Title: Note 1: Basis of presentation
Accounting Policies: Basis of Accounting - Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowed or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Indirect Cost Rate - The College has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of Sherman College of Straight Chiropractic, Inc. (the "College") under programs of the federal government for the year ended December 31, 2022. 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"). Because the Schedule presents only a selected portion of the operations of the College, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the College.
Title: Note 3: Federal Perkins Loans
Accounting Policies: Basis of Accounting - Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowed or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Indirect Cost Rate - The College has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The College administers the Federal Perkins Loan Program to provide financial aid to the students and transactions relating to this program are included in the College's financial statements. The Federal Perkins Loan Program expired in September 2017, and the College is in the process of liquidating the program. The loan balance outstanding by the College during the year ended December 31, 2022 under the Federal Perkins Loan program are summarized as follows: See Notes to the SEFA for chart/table.
Title: Note 4: Federal Direct Student Loans
Accounting Policies: Basis of Accounting - Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowed or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Indirect Cost Rate - The College has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Federal Direct Student Loans, amounting to $14,796,682, were made to students of the College during the year ended December 31, 2022. Graduate Parent Loans for Undergraduate Studies, amounting to $6,811,802 were made to students of the College during the year ended December 31, 2022.
Title: Note 5: Federal Work Study
Accounting Policies: Basis of Accounting - Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowed or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Indirect Cost Rate - The College has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The College is required to provide a match of no less than 25% on all wages paid to students. For the year ended December 31, 2022, total wages were $106,505 and the institutional match was $26,626. Administrative cost allowance claimed for the year ended December 31, 2022 was $4,776.
Title: Note 6: United States Department of Agriculture Loan
Accounting Policies: Basis of Accounting - Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowed or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Indirect Cost Rate - The College has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
In 2019, the College borrowed $14,812,697 from the United States Department of Agriculture. At December 31, 2022, $14,139,202 of the loan was outstanding. During the year ended December 31, 2022, payments on the loan balance totaled $231,823.