Audit 353126

Title: BASIS OF PRESENTATION Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Frontier Housing Corporation 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 Frontier Housing Corporation it is not intended to and does not present the financial position, changes in net assets, or cash flows of Frontier Housing Corporation. 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. De Minimis Rate Used: N Rate Explanation: Frontier Housing Corporation has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Frontier Housing Corporation 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 Frontier Housing Corporation it is not intended to and does not present the financial position, changes in net assets, or cash flows of Frontier Housing Corporation.

Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Frontier Housing Corporation 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 Frontier Housing Corporation it is not intended to and does not present the financial position, changes in net assets, or cash flows of Frontier Housing Corporation. 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. De Minimis Rate Used: N Rate Explanation: Frontier Housing Corporation has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. 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. Frontier Housing Corporation has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.

Title: OUTSTANDING LOAN BALANCE AND INTEREST SUBSIDY Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Frontier Housing Corporation 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 Frontier Housing Corporation it is not intended to and does not present the financial position, changes in net assets, or cash flows of Frontier Housing Corporation. 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. De Minimis Rate Used: N Rate Explanation: Frontier Housing Corporation has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. The outstanding loan balance of the Rural Rental Housing Loans as of December 31, 2024 was $1,104,548. Frontier Housing Corporation is the recipient of an interest credit subsidy from the United States Department of Agriculture Rural Development (RD) that does not result in cash receipts or disbursements. During the year ended December 31, 2024, Frontier Housing Corporation received and expended $44,856 worth of non-cash interest credit subsidy under the Rural Rental Housing Loan Program (10.415).