Title: Basis of preparation
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: Compass Affordable Housing, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal and other governmental award activity of Compass Affordable Housing, Inc. and Affiliates under programs of the federal and other governments for the year ended June 30, 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 Compass Affordable Housing, Inc. and Affiliates, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Compass Affordable Housing, Inc. and Affiliates.
Title: Other contracts
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: Compass Affordable Housing, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
In the event that the grantor was either unable to or did not confirm the source of federal funds all amounts were assumed to be federal for purposes of the schedule of expenditures of federal awards.
Title: Government loans
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: Compass Affordable Housing, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Loans outstanding at the beginning of the year and new loans received during the current year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding at June 30, 2023, consists of: Arizona Dept. of Housing – Home Investment Ptr. Program - CFDA #14.239 - $1,500,000; City of Tucson CHD – Home Investment Ptr. Program - CFDA #14.239 - $990,000; Pima County – Home Investment Ptr. Program - CFDA #14.239 - $100,000. Government loans total $2,590,000.
Title: Major programs
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: Compass Affordable Housing, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Major programs are identified in the Summary of Auditor's Results section of the Schedule of Findings and Questioned Costs.
Title: Reconciliation of schedule of expenditures of Federal awards to Statement of Activities
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: Compass Affordable Housing, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Total Federal expenditures - SEFA - $3,845,050; Total non-Federal expenditures 90,249; Total expenditures $3,935,299; Less: Loan balances and program income treated as income on SEFA (2,590,000); Total governmental financial assistance - Statement of Activities $1,345,299.