Notes to SEFA
Title: Note 3 - Mortgage Payable
Accounting Policies: The schedule of expenditures of federal awards includes the federal grant activity of Mulford Apartments, HUD Project No. 071-HD160, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirement of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: N/A
The capital advance represents total proceeds received in prior years. If the Project does not meet certain compliance requirement for a period of 40 years the balance plus accrued interest must be repaid.