Audit 25806

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 of St.Giles Manor, Inc. HUD Project No. 6735442, and is presented on the accrual basis of accounting. Theinformation in this schedule is presented in accordance with the requirements of Title 2 U. S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of St. Giles Manor, Inc., it is not intended to and does not present the financialposition, changes in net assets, or cash flows of St. Giles Manor, 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. St. Giles Manor, Inc. has elected not touse the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.NOTE C U.S. Department of Housing and Urban Development Loan ProgramThe accompanying schedule of expenditures of federal awards includes the loan balance outstanding atthe beginning of the year for the U.S. Department of Housing and Urban Development loan programs. Noadditional loans were received during the year. The balances outstanding as of December 31, 2022 areshown below:AssistanceListingNumber Loan ProgramOutstandingBalance.14.135 Section 221(d)(4) Mortgage Insurance $ 4,148,441 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. MORTGAGE INSURANCE_RENTAL AND COOPERATIVE HOUSING FOR MODERATE INCOME FAMILIES AND ELDERLY, MARKET INTEREST RATE (14.135) - Balances outstanding at the end of the audit period were 4148441.