Notes to SEFA
Title: Relationship to Basic Financial Statements
Accounting Policies: The accompanying Schedule has been prepared using the accrual basis of accounting as fully described in Note 1 to the Colleges component unit financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the Colleges basic financial statements. 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.
Title: Loan Programs
Accounting Policies: The accompanying Schedule has been prepared using the accrual basis of accounting as fully described in Note 1 to the Colleges component unit financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
During the year ended June 30, 2022, the College processed $888,035 of new loans under the Federal Direct Lending Program. Since these programs are administered by outside financial institutions, only the value of new loans made during the fiscal year relating to these programs are considered current year expenditures in the Schedule. The balance for loans for previous periods is not included as federal awards expended because the lender accounts for the prior balances.
Title: Reporting Entity
Accounting Policies: The accompanying Schedule has been prepared using the accrual basis of accounting as fully described in Note 1 to the Colleges component unit financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (Schedule) presents the activity of all federal award programs of Cecil College (College) for the fiscal year ended June 30, 2022.