Notes to SEFA
Accounting Policies: NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDSYear ended June 30, 2022NOTE A - BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federal activity of FAITH HOMES OF CLEVELAND OPPORTUNITY CENTER, INC., HUD Project No. 118-HD018, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the uniform guidance, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the presentation of the basic financial statements.NOTE B - EXPENDITURESTotal federal awards expended include current year accrued Section 8 Project Rental Assistance Contract and Section 811 Capital Advance at inception of the Project. No payments of principal or interest are due under the capital advance as long as the project is made available to low-income persons with disabilities. In addition, after 40 years the mortgage is considered paid in full.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.