Notes to SEFA
Title: Note 3 - Mortage
Accounting Policies: Note 1 – Basis of Presentation and Significant Accounting Policies:
The schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of
Harlem West II Housing Development Fund Company, Inc. HUD Project No. 012-44162 (the “Company”),
and is presented on the accrual basis of accounting, following the cost principles contained in the Uniform
Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The
information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal
Regulations (CFR) 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 Company, it is not intended to and does not present the financial position, changes in net
assets or cash flows of the Company.
De Minimis Rate Used: N
Rate Explanation: The Company has elected not to use the ten percent de minimis indirect cost rate as allowed under the
Uniform Guidance.
The Company has a loan guaranteed by HUD, and the outstanding balance of the loan at March 31, 2022
is $17,256,229. There was no loan balance outstanding at the beginning of the year to be included in the
federal expenditures presented in the Schedule.