Notes to SEFA
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.
De Minimis Rate Used: N
Rate Explanation: City of Baltimore Development Corporation and Subsidiary has elected not to use the 10% de minimis
indirect cost rate allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal
grant activity of City of Baltimore Development Corporation and Subsidiary, under programs of the federal
government for the year ended June 30, 2021. The information in this Schedule is presented in accordance
with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 City of Baltimore Development
Corporation and Subsidiary, it is not intended to and does not present the financial position, changes in net
assets, or cash flows of City of Baltimore Development Corporation and Subsidiary.
Title: Loan Program
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.
De Minimis Rate Used: N
Rate Explanation: City of Baltimore Development Corporation and Subsidiary has elected not to use the 10% de minimis
indirect cost rate allowed under the Uniform Guidance.
Expenditures for the Department of Commerce (DoC) Revolving Loan Fund represent the balance of
the loan fund at June 30, 2021, computed as follows:
Title: Administrative Costs
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.
De Minimis Rate Used: N
Rate Explanation: City of Baltimore Development Corporation and Subsidiary has elected not to use the 10% de minimis
indirect cost rate allowed under the Uniform Guidance.
The Department of Commerce Revolving Loan agreement allows for 50% of interest revenue and loan
fees to be distributed to City of Baltimore Development Corporation and Subsidiary for general and
administrative costs. Approximately $16,715 was distributed to City of Baltimore Development Corporation
and Subsidiary for the year ended June 30, 2021.