Notes to SEFA
Title: Federal Direct Student Loan Program
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Albert Einstein College of Medicine (the College) and is presented on the accrual basis of accounting. The following is a summary of the more significant policies relating to the aforementioned grant programs. The information in the 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). Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the Colleges consolidated financial statements. For purposes of the Schedule, federal awards include any assistance provided by a federal agency directly or indirectly in the form of grants, contracts, cooperative agreements, loan and loan guarantees, or other non-cash assistance. Direct and indirect costs are charged to awards in accordance with cost principles contained in the United States Department of Health and Human Services Cost Principles for Hospitals at 45 CFR Part 75 Appendix IX and 45 CFR Part 74 Appendix E, as applicable. Under these cost principles, certain types of expenditures are not allowable or are limited as to reimbursement. The Uniform Guidance provides for a 10% de minimis indirect cost rate election; however, the College did not make this election and uses a negotiated indirect cost rate.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Beginning January 1, 2019, the College began participating in the Federal Direct Student Loan Program (Assistance Listing Number 84.268) (which includes the Stafford and GradPlus Loans). The Colleges outstanding loan balances related to the program are $92,999 at December 31, 2022. Since this program is administered by the U.S. Department of Education, new loans made in the year ended December 31, 2022 relating to this program are considered current period federal expenditures, whereas the outstanding balances are not. The new loans made in the year ended December 31, 2022 are reported in the Schedule.