Title: Basis of Presentation
Accounting Policies: Expenditures reported on 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. Expenditures for federal student financial aid programs include the federal portion of students Federal Supplemental Educational Opportunity Grants and Federal Work-Study program grants, certain other federal financial aid for students, and administrative cost allowances, where applicable. Federal Pell Grant awards are recognized as agency transactions and are not recorded as expenditures in the consolidated financial statements of the University but are reflected in the Schedule.
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 Life University, Inc. and subsidiaries (the University) 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 Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the University.For purposes of the Schedule, the University includes loans granted under Direct Student Loans Program as expenditures of federal awards.
Title: Federal Perkins Load Program
Accounting Policies: Expenditures reported on 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. Expenditures for federal student financial aid programs include the federal portion of students Federal Supplemental Educational Opportunity Grants and Federal Work-Study program grants, certain other federal financial aid for students, and administrative cost allowances, where applicable. Federal Pell Grant awards are recognized as agency transactions and are not recorded as expenditures in the consolidated financial statements of the University but are reflected in the Schedule.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Federal Perkins Loan Program is administered directly by the University and balances and transactions relating to this program are included in the Universitys basic consolidated financial statements. No Federal Perkins Loan Program funds were disbursed to students during the year ended June 30, 2022. The balance of loans outstanding under the Federal Perkins Loan Program was $3,037,797 as of June 30, 2022.
Title: Inter-Program Transfer
Accounting Policies: Expenditures reported on 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. Expenditures for federal student financial aid programs include the federal portion of students Federal Supplemental Educational Opportunity Grants and Federal Work-Study program grants, certain other federal financial aid for students, and administrative cost allowances, where applicable. Federal Pell Grant awards are recognized as agency transactions and are not recorded as expenditures in the consolidated financial statements of the University but are reflected in the Schedule.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal Supplemental Educational Opportunity Grant expenditures include $168,313 transferred from the Federal Work-Study program allocation.
Title: Sub-Recipients
Accounting Policies: Expenditures reported on 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. Expenditures for federal student financial aid programs include the federal portion of students Federal Supplemental Educational Opportunity Grants and Federal Work-Study program grants, certain other federal financial aid for students, and administrative cost allowances, where applicable. Federal Pell Grant awards are recognized as agency transactions and are not recorded as expenditures in the consolidated financial statements of the University but are reflected in the Schedule.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
There were no funds provided to sub-recipients during the year ended June 30, 2022.