Notes to SEFA
Title: Note 3 - Rural Rental Housing Loan Subsidy Credit
Accounting Policies: The Housing Authority prepares the Schedule of Expenditures of Federal Awards on the same basis of accounting as the Housing Authority’s financial statements. The Housing Authority uses the accrual basis of accounting for all programs receiving federal financial assistance.
De Minimis Rate Used: N
Rate Explanation: The Housing Authority of the City of Othello has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The Rural Housing Service provides the Rural Rental Housing Loan. Subsidy Credit for Lions Park Apartments and Cedar Park
Apartments to reduce the effective interest rate of the loan. The Housing Authority records interest expense separate from
the subsidy credit.
Title: Note 4 - Rural Rental Assistance Payments
Accounting Policies: The Housing Authority prepares the Schedule of Expenditures of Federal Awards on the same basis of accounting as the Housing Authority’s financial statements. The Housing Authority uses the accrual basis of accounting for all programs receiving federal financial assistance.
De Minimis Rate Used: N
Rate Explanation: The Housing Authority of the City of Othello has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The rental assistance payments shown represents the total of rental assistance received that is determined by netting the
approved basic rent for the shelter and tenant contributions.
Title: Note 5 - United State Department of Agriculture
Accounting Policies: The Housing Authority prepares the Schedule of Expenditures of Federal Awards on the same basis of accounting as the Housing Authority’s financial statements. The Housing Authority uses the accrual basis of accounting for all programs receiving federal financial assistance.
De Minimis Rate Used: N
Rate Explanation: The Housing Authority of the City of Othello has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The Housing Authority has three USDA Rural Rental Housing Loans outstanding with balances totaling $993,328.00 as of June 30, 2024.
Title: Note 6 - Program Costs
Accounting Policies: The Housing Authority prepares the Schedule of Expenditures of Federal Awards on the same basis of accounting as the Housing Authority’s financial statements. The Housing Authority uses the accrual basis of accounting for all programs receiving federal financial assistance.
De Minimis Rate Used: N
Rate Explanation: The Housing Authority of the City of Othello has not elected to use the 10% de minimis indirect cost rate allowed under
Uniform Guidance.
The amounts shown as current year expenditures represent only the federal portion of the program costs.
Entire program costs, including the Housing Authority’s portion, may be more than shown.