Notes to SEFA
Title: Note C — U.S. Department of Housing and Urban Development Loan Program:
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Mystic River Homes, Inc. and is presented on the accrual basis of accounting. The information in this
schedule is presented in accordance with the requirements of by the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards (Uniform Guidance). The schedule presents only a selected portion of the operations of Mystic River Homes, Inc. It is not intended to, and does not present, the financial position or changes in net assets of Mystic River Homes, Inc.
De Minimis Rate Used: N
Rate Explanation: 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. Mystic River Homes, Inc. has elected not to use the 10 percent de minimis indirect cost rate as allowed under the
Uniform Guidance.
Mystic River Homes, Inc. has received U.S. Department of Agriculture loans. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the
schedule. Mystic River Homes, Inc. received no additional loans during the year but some loans increased in value through accruals of deferred principal and interest. The balance of the loan
outstanding at June 30, 2022, consists of:
CFDA
Program Name No.
Rural Rental Housing Loans 10.415 $ 1,358,467