Title: Basis of Presentation
Accounting Policies: The accompanying Schedule is presented using the accrual basis of accounting. 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 amounts reported in the Schedule as expenditures may differ from certain financial reports submitted to funding sources on either a cash or a modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: 1260 HDC has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal, state, and city awards (the Schedule) includes the activities of federal, state, and city awards programs of 1260 Housing Development Corporation (1260 HDC) and AppleTree Housing, Inc. (ATH) for the year ended June 30, 2024. 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). All awards received directly from federal agencies as well as federal, state, and city awards passed through governmental agencies or not-for-profit organizations are required to be shown as expenditures are included on the Schedule. Because the Schedule presents only a selected portion of the operations of 1260 HDC, it is not intended and does not present the financial position, changes in net assets, or cash flows of 1260 HDC.
Title: Relationship to Consolidated Financial Statements
Accounting Policies: The accompanying Schedule is presented using the accrual basis of accounting. 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 amounts reported in the Schedule as expenditures may differ from certain financial reports submitted to funding sources on either a cash or a modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: 1260 HDC has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Federal, state, and city awards expenditures are reported on the consolidated statement of activities as expenses. In certain programs, the expenditures reported in the consolidated financial statements may differ from the expenditures reported in the Schedule, because the latter represents only the expenditures of 1260 HDC and ATH and not their consolidating subsidiaries and because not all expenditures are required to be reported on the schedule of expenditures of federal, state, and city awards. The consolidated financial statements are prepared under accounting principles generally accepted in the United States of America.
Title: U.S. Department of Housing and Urban Development Loan Programs
Accounting Policies: The accompanying Schedule is presented using the accrual basis of accounting. 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 amounts reported in the Schedule as expenditures may differ from certain financial reports submitted to funding sources on either a cash or a modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: 1260 HDC has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
1260 HDC has received a U.S. Department of Housing and Urban Development loan through the Community Development Block Grant passed through the Redevelopment Authority of the City of Philadelphia. The loan balance outstanding at the beginning of the fiscal year is included in the federal loans presented in the Schedule. The balance of the loan outstanding at June 30, 2024, consists of: Assistance Listing 14.218, Program Name Community Developmnet Block Grants/Entitlement Grants, Outstanding Balance at July 1, 2023 - $640,998, Outstanding Balance at June 30, 2024 - $640,998. During the year ended June 30, 2017, 1260 HDC purchased leasehold property from Mid-City Residential Associates, L.P. (Mid-City). As part of the transaction, 1260 HDC agreed to assume certain obligations of Mid-City. On July 12, 2023, 1260 HDC sold Mid-City to a related entity. 1260 HDC has assumed U.S. Department of Housing and Urban Development loans through the Community Development Block Grant and HOME Investment Partnership Program passed through the Redevelopment Authority of the City of Philadelphia. The loan balances outstanding at the beginning of the fiscal year are included in the federal loans presented in the Schedule. The balance of the loans outstanding at June 30, 2024, consists of: Assistance Listing 14.218, Program Name Community Developmnet Block Grants/Entitlement Grants, Outstanding Balance at July 1, 2023 - $2,740,000 Outstanding Balance at June 30, 2024 - zero and Assistance Listing 14.239, Program Name Home Investment Partnerships Program, Outstanding Balance at July 1, 2023 - $250,000, Outstanding Balance at June 30, 2024 - zero. AppleTree Housing, Inc. has received a U.S. Department of Housing and Urban Development loan through the Community Development Block Grant passed through the Redevelopment Authority of the City of Philadelphia. The loan balance outstanding at the beginning of the fiscal year is included in the federal loans presented in the Schedule. The balance of the loan outstanding at June 30, 2024, consists of: Assistance Listing 14.218, Program Name Community Developmnet Block Grants/Entitlement Grants, Outstanding Balance at July 1, 2023 - $1,500,000, Outstanding Balance at June 30, 2024 - $1,500,000.
Title: Federal Award Expenditures Passed Through to Subrecipients
Accounting Policies: The accompanying Schedule is presented using the accrual basis of accounting. 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 amounts reported in the Schedule as expenditures may differ from certain financial reports submitted to funding sources on either a cash or a modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: 1260 HDC has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
1260 HDC did not pass through any federal awards to subrecipients during the year ended June 30, 2024.