Title: Basis of Presentation
Accounting Policies: 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The College has not elected to use the 10 percent de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As noted in the H1-B Job Training Grants agreement, the College was approved to use, and did use, an indirect cost rate of 37.5% of direct salaries and wages including all fringe benefits, relating to this grant and other grants, where allowable.
In November, 2023 the College was approved to use, but has not yet used, an indirect cost rate of 38.3% of modified total direct costs, consisting of all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward. Modified total direct costs exclude equipment, capital expenditures, rental costs, tuition remission, scholarships and fellowships, participant support costs, the portion of each subaward in excess of $25,000, and other items when necessary to avoid a serious inequity in the distribution of indirect costs.
The accompanying schedule of expenditures of federal awards (the “Schedule") includes the federal award activity of Lorain County Community College (the “College”) under programs of the federal government for the year ended June 30, 2024. 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 College, it is not intended to and does not present the financial position, changes in net position, or cash flows of the College.
Title: Federal Direct Student Loans
Accounting Policies: 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The College has not elected to use the 10 percent de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As noted in the H1-B Job Training Grants agreement, the College was approved to use, and did use, an indirect cost rate of 37.5% of direct salaries and wages including all fringe benefits, relating to this grant and other grants, where allowable.
In November, 2023 the College was approved to use, but has not yet used, an indirect cost rate of 38.3% of modified total direct costs, consisting of all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward. Modified total direct costs exclude equipment, capital expenditures, rental costs, tuition remission, scholarships and fellowships, participant support costs, the portion of each subaward in excess of $25,000, and other items when necessary to avoid a serious inequity in the distribution of indirect costs.
The College originates but does not provide funding under the Federal Direct Student Loans Program. The amount presented represents the value of new Federal Direct Student Loans awarded by the United States Department of Education during the year.
Title: Federal Work-Study and Federal SEOG Waiver
Accounting Policies: 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The College has not elected to use the 10 percent de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As noted in the H1-B Job Training Grants agreement, the College was approved to use, and did use, an indirect cost rate of 37.5% of direct salaries and wages including all fringe benefits, relating to this grant and other grants, where allowable.
In November, 2023 the College was approved to use, but has not yet used, an indirect cost rate of 38.3% of modified total direct costs, consisting of all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward. Modified total direct costs exclude equipment, capital expenditures, rental costs, tuition remission, scholarships and fellowships, participant support costs, the portion of each subaward in excess of $25,000, and other items when necessary to avoid a serious inequity in the distribution of indirect costs.
For the year ended June 30, 2024, the College received a waiver from the United States Department of Education for the Institutional Share Requirement under the Federal Work-Study and Federal Supplemental Educational Opportunity Grants programs.
Title: Subrecipients
Accounting Policies: 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The College has not elected to use the 10 percent de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As noted in the H1-B Job Training Grants agreement, the College was approved to use, and did use, an indirect cost rate of 37.5% of direct salaries and wages including all fringe benefits, relating to this grant and other grants, where allowable.
In November, 2023 the College was approved to use, but has not yet used, an indirect cost rate of 38.3% of modified total direct costs, consisting of all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward. Modified total direct costs exclude equipment, capital expenditures, rental costs, tuition remission, scholarships and fellowships, participant support costs, the portion of each subaward in excess of $25,000, and other items when necessary to avoid a serious inequity in the distribution of indirect costs.
The College passes certain federal awards received from the United States Department of Labor, the National Science Foundation and the United States Department of Defense to other governments or not-for-profit agencies (subrecipients). As Note 2 describes, the College reports expenditures of federal awards to subrecipients on the accrual basis.
As a pass-through entity, the College has certain compliance responsibilities, such as monitoring its subrecipients to help assure they use these subawards as authorized by laws, regulations, and the provisions of contracts or grant agreements, and that subrecipients achieve the award’s performance goals.
Title: Matching Requirements
Accounting Policies: 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: The College has not elected to use the 10 percent de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As noted in the H1-B Job Training Grants agreement, the College was approved to use, and did use, an indirect cost rate of 37.5% of direct salaries and wages including all fringe benefits, relating to this grant and other grants, where allowable.
In November, 2023 the College was approved to use, but has not yet used, an indirect cost rate of 38.3% of modified total direct costs, consisting of all direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward. Modified total direct costs exclude equipment, capital expenditures, rental costs, tuition remission, scholarships and fellowships, participant support costs, the portion of each subaward in excess of $25,000, and other items when necessary to avoid a serious inequity in the distribution of indirect costs.
Certain Federal programs require the College to contribute non-Federal funds (matching funds) to support the Federally-funded programs. The College has met its matching requirements. The Schedule does not include the expenditure of non-Federal matching funds.