Audit 24214

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE A Basis of PresentationThe accompanying schedule of expenditures of federal awards includes the federal award activity ofFairmount Plaza, Inc. and is presented on the accrual basis of accounting. The information in this scheduleis presented in accordance with the requirements of 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 a selected portion of the operations of FairmountPlaza, Inc., it is not intended to and does not present the financial position, changes in net assets, or cashflows of Fairmount Plaza, Inc.NOTE B Summary of Significant Accounting PoliciesExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Fairmount Plaza, Inc. has elected not touse the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.NOTE C U.S. Department of Housing and Urban Development Loan ProgramFairmount Plaza, Inc. has received a U.S. Department of Housing and Urban Development insured loanunder Section 202 Capital Advance of the National Housing Act. The loan balance outstanding at thebeginning of the year is included in the federal expenditures presented in the Schedule. Fairmount Plaza,Inc. received no additional loans during the year. The balance of the loan outstanding at December 31, 2022consists of:Outstanding BalanceCFDA Number Program Name at December 31, 202214.157 Supportive Housing for the ElderlySection 202 Capital Advance $ 4,047,700 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 4047700.