Notes to SEFA
THE ACCOMPANYING SCHEDULE OF EXPENDITURES OF FEDERAL AND STATE AWARDS (SEFSA) INCLUDES THE FEDERAL AND STATE GRANT ACTIVITY OF FALLS LAKE ACADEMY, INC. UNDER THE PROGRAMS OF THE FEDERAL GOVERNMENT AND THE STATE OF NORTH CAROLINA FOR THE YEAR ENDED JUNE 30, 2025. THE INFORMATION IN THIS SEFSA IS PRESENTED IN ACCORDANCE WITH THE REQUIREMENTS OF TITLE 2 US CODE OF FEDERAL REGULATION PART 200, UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES, AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS AND THE STATE SINGLE AUDIT IMPLEMENTATION ACT. BECAUSE THE SEFSA PRESENTS ONLY A SELECT PORTION OF THE OPERATIONS OF FALLS LAKE ACADEMY, INC., IT IS NOT INTENDED TO AND DOES NOT PRESENT THE FINANICAL POSITION, CHANGES IN NET POSITION OR CASH FLOWS OF FALLS LAKE ACADEMY, INC.
EXPENDITURES REPORTED IN THE SEFSA ARE REPORTED ON THE MODIFIED 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 REIMBURSEMENTS.
THE SCHOOL HAD THE FOLLOWING LOAN BALANCES AT JUNE 30, 2025 FOR LOANS THAT THE GRANTOR/PASS-THROUGH GRANTOR HAS STILL IMPOSED COMPLIANCE REQUIREMENTS. THE BALANCE OF LOANS OUTSTANDING CONSIST OF: USDA RURAL DEVELOPMENT - COMMUNITY FACILITY LOANS, CFDA #10.766. AMOUNT OUTSTANDING: $18,868,937