Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: NOTE A BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federal grantactivity of Ezra Towner, Sr. Estates, HUD Project No. 065-EH181-L8, and is presented on theaccrual basis of accounting. The information in this schedule is presented in accordance withrequirements of Title 2 U.S. Code of Federal Regulations, Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (UniformGuidance). Therefore, some amounts presented in this schedule may differ from amountspresented in, or used in the preparation of, the basic financial statements. Because theSchedule presents only a selected portion of the operations of Ezra Towner, Sr. Estates, it is notintended to and does not present the financial position, changes in net assets, or cash flows ofthe Project.NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures 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.NOTE C U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOANPROGRAMEzra Towner, Sr. Estates has a U.S. Department of Housing and Urban Development directloan under Section 202 of the National Housing Act. The loan balance outstanding at thebeginning of the year is included in the federal expenditures presented in the Schedule. Thebalances of the loans outstanding at April 30, 2022 consists of: Section 207/223(f) Insured Loan: 1,814,238; Section 2 Direct Loan: 122,505. Total: $1,936,743
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS (14.155) - Balances outstanding at the end of the audit period were 1814238. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 122505.