Notes to SEFA
Title: Summary of Significant Accounting Policies
Accounting Policies: The accompanying Consolidated Schedule of Expenditures of Federal Awards (Schedule) includes the federal award activity of Home of Guiding Hands Corporation and Affiliates (collectively, the Organization) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 the Organization, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Organization. The Schedule includes loans granted under Supportive Housing for Persons with Disabilities as expenditures of federal awards.
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 are limited as to reimbursement. The Organization has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Capital Advance Loans
Accounting Policies: The accompanying Consolidated Schedule of Expenditures of Federal Awards (Schedule) includes the federal award activity of Home of Guiding Hands Corporation and Affiliates (collectively, the Organization) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 the Organization, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Organization. The Schedule includes loans granted under Supportive Housing for Persons with Disabilities as expenditures of federal awards.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The capital advance loans are draws made by Anja House and Aquilla House to purchase property under capital advance agreements with the U.S. Department of Housing and Urban Development (HUD). The loans bear no interest and are not required to be repaid as long as the houses remain available for low income persons with disabilities for a period of 40 years.
Title: U.S. Department of Housing and Urban Development Loan Program
Accounting Policies: The accompanying Consolidated Schedule of Expenditures of Federal Awards (Schedule) includes the federal award activity of Home of Guiding Hands Corporation and Affiliates (collectively, the Organization) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 the Organization, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Organization. The Schedule includes loans granted under Supportive Housing for Persons with Disabilities as expenditures of federal awards.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Organization has received loans funded by programs of the U.S. Department of Housing and Urban Development. The loan balances outstanding at the beginning of the year are included in the federal expenditures presented in the Schedule. The balances have been included in refundable advances at June 30, 2024, as the loans were recorded as liabilities in the year received. The Organization received no additional loans during the year ended June 30, 2024. The balance of the loans outstanding at June 30, 2024, are as follows: Assistance Listing Number: 14.181; Program Name: Supportive Housing for Persons with Disabilities; Outstanding Balance: $1,037,000.