Notes to SEFA
Accounting Policies: NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Year ended June 30, 2024
NOTE A- BASIS OF PRESENTATION
The accompanying schedule of expenditures of federal awards includes the federal awards includes the
federal activity of Faith Homes of Cleveland., HUD Project No. 118-HD018, and is presented on the accrual
basis of accounting. The information in this schedule is presented in accordance with the requirements of
the uniform guidance, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some
amounts presented in this schedule may differ from amounts presented in, or used in the presentation of,
the basic financial statements.
NOTE B- EXPENDITURES
Total federal awards expended include current year accrued Section 8 Project Rental Assistance Contract
and Section 811 Capital Advance at inception of the Project. No payments of principal or interest are due
under the capital advance as long as the project is made available to low-income person with disabilities. In
addition, after 40 years the mortgage is considered paid in full.
De Minimis Rate Used: N
Rate Explanation: NOTE C – INDIRECT COST
The Project has elected not to use the 10-percent de minimus indirect cost rate allowed under the Uniform
Guidance.