Title: Note A – Basis of Presentation
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the
federal grant activity of Spelman 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 Spelman
College, it is not intended to and does not present the financial position, changes in net assets, or
cash flows of Spelman College.
For purposes of the Schedule, federal awards include all grants, contracts and similar agreements
entered into directly between the College and agencies and departments of the federal
government and all subawards passed through to the College by nonfederal organizations
pursuant to federal grants, contracts and similar agreements. The Schedule also denotes awards
passed through from the College to other non-federal subrecipient organizations.
Title: Note B – Significant Accounting Policies
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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.
Title: Note C – Indirect Cost Rate
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
Title: Note D – Federal Perkins Loan Program (Assistance Listing 84.038)
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
During the fiscal year ending June 30, 2024, Spelman College completed the assignment,
liquidation, and closeout of its Federal Perkins Loan Program. The total outstanding loan
principal balance at the time of closeout was $3,990,232. All remaining loans have been assigned
to the U.S. Department of Education, with a total value of $3,485,547. Administrative costs
recovered from the federal government under the Perkins Loan Program during the fiscal year
amounted to $0.
The liquidation process was conducted in accordance with the Federal Perkins Loan Assignment
and Liquidation Guide. All necessary borrower records, including promissory notes, payment
histories, and correspondence, were gathered, and the required physical documentation was
mailed to the Department of Education’s designated address. Spelman College notified the
Department of Education of its intent to assign loans, and the related loan data was submitted
electronically through the Common Origination and Disbursement (COD) portal.Final reports, including a detailed accounting of all loan assignments and fund returns, were
submitted to the Department of Education. This included the submission of the Fiscal Operations
Report and Application to Participate (FISAP), which provided comprehensive data on the
Federal Perkins Loan Program.
No new loans have been made since October 1, 2017. The Perkins loans receivable balance as of
June 30, 2024, is $0.
Title: Note E – Federal Direct Student Loans (Direct Loans)
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
During the fiscal year ended June 30, 2024, Spelman College processed the following amounts
of loans under the Federal Direct Student Loans Program (which includes Federal Stafford
Loans, Federal Parents’ Loans for Undergraduate Students and Federal Unsubsidized Stafford
Loans): See referenced table
Title: Note F – Standards of Financial Responsibility
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The U.S. Department of Education requires private nonprofit institutions participating in Title IV
programs to demonstrate financial responsibility by meeting a ratio requirement. The component
of the ratio, as defined by the U.S. Department of Education, include cash and cash equivalents
of $95,015,997, current accounts and contributions receivable of $17,338,713 and current
liabilities of $22,233,713 as of June 30, 2024.
Title: Note G – Reconciliation of Total Expenditures of Federal Awards and Other Financial
Assistance to the Basic Financial Statements
Accounting Policies: Expenditures for direct costs are recognized as incurred using the accrual basis of accounting and
cost accounting principles of the Uniform Guidance. Under these cost principles, 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: Spelman College has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
Following is a summary reconciliation of total expenditures of federal awards and other financial
assistance as reported to the basic financial statements issued by Ernst & Young, LLP dated
November 18, 2024: See table referenced