Title: Federal Student Loan Programs
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in Uniform Guidance, Cost principles for Non-ProfitOrganizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal student loans processed during the fiscal year ended June 30, 2022 are as follows:Federal Student LoanFederalALLoans Made DuringThe YearDirect Subsidized Loans 84.268 $ 607,242Direct Unsubsidized Loans84.268 904,739Direct Plus Loans 84.268 13,293Total Federal Student Loans $ 1,525,274
Title: Federal student Loan Programs transactions
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in Uniform Guidance, Cost principles for Non-ProfitOrganizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The transactions are between the students and an outside third party, under the Federal Family Loan Program, which includes subsidized Stafford Loans, Parents Plus Loans for Undergraduate Students, and unsubsidized Stafford Loan, SABER College is responsible only for the performance of certain administrative duties with respect to these loans and, accordingly balances and transactions related to this loan program are not included in SABERs financial statements. The third-party provider of the loans owns the asset, not SABER. Therefore, SABER does not carry on its statement of financial position the balance of loans outstanding made by third parties to students and former students of SABER as of June 30, 2022.
Title: Contingencies
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in Uniform Guidance, Cost principles for Non-ProfitOrganizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The grant revenue amounts received are subject to audit and adjustment. If any expenditure is disallowed by the grant agencies as a result of such an audit, any claim of reimbursement to the grantor agencies would become liability of SABER. In the opinion of management, all grant expenditures are in compliance with the terms of thegrant agreements, and applicable federal laws and regulations.
Title: Note G - HEERF Programs (Student and Institutional Portions)
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in Uniform Guidance, Cost principles for Non-ProfitOrganizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act), was passed by Congress and signed by President Donald Trump on March 27th, 2020. This bill allotted $2.2 trillion to provide fast and direct economic aid to the American people negatively impacted by the COVID-19 pandemic. Of that money, approximately $14 billion was given to the Office of Postsecondary Education as the Higher Education Emergency Relief Fund (the HEERF). HEERF provides for emergency funds to assist institutions and students due to the disruption in education caused by COVID-19. The Institution was allocated $807,823 in HEERF fund, out of which $290,450 was allocated for direct student payments and, $517,373 was allocated to the Institution. The Institution has one year to utilize the funds from the date of the Agreement.Student PortionThe Institution received $290,450 as an allotment for direct student payments. The student allotment provides for direct payments to students in emergency funds to assist Title IV eligible students in covering expenses related to the disruption of campus operations included in the cost of attendance components such as food, housing, childcare, and course materials.Institutional Portion The Institution received $517,373 as an allotment to the Institution to defray the cost associated with significant changes to the delivery of instruction due to the COVID-19 outbreak and incurred on or after May 21, 2020. The Institution has discretion on how these funds are utilized; however, costs must be tied to significant changes to the delivery of instruction.