Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Ohio Valley Regional Developoment Commission (the Commission) under programs of the federal government for the year ended December 31, 2025. The information on this Schedule is prepared in accordance iwht 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 Commission, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Commission.
Expenditures reported on the Schedule 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 may or may not be allowable or may be limited as to reimbursement.
Th Commission has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The Commission has established a revolving loan program to provide low-interest loans to businesses to create jobs in the region. The Appalachian Regional Commission (ARC) and the Economic Development Administration (EDA) have granted money for these loans to the Commission. The initial loan of this money is recorded as a disbursement on the accompanying schedule. Loans repaid, including interest, are used to make additional loans. Such subsequent loans are subject to certain compliance requirements imposed by the grantors. Such loans are included as expenditures on the schedule. In 2016 the Commission took over the revolving loan program from Ohio Valley Resource Conservation & Development Council (OVRC&D) who had decided to end operations. This loan program was funded by the United States Department of Agriculture, Rural Development, Rural Business Enterprise Grant (USDA RD RBEG). Collateral for these loans is determined on a case-by-case basis, but includes mortgages on the real estate and liens on business equipment and inventory. 2025 revolving loan fund expenditures are based upon the following calculations, per ARC, EDA and USDA RD guidance. The outstanding loan balance for the year ended December 31, 2025 for USDA RD Revolving Loan was $126,906.
Certain Federal programs require the Commission to contribute non-Federal funds (matching funds) to support the Federally-Funded programs. The Commission has met its matching requirements. The Schedule does not include the expenditure of non-Federal matching funds.