Notes to SEFA
Title: Note 2—Section 223(f) mortgage insurance for the purchase or refinancing of existing multifamily housing projects
Accounting Policies: The schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Chapel House of Corbin, Inc., Project No. 083-11084, and is presented 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. Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
De Minimis Rate Used: N
Rate Explanation: The Project has decided not to utilize the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The Project has a mortgage loan with Berkadia Commercial Mortgage, repayment of which is guaranteed by HUD. As determined by 2 CFR Section 200.502(b) the federal expenditures amount represents the loan balance as of January 1, 2024. The balance of the mortgage loan outstanding at the end of the audit period is $841,281.