Notes to SEFA
The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Alabama Agricultural Development Authority (the Authority) and is presented on the accrual basis of accounting. Under this basis of accounting, revenues are recognized when earned and expenses are recognized when the related liability is incurred. 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 (the Uniform Guidance). Therefore, some of the amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the financial statements.
The Authority's reporting entity is fully described in Note 1 to the financial statements.
The Authority did not elect to charge a de minimus rate of 15% for all federal awards.
During the fiscal year ended September 30, 2025, the entity received $7,985,204 in federal grant funds under the U.S. Department of Agriculture’s Rural Economic Development Loan and Grant (REDLG) program. Of this amount: $7,944,097 was awarded to the Authority to establish a revolving loan fund to support ruraleconomic development. As of year-end, $8,844,460 had been disbursed to borrowers underthis fund, of which $8,798,225 was the outstanding loan balance at year-end. In 2025,$5,803,338 was disbursed to borrowers.$41,107 was received as reimbursement for eligible program expenditures. In accordance with 2 CFR §200.502, the full $5,844,445 is reported as federal expenditures in the Schedule of Expenditures of Federal Awards.