Notes to SEFA
Title: Federal Direct Student Loans Program
Accounting Policies: The accompanying schedule of federal awards (Schedule) includes the federal grant activity of Nelson University, formerly Southwestern Assemblies of God University (University), under programs of the federal government for the year ended May 31, 2024. 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). 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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Federal direct student loan balances are not included in the University’s consolidated financial statements. Loans disbursed during the year are included in federal expenditures presented in the Schedule.
Title: Administrative Costs
Accounting Policies: The accompanying schedule of federal awards (Schedule) includes the federal grant activity of Nelson University, formerly Southwestern Assemblies of God University (University), under programs of the federal government for the year ended May 31, 2024. 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). 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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The amount of Pell Grant and Federal-Work Study disbursements shown on the schedule of expenditures of federal awards includes the current year administrative cost allowance of $3,800 and $7,872, respectively.