Notes to SEFA
Title: NOTE A - BUSINESS AND ORGANIZATION
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of BFA and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with requirements of Title 2 U.S. Code of Federal Regulations (“CFR”) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
BFA generally operates under cost-type contracts with its federal sponsor and records costs as the effort is expended. Contract costs are recorded on the basis of direct costs, overhead and general and administrative expenses incurred. Indirect costs are allocated on the basis of direct labor cost incurred.
De Minimis Rate Used: N
Rate Explanation: BFA has elected not to use the 10% de minimis cost rate provided for in Subpart E, Section 200.414 of the Uniform Guidance.
BlueForge Alliance (“BFA”) is a nonprofit organization established September 21, 2022, under the laws of the State of Texas to serve as an unbiased, neutral program integrator across industry, academia, and government to advance national security objectives. BFA was formed to help galvanize and revitalize the U.S. defense industrial base, with particular attention to the submarine industrial base, supporting the
United States Department of Defense and the U.S. Navy.
Title: NOTE C - RESEARCH AND DEVELOPMENT PROGRAM CLUSTER
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of BFA and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with requirements of Title 2 U.S. Code of Federal Regulations (“CFR”) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
BFA generally operates under cost-type contracts with its federal sponsor and records costs as the effort is expended. Contract costs are recorded on the basis of direct costs, overhead and general and administrative expenses incurred. Indirect costs are allocated on the basis of direct labor cost incurred.
De Minimis Rate Used: N
Rate Explanation: BFA has elected not to use the 10% de minimis cost rate provided for in Subpart E, Section 200.414 of the Uniform Guidance.
BFA has determined that its federal contract constitute a research and development program cluster. Accordingly, the accompanying schedule of expenditures of federal awards reflects its federal contract as a research and development program cluster.