Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of South Central Dakota Regional Council under programs of the federal government for the year ended March 31, 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 Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of South Central Dakota Regional Council, it is not intended to and does not present the financial statements of the governmental activities, each major fund, and remaining fund information South Central Dakota Regional Council.
Title: OUTSTANDING LOANS
Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Council has the following outstanding federal loans. The beginning balance of the outstanding loans for the current year are also included in the federal expenditures presented in the schedule due to ongoing compliance requirements. Intermediary Relending Program: Federal AL Number (10.767), Beginning Balance ($328,959) and Ending Balance ($313,698).
Title: LOAN PROGRAMS
Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Council manages two federal loan programs, the Revolving Loan Fund (EDA) and the Intermediary Relending Program (USDA). Federal expenditures for the Intermediary Relending Program is the outstanding loan balance as of the beginning of the fiscal year, which is listed in Note 4. The following is the calculation of the federal expenditures for the Revolving Loan Fund: Loans receivable 06/14/21 when defederalized ($341,859), Cash account balances 06/14/21 when defederalized ($442,122), Current year loans written off ($0), Current year administrative expenses ($151), Total expenditures ($784,132), Federal percentage (48.19%) and Total federal expenditures ($377,873)
Title: FEDERAL PORTION OF INTERGOVERNMENTAL REVENUE CALCULATION
Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Council received funds from multiple agencies which were comprised of both federal and non-federal dollars. The calculation of the federal amounts of funding for proper presentation in the Schedule of Expenditures of Federal Awards are as follows; Intergovernmental Revenue per Statement of Revenues, Expenditures, and Changes in Fund Balances - Government Funds: Federal portion of intergovernmental revenue - EDA Planning Grant ($70,000) and CDBG City of Edgeley ($7,643), Total intergovernmental revenue ($77,643)
Title: RECONCILIATION OF SEFA SCHEDULE TO FINANCIAL STATEMENTS
Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The following schedule ties the total amount of federal awards as stated on the SEFA schedule to the financial statements: Balance of IRP loan as stated in SEFA footnote 4 ($328,959), Federal expenditures of Revolving Loan Fund as calculated in SEFA footnote 5 ($377,873), EDA Cares Act ($118,228), Intergovernmental revenue as noted in SEFA footnote 6 ($77,643) and Total federal awards as stated on the SEFA schedule ($902,703)