Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (schedule) includes the federalgrant activity of Maryland Capital Enterprises, Inc. and is presented on the accrual basis ofaccounting. This schedule reflects expenditures and outstanding loans for all individual federalprograms which were active during the fiscal year. The information in this schedule is presentedin accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ fromamounts presented in, or used in, the preparation of the financial statements.BASIS OF ACCOUNTINGExpenditures reported on the Schedule of Expenditures of Federal Awards are reported on theaccrual basis of accounting. Such expenditures are recognized following the cost principlescontained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance),wherein certain types of expenditures are not allowable or are limited to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 196095. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM (10.870) - Balances outstanding at the end of the audit period were 376261. COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS PROGRAM (21.020) - Balances outstanding at the end of the audit period were 182308. COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS RAPID RESPONSE PROGRAM (CDFI RRP) (21.024) - Balances outstanding at the end of the audit period were 1283030. MICROLOAN PROGRAM (59.046) - Balances outstanding at the end of the audit period were 482942.
Title: RELATIONSHIP OF SEFA TO FINANCIAL STATEMENTS
Accounting Policies: BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (schedule) includes the federalgrant activity of Maryland Capital Enterprises, Inc. and is presented on the accrual basis ofaccounting. This schedule reflects expenditures and outstanding loans for all individual federalprograms which were active during the fiscal year. The information in this schedule is presentedin accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ fromamounts presented in, or used in, the preparation of the financial statements.BASIS OF ACCOUNTINGExpenditures reported on the Schedule of Expenditures of Federal Awards are reported on theaccrual basis of accounting. Such expenditures are recognized following the cost principlescontained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance),wherein certain types of expenditures are not allowable or are limited to reimbursement.
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 presents the activity of all federal financial assistance programs of the Organization. The schedule includes federal expenditure loans received from federal agencies which are to be re-loaned to various enterprises. These loans are allowable expenditures under the various programs but treated as assets in the financial statements. Therefore, the schedule does not present the financial position or results of changes in net assets of Maryland Capital Enterprises, Inc.