The accompanying schedule of expenditures of federal awards (the Schedule) presents the federal fund expenditures of all federal award programs of SER-Jobs for Progress of the Texas Gulf Coast, Inc. (SER-Jobs) for the year ended August 31, 2025. 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 SER-Jobs, it is not intended to and does not present the financial position, change in net assets, or cash flows of SER-Jobs.
The following reconciles the accompanying schedule of expenditures of Federal awards to government fees and grants as reported in the consolidated financial statements of SER: For the year ended August 31, 2025 Total expenditures of federal awards per accompanying schedule $ 5,892,870 Less: Refundable advance - City of Houston ( 848,697) Total federal grant revenue - construction and programs per consolidated statement of activities $ 5 ,044,173
During the year ended August 31, 2025, SER-Jobs maintained the following types of commercially acquired insurance: • Building and business property - $14,376,315 aggregate. • Umbrella liability - $5,000,000 general aggregate. • Commercial general liability - $3,000,000 general aggregate. • Automobile liability - $1,000,000 combined single limit. • Abusive conduct liability - $1,000,000 aggregate. • Directors and officer liability - $1,000,000 aggregate. • Workers’ compensation- $1,000,000 each accident. • Cyber security liability - $1,000,000 aggregate. • Accident policy - $500,000 per occurrence. • Life insurance - $300,000 per occurrence. • Individual annuities - $250,000 per occurrence.
During the year ended August 31, 2024, SER received a commitment from the City of Houston for a loan amount of $1,343,307 to construct a childcare room at the SERJobs Workforce Training Center, located at 1960 Tellepsen, Houston, Texas 77023 (the Project). At August 31, 2025 and 2024, SER received cumulatively $1,040,294 and $191,597, respectively, under the agreement. Additional funding is expected throughout the life of the Project. As part of the loan agreement, the Project shall be used solely for the purpose of constructing a childcare room, which will provide play space to the children while their parents or guardians are receiving services at the SERJobs Workforce Training Center. Under the terms of the agreement, the Project must be used throughout the five year restricted use period at the completion of the construction. Reimbursement on the loan will not be required after the restricted use period ends. In the event of a default, the outstanding principal balance shall be immediately due and payable, with interest at a rate equal to the lesser of 8% per annum or the maximum rate of interest permitted by applicable law. The building construction was formally completed and certificate of occupancy was received by SER dated September 22, 2025. At August 31, 2025 and 2024, SER will delay recognition of the City of Houston loan as contribution revenue until it is forgiven. As of August 31, 2025 and 2024, the City of Houston loan funds are recorded as a refundable advance on the consolidated statements of financial position.
SER-Jobs did not receive any federal noncash assistance for the fiscal year ended August 31, 2025.