Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures (or tenant assistance payments) reported on the Schedule are reported on the accrual basis
of accounting as more fully described in Note 1 to the Project financial statements, as well as in
accordance with the Uniform Guidance. 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 minimus indirect cost rate as discussed in Uniform Guidance Section 200.414.
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Owings
Mills Senior Housing, Inc. (the Project) and is presented using the accrual basis of accounting. The
information in this schedule is presented in accordance with the audit 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 the Project, it is not intended to and does not present the financial position,
changes in net deficit, or cash flows of the Project.
Title: Supportive Housing for the Elderly
Accounting Policies: Expenditures (or tenant assistance payments) reported on the Schedule are reported on the accrual basis
of accounting as more fully described in Note 1 to the Project financial statements, as well as in
accordance with the Uniform Guidance. 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 minimus indirect cost rate as discussed in Uniform Guidance Section 200.414.
As of June 30, 2023, the Project has an outstanding balance due to the U.S. Department of Housing and
Urban Development in the amount of $5,571,100, which is reported in the statement of financial position in
the line item “Capital advance.” The federal government imposes continuing compliance requirements
under Assistance Listing Number (ALN) 14.157, Supportive Housing for the Elderly (Section 202) for the
balance of the loan. Per Section 200.502 of the Uniform Guidance, the balance of loans or loan guarantee
programs with continuing compliance requirements should be shown on the Schedule as of the beginning
of the audit period. The July 1, 2022 balance of the loan was $5,571,100.