Title: Note 1
Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Benedictine University (University) under programs of the federal government for the year ended May 31, 2023. 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 financial position, changes in net assets, or cash flows of the University.
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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The University has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: N/A
The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Benedictine University (University) under programs of the federal government for the year ended May 31, 2023. 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 financial position, changes in net assets, or cash flows of the University.
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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The University has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
Title: Note 2
Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Benedictine University (University) under programs of the federal government for the year ended May 31, 2023. 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 financial position, changes in net assets, or cash flows of the University.
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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The University has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: N/A
The federal loan programs listed subsequently are administered directly by the University, and balances and transactions relating to these programs are included in the University's consolidated financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding at May 31, 2023 consists of:
Outstanding
AL Balance at
Number Program Name May 31, 2023
84.038 Federal Perkins Loan Program $ 532,165
The amount presented in the Schedule for Federal Perkins Loans represents loan balances outstanding of $1,042,050 at June 1, 2022. The University did not disburse any new loans during fiscal year 2023.
Title: Note 3
Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Benedictine University (University) under programs of the federal government for the year ended May 31, 2023. 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 financial position, changes in net assets, or cash flows of the University.
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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The University has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: N/A
The University did not receive noncash assistance or have Federal insurance in effect for the year ended May 31, 2023.
Title: Note 4
Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Benedictine University (University) under programs of the federal government for the year ended May 31, 2023. 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 financial position, changes in net assets, or cash flows of the University.
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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The University has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: N/A
Net assets with donor restrictions, derived from federal aid, gifts, or grants, may be used only to meet expenses for the purposes specifically identified by sponsoring agencies. Federal aid, gifts, or grants are recognized as Government grants revenue in the Organization’s financial statements as expended.
The following is a reconciliation of total expenditures reported on the accompanying Schedule to the revenue items shown as Government grants revenue on the statement of activities included in the Organization’s financial statements. For financial statement purposes, Pell grants are not reflected in the statement of activities.
The Organization records Pell grants and Perkins and Federal Direct Loans received by students through the Organization as intermediary transactions, and not grants. Therefore, these expenditures are presented below as federal funds for student financial assistance but are not reported as expenditures of the Organization. These expenditures are subtracted from the total expenditures on the Schedule of Expenditures of Federal Awards to agree with revenue on the statement of activities.
The Higher Education Emergency Relief Fund (HEERF) grant program provides financial aid to students and higher education institutions to help with new expenses and revenue losses associated with the COVID-19 pandemic. The program was created by Congress as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act in March 2020, and received additional funding from the Coronavirus Response and Relief Supplemental Appropriations Act (CRRSAA) in December 2020 and the American Rescue Plan Act (ARPA) in March 2021. The Organization was awarded $3,297,892 by CARES in fiscal year 2020, $5,212,121 by CRRSAA in fiscal year 2021, and $9,239,645 by ARPA in fiscal year 2021. Under the legislation, a portion of these grants must be used for direct emergency aid to students. The remaining portion must be used by institutions to cover costs associated with significant changes to the delivery of instruction due to the coronavirus or lost revenue. For the years ending May 31, 2023 and 2022, the Organization issued $0 and $4,720,400 of emergency aid to students, respectively. For the year ended May 31, 2023, the organization applied $1,616,950 of the institutional portion to lost revenue. For the year ended May 31, 2022, the organization applied $4,492,443 of the institutional portion to lost revenue.
Reconciling items between the total expenditures on the Schedule of Expenditures of Federal Awards and the Government grants revenue on the Statement of Activities are as follows:
Total expenditures on the Schedule of Expenditures of Federal Awards $ 27,532,854
Federal funds for student financial assistance not reported as
revenue of the University:
Pell Grants reported as Scholarships (4,475,714)
Perkins Loans (1,042,050)
Federal Direct Loans (19,500,821)
Employee Retention Credit 9,909,907
State Grants 47,789
Total government grants revenue shown on the Statement of Activities $ 12,471,965