Notes to SEFA
Title: Note 4 - Contingency
Accounting Policies: Note 1 – Basis of Presentation
The accompanying schedule of expenditures of federal awards includes the federal grant activities of St.
Patrick’s Housing Corporation II (the “Organization”), HUD Project No. 067-EE152. 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
the Organization, it is not intended to and does not present the financial position, changes in net assets, or
cash flows of the Organization.
Note 2 – 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.
De Minimis Rate Used: N
Rate Explanation: Note 3 – Indirect Costs
The Organization has elected not to use the 10% de minimis cost rate allowed by the Uniform Guidance.
Expenditures incurred by the Organization are subject to audit and possible disallowance by federal
agencies. Management believes that, if audited, an adjustment for disallowed expenses would be
immaterial.