Notes to SEFA
Title: NOTE 1 – SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: Basis of presentation – The schedule of expenditures of federal awards (the schedule) is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements 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). Federal expenses include allowable expenses funded by federal grants. Allowable costs are subject to the cost principles of the Uniform Guidance guidelines and include both costs that are capitalized and costs that are recognized as expenses in Row House CDC’s financial statements in conformity with generally accepted accounting principles. Row House CDC does not use the 10% de minimis rate. Row House CDC does not have subrecipients. Because the schedule presents only a selected portion of the operations of Row House CDC it is not intended to and does not present the financial position, changes in net assets, or cash flows of Row House CDC.
De Minimis Rate Used: N
Rate Explanation: The Auditee has elected not to use an indirect cost rate.
Basis of presentation – The schedule of expenditures of federal awards (the schedule) is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements 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). Federal expenses include allowable expenses funded by federal grants. Allowable costs are subject to the cost principles of the Uniform Guidance guidelines and include both costs that are capitalized and costs that are recognized as expenses in Row House CDC’s financial statements in conformity with generally accepted accounting principles. Row House CDC does not use the 10% de minimis rate. Row House CDC does not have subrecipients. Because the schedule presents only a selected portion of the operations of Row House CDC it is not intended to and does not present the financial position, changes in net assets, or cash flows of Row House CDC.
Title: NOTE 2 – U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
Accounting Policies: Basis of presentation – The schedule of expenditures of federal awards (the schedule) is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements 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). Federal expenses include allowable expenses funded by federal grants. Allowable costs are subject to the cost principles of the Uniform Guidance guidelines and include both costs that are capitalized and costs that are recognized as expenses in Row House CDC’s financial statements in conformity with generally accepted accounting principles. Row House CDC does not use the 10% de minimis rate. Row House CDC does not have subrecipients. Because the schedule presents only a selected portion of the operations of Row House CDC it is not intended to and does not present the financial position, changes in net assets, or cash flows of Row House CDC.
De Minimis Rate Used: N
Rate Explanation: The Auditee has elected not to use an indirect cost rate.
In 2006, Row House CDC received a U. S. Department of Housing and Urban Development deferred payment loan funded by the HOME Investment Partnership Program and passed through City of Houston. The balance of the outstanding forgivable loan at December 31, 2023 of $974,169, represents the actual draws paid by the City and is reported in the schedule of expenditures of federal awards as such.