Notes to SEFA
Title: Basis of Presentation
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 not limited as to reimbursement. Southwicke Square Cooperative has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
The accompanying schedule of expenditures of federal awards (the ‘Schedule’) includes the federal award activity of Southwicke Square Cooperative under programs of the federal government for the year ended May 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 selected portion of the operations of Southwicke Square Cooperative, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Southwicke Square Cooperative.
Title: Summary of Significant Accounting Policies
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 not limited as to reimbursement. Southwicke Square Cooperative has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
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 not limited as to reimbursement. Southwicke Square Cooperative has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: US Department of Housing and Urban Development Loan Program
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 not limited as to reimbursement. Southwicke Square Cooperative has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
Southwicke Square Cooperative has received a U.S. Department of Housing and Urban Development direct loan and a flexible subsidy loan agreement. The loan balances outstanding at the beginning of the year are included in the federal expenditures presented in the Schedule. Southwicke Square Cooperative received no additional loans during the year. The balance of the loans outstanding at May 31, 2023 are as follows:
Assistance Listing Program Name Outstanding Balance
Number May 31, 2023
14.135 Direct 223 (f)Loan $1,797,103
14.192 Flexible Subsidy Loan 1,117,967
Total $2,915,070