Notes to SEFA
Title: Loans
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. 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: Somerset County Technology Center has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
In accordance with 2 CFR 200.502(c), when loans are made to students of an institution of higher education (IHE) but the IHE does not make the loans, then only the value of loans made during the audit period must be considered federal awards expended in that audit period. Accordingly, student loan balances are not reported on the Schedule of Somerset County Technology Center.