Notes to SEFA
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of the Foundation under programs of the federal government for the year ended June 30, 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, Audit Requirements for Federal Awards (Uniform Guidance.) Because the Schedule presents only a selected portion of the operations of the Foundation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Foundation.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, the 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 expenditure are not allowable or are limited for reimbursement.
Funds shown as federal expenditures under the program are the original federal funds drawn plus interest and fees earned. $8,731,379 of the funds are being held in accounts with financial institutions in accordance with the program requirements. No funds were expended for obligations secured or collateralized in accordance with the program in the fiscal year ended June 30, 2025. Interest earned on the funds through June 30, 2025 totaled $1,925,488 and remained with the grant funds to be expended.
The Foundation uses a negotiated indirect cost rate of 20.8% of total direct salaries, wages and fringe benefits and a restricted indirect cost rate of 9.5% on salaries, wages and fringe benefits, depending on individual grant requirements and as approved by the U.S. Department of Education. The Foundation has elected not to use the 10% diminimis indirect cost rate as allowed under the Uniform Guidance.