Audit 339616

Title: Federal loan program Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of The Neighborhood Developers, Inc. and Affiliates under programs of the federal government for the year ended December 31, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations 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 Neighborhood Developers, Inc. and Affiliates, it is not intended to and does not present the financial position, changes in net assets, or cash flows of The Neighborhood Developers, Inc. and Affiliates. 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: Y Rate Explanation: The Neighborhood Developers, Inc. and Affiliates have elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The federal loan program listed below is administered directly by the North Suburban Consortium through the Home Investment Partnerships Program, and balances and transactions relating to this program are included in The Neighborhood Developers, Inc. and Affiliates' basic consolidated financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding as of December 31, 2023 consists of: Federal Assistance Listing Number: 14.239 - Home Investment Partnership Program - Outstanding Balance at December 31, 2023: $530,000.