Notes to SEFA
Title: Loan/loan guarantee outstanding balances
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: The auditee did not use the de minimis cost rate.
MORTGAGE INSURANCE_RENTAL HOUSING FOR THE ELDERLY (14.138) - Balances outstanding at the end of the audit period were 4771916.
Title: LOAN 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: The auditee did not use the de minimis cost rate.
On May 28, 2014, the Organization refinanced the previous mortgage note payable. The note bears interest at a rate of 3.94% per annum and requires monthly principal and interest payments of $29,420 until its maturity date of October 1, 2041. This note is insured by the U.S. Department of Housing and Urban Development (HUD), and secured by a first mortgage on the Organizations real estate. The terms of the note require maintenance of various covenants and compliance with certain Federal Housing Administration and HUD requirements under CFDA 14.138. The balance on the note at June 30, 2022 was $4,771,916.