Notes to SEFA
Title: Basis of Presentation
Accounting Policies: General, Basis of Accounting and Indirect Cost Rate
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity
of Cleveland Realty, LLC (the “Organization”) under programs of the federal government for the year ended
December 31, 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”). Because the Schedule presents only a selected portion of
the operations of the Organization, it is not intended to and does not present the financial position, changes in net
deficit, or cash flows of the Organization.
Title: Basis of Accounting
Accounting Policies: General, Basis of Accounting and Indirect Cost Rate
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
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.
Title: De Minimus Cost Rate
Accounting Policies: General, Basis of Accounting and Indirect Cost Rate
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
The Organization has not elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform
Guidance.
Title: U.S. Department Of Housing and Urban Development Loan Program
Accounting Policies: General, Basis of Accounting and Indirect Cost Rate
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
The Organization has received a U.S. Department of Housing and Urban Development direct loan under Section
232 of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal
expenditures presented in the Schedule. The Organization received no additional loans during the year. The loan
balance outstanding at the end of the year was $3,005,381.
Title: Subrecipients
Accounting Policies: General, Basis of Accounting and Indirect Cost Rate
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate
The Organization did not pass any federal awards to subrecipients.