Notes to SEFA
Title: NOTE 2 – PROGRAM COSTS
Accounting Policies: NOTE 1 – BASIS OF ACCOUNTING
The Schedule of Expenditures of Federal Awards is prepared on the same basis of accounting as HAOC’s
financial statements. HAOC conforms to generally accepted accounting principles.
De Minimis Rate Used: N
Rate Explanation: DE MINIMIS COST RATE - The HAOC has elected not to use the de minimis cost rate.
The amounts shown as federal expenditures for the Supportive Housing for Persons with Disabilities (5-Year
Main Stream) Program (CFDA 14.879) represents grant portions of the program costs. Entire program costs,
including HAOC’s portion, totaled $800,652 for the year ended December 31, 2022.
Amounts shown as federal expenditures for the Washington State (Department of Commerce) HOME Tenant
Based Rental Assistance (TBRA) Program (CFDA 14.239) represent grant portions of the program costs. Entire
program costs, including HAOC’s portion, totaled $172,436 for the year ended December 31, 2022.
The amounts shown as federal expenditures for the USDA Rural Development programs represent grant portions
of the program costs for the Twisp Gardens Apartments, Elmwood Apartments, and Peachtree Apartments
(CFDA 10.415 and 10.427). Included are outstanding loan balance at year-end, annual interest subsidy per USDA
RD loan agreement, and rental assistance payments. Entire program costs, including HAOC’s portion, totaled
$271,446 for the year ended December 31, 2022. The balance outstanding on the loans at December 31, 2022
were as follows:
Twisp Gardens USDA Loan 56-024-91 169473-010 $ 161,998
Peachtree Apartments USDA Loan 56-024-78 6869895-02-4 $ 528,210
Elmwood Apartments USDA Loan 56-024-78 6869895-03-6 $ 539,887