Notes to SEFA
Title: Note C - U.S. Department of Housing and Urban Development Insured Loan Prog
Accounting Policies: Note A - Basis of Presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Mandorla Gardens Housing Development Fund Company, Inc. (Mandorla), HUD Project No. 012-43293, 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 Mandorla, it is not intended to and does not present the financial position, results of operations, changes in net assets, or cash flows of Mandorla. Note B - Summary of Significant Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.Mandorlas policy is not to charge federal programs with indirect costs.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate. Mandorlas policy is not to charge federal programs with indirect costs.
Mandorla Gardens Housing Development Fund Company, Inc. has received a loan insured by HUD under Section 232 of the National Housing Act. The loan balance outstanding at the beginning of the period is included in the federal expenditures presented in the Schedule. The balance of the loan outstanding at December 31, 2022 is $21,038,097.