Notes to SEFA
Title: NOTE A BASIS OF PRESENTATION
Accounting Policies: ACCRUAL ACCOUNTING
De Minimis Rate Used: N
Rate Explanation: THE AUDITEE DID NOT USE THE DE MINIMIS COST RATE
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Chalon Living, Inc. HUD Project No. 123-EE098, and is presented on the accrual basis of accounting. The information in this schedule is 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 Park Villa Casitas, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Park Villa Casitas.
Title: NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: ACCRUAL ACCOUNTING
De Minimis Rate Used: N
Rate Explanation: THE AUDITEE DID NOT USE THE DE MINIMIS COST RATE
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Park Villa Casitas has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE C LOAN PROGRAM
Accounting Policies: ACCRUAL ACCOUNTING
De Minimis Rate Used: N
Rate Explanation: THE AUDITEE DID NOT USE THE DE MINIMIS COST RATE
Park Villa Casitas has received a U.S. Department of Housing and Urban Development direct loan under Section 202 of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented Schedule. Park Villa Casitas received no additional loans during the year. The balance of the loan outstanding at June 30, 2023 consists of: CDFA Number Program Name June 30, 2023
14.157 Section 202 Direct Loan $7,012,800