Notes to SEFA
Title: Note 3 - Mortage
Accounting Policies: The schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Boston
Road Housing Development Fund Company, Inc., HUD Project No. 012-11299 (the “Company”) and is
presented on the accrual basis of accounting, following the cost principles contained in the Uniform Guidance,
wherein certain types of expenditures are not allowable or are limited as to reimbursement. 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 (Uniform Guidance). Because the Schedule presents only a selected portion of operations of the
Company, it is not intended to and does present the financial position, changes in net deficit, or cash flows of
the Company.
De Minimis Rate Used: N
Rate Explanation: The Company has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform
Guidance.
The Company has a loan guaranteed by HUD with an outstanding balance of $9,772,674 at October 31, 2023.
The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in
the Schedule.