organization has not elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Instead, the Organization utilizes indirect cost rates that are included in their cost allocation plan which is reviewed and approved by the board of directors and is allowed under the grants.