Audit 354715

Title: NOTE 3 – SUBRECIPIENTS Accounting Policies: NOTE 1 – BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal award activity of Sherrill-Kenwood Community Retirement Housing Corporation (Noyes Manor Retirement Residence I and II), Case No. 37-33-222146293, 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 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 Noyes Manor Retirement Residence I and II, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Noyes Manor Retirement Residence I and II. De Minimis Rate Used: N Rate Explanation: Noyes Manor Retirement Residence I and II did not elect to use the 10% de minimis cost rate for indirect costs. Noyes Manor Retirement Residence I and II did not pass any federal funds to subrecipients for the year ended June 30, 2024.

Title: NOTE 4 – U.S. DEPARTMENT OF AGRICULTURE RURAL DEVELOPMENT MORTGAGES Accounting Policies: NOTE 1 – BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal award activity of Sherrill-Kenwood Community Retirement Housing Corporation (Noyes Manor Retirement Residence I and II), Case No. 37-33-222146293, 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 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 Noyes Manor Retirement Residence I and II, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Noyes Manor Retirement Residence I and II. De Minimis Rate Used: N Rate Explanation: Noyes Manor Retirement Residence I and II did not elect to use the 10% de minimis cost rate for indirect costs. Noyes Manor Retirement Residence I and II each have a Farmers Home Administration insured Rural Rental Housing Loan under Section 521 of the Housing Act of 1949. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the schedule. Noyes Manor Retirement Residence I and II received no additional loans during the year. The balance of the loans outstanding at June 30, 2024 consists of: Outstanding Balance at June 30, 2024 AL Number Program Name 10.415 Rural Rental Housing Loan (Section 515) $ 210 10.415 Rural Rental Housing Loan (Section 515) $ 1,379,988