Audit 328133

Title: NOTE A - BASIS OF PRESENTATION Accounting Policies: NOTE A - BASIS OF PRESENTATION - The schedule of expenditures of federal awards includes the federal grant activity of Munhall Road Apartments, Inc., HUD Project No. 033-HD038 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 (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The schedule of expenditures of federal awards includes the federal grant activity of Munhall Road Apartments, Inc., HUD Project No. 033-HD038 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 (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the financial statements.

Title: NOTE B - DE MINIMIS INDIRECT COST RATE Accounting Policies: NOTE A - BASIS OF PRESENTATION - The schedule of expenditures of federal awards includes the federal grant activity of Munhall Road Apartments, Inc., HUD Project No. 033-HD038 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 (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The project has elected to not use the 10% de minimis indirect cost rate.

Title: NOTE C - LOAN/LOAN GUARANTEE OUTSTANDING BALANCES Accounting Policies: NOTE A - BASIS OF PRESENTATION - The schedule of expenditures of federal awards includes the federal grant activity of Munhall Road Apartments, Inc., HUD Project No. 033-HD038 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 (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were $875,500.