Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: 1. Basis of PresentationThe accompanying schedule of expenditures of federal awards (SEFA) includes thefederal award activity of the Association under the programs of the federal governmentfor the year ended June 30, 2022. The information in the SEFA is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements forFederal Awards (Uniform Guidance). Because the SEFA presents only a selectedportion of the operations of the Association, it is not intended to, and does not, presentthe financial position, changes in net assets, or cash flows of the Association.2. Summary of Significant Accounting PoliciesExpenditures reported in the SEFA are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the UniformGuidance, where certain types of expenditures are not allowable or are limited as toreimbursement.3. Indirect Cost RatesThe Association records its expenditures of federal awards using the indirect cost andfringe benefit rate per the nonprofit rate agreement with the federal government, whichwas approved in accordance with the authority of the Uniform Guidance.In this manner, the Association has elected not to use the 10% de minimis indirect costrate, as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
DISASTER ASSISTANCE LOANS (59.008) - Balances outstanding at the end of the audit period were 147233.