Notes to SEFA
Title: U.S. Small Business Administration Loans
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: The Organization has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance due to the nature of certain grant agreements prohibiting the use of an indirect cost rate, or due to the grant agreement allowing certain costs under specified budget arrangements.
The Organization has received loans from the U.S. Small Business Administration. Outstanding loan balances as of December 31, 2022 were as follows: SBA II $45,065; SBA III $136,895; SBA IV $243,578. Total Microloan Program (59.046) balance outstanding at the end of the audit period was $425,538.
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: The Organization has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance due to the nature of certain grant agreements prohibiting the use of an indirect cost rate, or due to the grant agreement allowing certain costs under specified budget arrangements.
The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Grow, formerly Grand Rapids Opportunities for Women, (Organization) under programs of the federal government for the year ended December 31, 2022. 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 the Organization, it is not intended to and does not present thefinancial position, changes in net assets, functional expenses, or cash flows of Grow.
Title: Reconciliation of Revenue from Federal Sources
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: The Organization has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance due to the nature of certain grant agreements prohibiting the use of an indirect cost rate, or due to the grant agreement allowing certain costs under specified budget arrangements.
Revenue reported as government agency grants in the December 31, 2022 statement of activities: $523,718. SEFA expenditures on grants recorded as revenue in prior years: $182,400. Revenue recorded in 2022, not yet expended: ($125,000). Outstanding loan balances included in SEFA: $632,550. Expenditures per schedule of expenditures offederal awards: $1,213,668.