Title: FEDERAL DIRECT STUDENT LOAN PROGRAM
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Pratt Institute (the “Institute”) for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the Institute’s financial statements. Because the Schedule presents only a select portion of the operations of the Institute, it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of the Institute.
De Minimis Rate Used: N
Rate Explanation: Federal expenditures included in 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. The Institute has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
In relation to the Federal Direct Student Loan Program, the Institute is responsible only for the performance of certain administrative duties; therefore, the program’s balance of loans outstanding and related transactions are not included in the Institute’s financial statements. It is not practicable to determine the balance of loans outstanding to students of the Institute under this program at June 30, 2023. The Schedule includes the amounts loaned to students during the year ended June 30, 2023.
Title: FEDERAL PERKINS LOAN PROGRAM
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Pratt Institute (the “Institute”) for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the Institute’s financial statements. Because the Schedule presents only a select portion of the operations of the Institute, it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of the Institute.
De Minimis Rate Used: N
Rate Explanation: Federal expenditures included in 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. The Institute has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Institute administers and accounts for certain aspects of the Federal Perkins Loan Program. Therefore, the Institute’s financial statements include the program’s net assets and related transactions. Federal Perkins loans outstanding at June 30, 2023 totaled $3,430,643. The Federal Perkins Loan Program expenditures reported on the Schedule consist of the balance of loans outstanding as of June 30, 2022 totaling $5,542,848 with no loans advanced or administrative cost allowance recorded during the year ended June 30, 2023. The following presents the Perkins loan related activity for the year ended June 30, 2023: Federal Assistance Listing Number 84.038 Balance as of June 30, 2022 $ 5,542,848 Loans Issued and Admin. Cost Allowance $0 Loans and Interest Written-Off ($1,475,740) Payments Received ($636,465) Balance as of June 30, 2023 $3,430,643