Notes to SEFA
Accounting Policies: 1. Scope of Audit Pursuant to Uniform Guidance The Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs of the Authority. All federal awards received directly from federal agencies as well as federal awards passed through other governmental agencies or other entities are included in the Schedule. The Authority has elected to use the 10 percent de minimis indirect cost rate allowed under the UniformGuidance.2. Basis of Presentation The Authority's Schedule of Expenditures of Federal Awards has been prepared using the same basis of accounting as the December 31, 2021 financial statements of the Authority. The Authority reports to HUD using the accrual basis of accounting. A complete description of the basis of accounting is included in note1 to those financial statements.3. Contingencies In connection with various federal grant programs, the Authority is obligated to administer related programs and spend the funds in accordance with regulatory restrictions, and is subject to audit by grantor agencies and other auditors. In cases of noncompliance, the agencies involved may require the Authority to refund program funds.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.