Audit 30683

Title: U.S. Department of Housing and Urban Development Loan Guarantee Program Accounting Policies: Basis of Presentation: The accompanying schedule of expenditures of federal awards includes the federal award activity of StonyBrook I Housing Services, Inc., and is presented on the accrual basis of accounting. 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 StonyBrook I Housing Services, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of StonyBrook I Housing Services, Inc. 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: StonyBrook I Housing Services, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. StonyBrook I Housing Services, Inc. received a mortgage loan partially guaranteed by the U.S. Department of Housing and Urban Development (HUD) under Section 542(c) of the Housing and Community Development Act of 1992, as amended. The balance shown in the Schedule represents HUD's 50% risk sharing obligation of the principal balance of the mortgage loan as of the beginning of the year ended June 30, 2022. The balance of the mortgage loan outstanding at June 30, 2022 was $1,631,754.