Audit 322117

Accounting Policies: 1. Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of The Homestead Place, Inc., HUD Project 042-HD034-WDD, 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 selection portion of the operations of The Homestead Place, Inc., it is not intended to and does not present the financial position, change in net assets, or cash flows. 2. Significant Accounting Policies: (a) 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. (b) The Homestead Place has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. (c) Expenditures include $1,383,900 of outstanding principal from capital advances received from the Department of Housing and Urban Development in prior years for the purchase and construction of facilities. (d) There were no sub-recipients for the year ended December 31, 2023. De Minimis Rate Used: N Rate Explanation: The Homestead Place has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.