Notes to SEFA
Title: Loan and Loan Guarantee Programs
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Federation Housing II, Inc. (the Project) under a program of the federal government for the year ended December 31, 2023 and is presented on the accrual basis of accounting. The information in the 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). Some amounts presented in the Schedule may differ from amounts presented in, or used in the presentation of, the financial statements.
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.
De Minimis Rate Used: N
Rate Explanation: The Project has not elected to use the 10% de minimis indirect cost rate.
The Project has a Capital Advance/Building Loan Agreement with HUD under Section 811 of the National Affordable Housing Act totaling $1,146,700 as of December 31, 2023.