FY22 financial report print.indd
Virginia Tech Financial Report 2021-2022
A Sustainable Land Development class tours the campus near the Human and Agricultural Biosciences Building I. Photo by Ray Meese for Virginia Tech.
21. Grants, Contracts, and Other Contingencies The university has received federal grants for specific purposes that are subject to review and audit by the grantor agencies. Claims against these resources are generally conditional upon compliance with the terms and conditions of grant agreements and applicable federal regulations, including the outlay of resources for allowable purposes. Any disallowance resulting from a federal audit may become a liability of the university. In addition, the university is required to comply with various federal regulations issued by the Office of Management and Budget. Failure to comply with certain system requirements of these regulations may result in questions concerning the allowance of related direct and indirect charges pursuant to such agreements. As of June 30, 2022, the university estimates that no material liabilities will result from such audits or questions.
22. Federal Direct Lending Program The university participates in the Federal Direct Lending Program. Under this program, the university receives funds from the U.S. Department of Education for Stafford and Parent PLUS Loan Programs, and disburses these funds to eligible students. The funds can be applied to outstanding student tuition and fee charges or refunded directly to the student. These loan proceeds are treated as student payments, with the university acting as a fiduciary agent for the student. Therefore, the receipt of the funds from the federal government is not reflected in the federal govern ment grants and contracts total on the Statement of Revenues, Expenses, and Changes in Net Position . The activity is included in the noncapital financing section of the Statement of Cash Flows. For the fiscal year ended June 30, 2022, cash provided by the program totaled $148,432,000 and cash used by the program totaled $148,432,000.
Notes to Financial Statements
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