Notes to SEFA
Title: LOANS OUTSTANDING
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 and OMB Circular A-122, Cost Principles for Non-Profit Organization, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not elect to use the de minimis cost rate.
The project has received a U.S. Department of Housing and Urban Development direct loan under Section 202 of the National Housing Act. The loan balance outstanding at the beginning of the period is included in the federal expenditures presented in the Schedule. The balance of the loan outstanding under CFDA number 14.157 is $2,749,000 at December 31, 2022.The Project had the following loan balances outstanding at December 31, 2022. This mortgage note payable is included in the federal expenditures presented in the Schedule. A summary of activity and the outstanding balance as of December 31, 2022 is as follows: Balance, January 1, 2022 - $5,650,543, Principal repayments - $106,026, Balance, December 31, 2022 - $5,544,517.