Audit 22168

Title: Subrecipients Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal financialassistance activity of St. Joseph Garden Courts, Inc. (the Project) and is presented on the accrual basis ofaccounting. For purposes of this schedule, federal financial awards include an insured mortgage payableentered into by the Project. The information in this schedule is presented in accordance with the requirementsof 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 aselected portion of the operations of the Project, it is not intended to and does not present the financialposition, changes in net assets, or cash flows of the Project.Federal expenditures of $11,069,516 are comprised of $402,737 in current year expenditures and theoutstanding balance of the insured mortgage payable by the U.S. Department of Housing and UrbanDevelopment and related grant funds totaling $10,666,779, as of June 30, 2022, which is required to beincluded each year the federal government imposes compliance requirements on the program funded by theoriginal loan. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Of the federal expenditures presented in the Schedule, the Project provided no awards to subrecipients.