Notes to SEFA
Title: Note 1 - 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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”)
includes the federal award activity of Salem State University (the “University”) under
programs of the Federal Government for the year ended June 30, 2024. The information
on this Schedule is prepared 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 position or cash flows of the University.
Title: Note 2 - Summary of Significant Accounting Policies
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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
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.
Title: Note 3 - Indirect Cost Rate
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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The University has elected not to use the 10-percent de minimis indirect cost rate as
allowed under the Uniform Guidance.
Title: Note 4 - Federal Student Loan Programs
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.
De Minimis Rate Used: N
Rate Explanation: The University has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Perkins Loan Program
The Federal Perkins Loan Program (“Perkins”) is administered directly by the
University and balances and transactions relating to this program are included in the
University’s basic financial statements. During the year ended June 30, 2024, no loans
were advanced under the Perkins program and no administrative costs were incurred.
As of June 30, 2024, loan balances receivable, net under Perkins was $152,110.
There was no federal capital contribution or match by the University during the current
year.
Nursing Student Loans
The Nursing Student Loan Program is administered by Salem State University. There
were $99,953 of loans disbursed during fiscal year 2024. As of June 30, 2024, the loan
balances receivable for this program was $434,959.Direct Student Loan Program
The University disbursed $27,037,998 of loans under the Federal Direct Student Loans
program, which include Stafford Subsidized and Unsubsidized Loans and Parent Plus
Loans. It is not practical to determine the balances of the loans outstanding to students
of the University under the program as of June 30, 2024. The University is only
responsible for the performance of certain administrative duties and, accordingly, these
loans are not included in the University’s financial statements.