Audit 303747

Title: Capital Advance Program Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal awards activity of Eaton Knolls Housing Development Fund Corporation (the “Project”) under programs of the federal government for the year ended December 31, 2023. 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 Project, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Project. De Minimis Rate Used: N Rate Explanation: 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. The Project has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Project has received a U.S. Department of Housing and Urban Development capital advance under Section 811 of the National Housing Act. The capital advance balance outstanding at the beginning of the year is included in the total federal expenditures presented in the Schedule. The outstanding capital advance balance as of December 31, 2023 was $1,880,100.