Notes to SEFA
Title: Noncash Assistance and Loans Outstanding
Accounting Policies: Note 1. Basis of PresentationThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federalaward activity of the Commission under programs of the federal government for the year ended June 30,2022. 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 AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of the Commission, it is not intended to and does not present the financialposition, changes in net position or cash flows of the Commission.Note 2. Summary of Significant Accounting PoliciesExpenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance whereincertain types of expenditures are not allowable or are limited as to reimbursement. Therefore, someaccounts presented in this schedule may differ from amounts presented in, or used in the preparation of,the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The Commission has a negotiated indirect cost rate of 33%.
The current year $1,969,963 Economic Development Administration (EDA) Revolving Loan Fund (RLF)(CFDA 11.307) expenditures, disclosed in the Schedule of Expenditures of Federal Awards, constituted94 percent of the combined EDA RLF of June 30, 2022, outstanding loan balances, June 30, 2022 cashand investment balances and June 30, 2022 administrative expenses of $2,127,132 as follows:EDA Cares Mercer-Muscatine TotalRLF County RLF RLF ProgramsBalance of RLF principal outstanding on loansas of June 30, 2022 $ 1,442,990 $ - $ 1,442,990Add:Cash and investment balance in RLF at the endof the fiscal year 90,375 548,523 638,898Administrative expenses paid out of RLF incomeduring the fiscal year 45,092 151 45,243Unpaid principal of all loans written off duringthe fiscal year - - -Total RLF as of June 30, 2022 1,578,457 548,674 $ 2,127,131Multiply:Federal share of RLF 100% 75%Expenditures of federal awards for RLF programsas of June 30, 2022 $ 1,578,457 $ 411,506The federal share of the RLF is defined as thefederal participation rate (or the federal grant rate)as specified in the grant award.