Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) summarizes the expenditures of the Maryland Institute College of Art (the College) under programs funded by the federal government for the year ended May 31, 2025. 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 made to the College by nonfederal organizations pursuant to federal grants, contracts, and of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance). Becase the Schedule presents only a select portion of the operations of the College, it is not intended to and does not present the financial position, change in net assets, or cash flows of the College. The College did not pass through any amounts to subrecipients for the year ended May 31, 2025.
The Schedule is presented using the accrual basis of accounting. Such expenditures are recognized following cost principles contained in Title 2 U.S. Code of Federal Regulations part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards wherein certain types of expenditures are not allowable or are limited as to reimbursement when applicable.
The Federal Perkins Loan Program (Perkins) is administered directly by the College. Balances and transactions relating to the program are included in the College's financial statements. There were no loans outstanding under the Perkins program as of May 31, 2025 and 2024. The College completed the liquidation of the Federal Perkins Loan Program during fiscal year 2025.
The College is responsible only for the performance of certain administrative duties with respect to the Federal Direct Loans program, and accordingly, these loans are not included in its financial statements and it is not practical to determine the balance of loans outstanding to students and former students of the College under this program. The amount of direct loans advanced during the year ended May 31, 2025 was $18,416,934.
The College has not elected to utilize the de minimus indirect cost rate allowed under the Uniform Guidance.