Title: Note 2: Campus-Based Loan Programs
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of South Alabama (the University) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: For the year ended September 30, 2024, the University did not elect to use the 10% De Minimis Indirect Cost Rate permitted by Uniform Guidance, as a negotiated indirect cost rate existed on all grants where indirect costs are applicable.
Outstanding campus based federal loans made by the University are included in notes receivable in the University’s 2024 statement of net position and consist of the following loan programs: Outstanding amounts at September 30, 2024 - ALN 84.038 Federal Perkins Loan Program $441,485; ALN 93.264 Nurse Faculty Loan Program $822,272. Amounts advanced in 2024 - ALN 84.038 Federal Perkins Loan Program $0; ALN 93.264 Nurse Faculty Loan Program $120,284. For the Federal Perkins Loan Program (FPLP) the Schedule includes the beginning of the year balance of loans outstanding under the FPLP and current year FPLP loan advances to students totaling $566,207 and $0, respectively. No administrative cost allowance was claimed related to the FPLP during 2024.
Title: Note 3: Contingencies
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of South Alabama (the University) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: For the year ended September 30, 2024, the University did not elect to use the 10% De Minimis Indirect Cost Rate permitted by Uniform Guidance, as a negotiated indirect cost rate existed on all grants where indirect costs are applicable.
The University’s federal programs are subject to financial and compliance audits by grantor agencies which may result in disallowed expenditures and affect the University’s continued participation in specific programs.
Title: Note 4: Federal Direct Student Loans Program (ALN 84.268)
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of South Alabama (the University) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: For the year ended September 30, 2024, the University did not elect to use the 10% De Minimis Indirect Cost Rate permitted by Uniform Guidance, as a negotiated indirect cost rate existed on all grants where indirect costs are applicable.
The University’s Federal Direct Student Loan Program (Direct Loan) included in the Schedule represents loans advanced to students of the University during 2024, which were not originated by the University. Accordingly, Direct Loan amounts are not reflected in the University’s basic financial statements. It is not practicable to determine the balance of loans outstanding to students and former students of the University under these programs as of September 30, 2024.
During the year ended September 30, 2024, the University advanced to students the following amounts of new loans under Direct Loan programs:
Subsidized stafford loans $14,688,994; Unsubsidized stafford loans $65,553,569; Parent loans for students $34,980,418. Total: $115,222,981.
Title: Note 5: Matching
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of South Alabama (the University) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: For the year ended September 30, 2024, the University did not elect to use the 10% De Minimis Indirect Cost Rate permitted by Uniform Guidance, as a negotiated indirect cost rate existed on all grants where indirect costs are applicable.
Under the Federal Supplemental Education Opportunity Grant Program, the University matched $124,102 in funds awarded to students for the year ended September 30, 2024 in addition to the Federal share of expenditures included in the Schedule.