Notes to SEFA
Title: LOANS OUSTANDING
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Gordon College (the “College”) and is presented on the accrual basis of accounting. 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 (the “Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of the College, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the College.
De Minimis Rate Used: N
Rate Explanation: The College has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance.
During the year ended June 30, 2024, the College processed $6,722,903 of new loans under the Federal Direct Student Loan Program (“Direct Loan”). The College is responsible only for the performance of certain administrative duties with respect to the Direct Loan Program and, accordingly, the value of these loans is not reflected in the College’s basic financial statements. It is not practical to determine the balance of loans outstanding to students of the College under this program.
The Federal Perkins Loan Program (“Perkins”) listed subsequently is administered directly by the College, and balances and transactions relating to this program are included in the College’s basic 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 June 30, 2023 consists of:
Federal Perkins Loan Program (Federal Assistance Listings Number #84.038)
Loans outstanding at June 30, 2023 $ 909,033
Collections and adjustments (280,815)
Loans outstanding at June 30, 2024 $ 628,218
On September 30, 2017, the Federal government terminated the Perkins Loan Program. Subsequent to this date students can no longer receive Perkins Loan disbursements.