Notes to SEFA
Title: Federally Financed Loans
Accounting Policies: The consolidated schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Shepherd University Foundation, Inc. (EIN# 55-6020064) and Shepherd University Foundation Supporting Organization (EIN# 81-1054787) under programs of the federal government for the year ended June 30, 2023. Shepherd University Foundation, Inc. has not received any funding under federal award programs and the expenditures included on the Schedule reflect only those of Shepherd University Foundation Supporting Organization. The information in the 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 the Foundation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Foundation. Single audit testing procedures were performed for program transactions occurring during the fiscal year ended June 30, 2023. The accompanying Schedule includes all federal grants of the Foundation which had expenditures or continuing loan compliance requirements during fiscal year 2023 on the accrual basis of accounting. The Schedule has been prepared in accordance with accounting principles generally accepted in the United States of America. 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.
De Minimis Rate Used: N
Rate Explanation: The Foundation charges only direct costs to federal award programs and has not negotiated an indirect cost rate with grantors or elected to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance.
On January 19, 2018, the Foundation received permanent financing from the United States Department of Agriculture (USDA) under the Community Facilities Loans and Grants program (Assistance Listing #10.766) to construct a student housing facility on the Shepherd University campus. All expenditures were incurred prior to the permanent financing by the USDA. However, the loan is subject to continuing compliance requirements and is required to be reported on the Foundation’s consolidated schedule of expenditures of federal awards until it is repaid. A summary of the USDA beginning of year loan balance to the outstanding loan balance as of June 30, 2023 is as follows: "See the Notes to SEFA for chart/table"