Notes to SEFA
Title: NOTE 1 – BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the 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. Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards includes the federal award activity of Presidential Gardens Neighborhood Association, Inc. (Project No. 023-11686) under programs of the federal government for the year ended May 31, 2023. The information in this 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 of Presidential Gardens Neighborhood Association, Inc. it is not intended to and does not present the financial position, changes in net assets, or cash flows of Presidential Gardens Neighborhood Association, Inc. For the year ended May 31, 2023, no awards were passed through to subrecipients.
Title: NOTE 3 – U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAM
Accounting Policies: Expenditures reported on the Schedule are reported on the 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. Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Presidential Gardens Neighborhood Association, Inc. has received a U.S. Department of Housing and Urban Development direct loan under Section 223(f) of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. Presidential Gardens Neighborhood Association, Inc. received no additional loans during the year. The balance at May 31, 2023 consists of: Mortgage Insurance for the Purchase
14.155 or Refinance Of Existing Multifamily
Housing Projects (Section 223(f)) $ 15,829,396
Title: NOTE 4 – FINDING OF NONCOMPLIANCE
Accounting Policies: Expenditures reported on the Schedule are reported on the 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. Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Presidential Gardens Neighborhood Association, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
There were no findings of noncompliance identified in connection with the Company’s single audit for the year ended May 31, 2023.