Audit 21121

Title: 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of the Mercer County Housing Authority (Authority) under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 the Authority, it is not intended to and does not present the net position, changes in net position, or cash flows of the Authority.Component UnitThe Authoritys financial statements include operations of Mercer County Housing Associates LLC (MCHA LLC), a non-profit organization, which reported $10,986,634 on their schedule of federal awards that are not included in the accompanying Schedule for the year ended June 30, 2022. The expenses of MCHA LLC are excluded because MCHA LLC completed a separate audit in accordance with the Uniform Guidance.