Notes to SEFA
Title: Notes Payable
Accounting Policies: BASIS OF PRESENTATION:
The accompanying schedule of expenditures of Federal Awards (the Schedule) includes the federal award activity of Hearthstone Homes of Wolfeboro, Inc. 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 Hearthstone Homes of Wolfeboro, Inc., it is not intended to and does not present the financial position, change in net assets, or cash flows of the Corporation. 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: INDIRECT COST RATE:
Hearthstone Homes of Wolfeboro, Inc. has elected not to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
Hearthstone Homes of Wolfeboro, Inc. has received direct loans from the U.S. Department of Agriculture-Rural Development. The loan balances outstanding at the beginning of the year are included in the federal expenditures presented on the Schedule. Hearthstone Homes of Wolfeboro, Inc. received no additional loans during the year. The balances of the notes payable outstanding at December 31, 2023 consist of:
Outstanding
Balance at
ALN Program Name December 31, 2023
10.415 Rural Rental Housing Loans $ 937
10.415 Rural Rental Housing Loans 799,184
10.415 Rural Rental Housing Loans 732,006
10.415 Rural Rental Housing Loans 36,603
Total Rural Rental Housing Loans $ 1,568,730
10.447 The Rural Development Multi-Family Housing
Revitalization Demonstration Program Loan $ 575,000