Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: Expenditures are reported on the schedule are reported on the accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
RURAL ELECTRIFICATION LOANS AND LOAN GUARANTEES (10.850) - Balances outstanding at the end of the audit period were 80709114.
Title: Continuing Compliance Requirements
Accounting Policies: Expenditures are reported on the schedule are reported on the accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Association has unpaid RUS loans with continuing compliance requirements in the amount of $80,709,114 at December 31, 2022.
Title: Subrecipients
Accounting Policies: Expenditures are reported on the schedule are reported on the accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
There were no awards passed through to subrecipients.
Title: Recognition of Federal Expenditures
Accounting Policies: Expenditures are reported on the schedule are reported on the accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Association incurred $5,415,402 of FEMA related expenditures in 2021. In accordance with FEMA's Public Assistance Program guidelines, the Association recorded the eligible expenditures in its fiscal year 2022 Schedule of Expenditures of Federal Awards when its project worksheets were approved by FEMA.