Audit 322484

Title: Note C — U.S. Department of Housing and Urban Development Loan Program Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Grace Congregate Housing Corporation 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). The schedule presents only a selected portion of the operations of Grace Congregate Housing Corporation. It is not intended to, and does not present, the financial position, changes in net assets or cash flows of Grace Congregate Housing Corporation. De Minimis Rate Used: N Rate Explanation: 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. Grace Congregate Housing Corporation has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. Grace Congregate Housing Corporation has received U.S. Department of Housing and Urban Development Section 202 Capital Advance and HOME Investment Partnership loans. The advances outstanding at the beginning of the year are included in the federal expenditures presented in the schedule. Grace Congregate Housing Corporation received no additional loans during the year. The balance outstanding at December 31, 2023, consists of: Section 202 Capital Advance 14.157 $ 3,567,999 HOME Investment Partnerships Program 14.239 $ 1,061,804