Notes to SEFA
Title: NOTE A BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures
are recognized following the cost principles contained in Uniform Guidance, wherein certain types of
expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: Rosewood Apartments, Inc. has not elected to use the 15 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 Rosewood Apartments, Inc., HUD Project #033-HD101, under programs of the federal government for the
year ended March 31, 2025. 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 Rosewood Apartments, Inc., it is not intended to and does not present the financial
position, changes in net assets, or cash flows of Rosewood Apartments, Inc.
Title: NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures
are recognized following the cost principles contained in Uniform Guidance, wherein certain types of
expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: Rosewood Apartments, Inc. has not elected to use the 15 percent de minimis indirect cost rate as allowed
under the Uniform Guidance.
(1) Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures
are recognized following the cost principles contained in Uniform Guidance, wherein certain types of
expenditures are not allowable or are limited as to reimbursement.
(2) Rosewood Apartments, Inc. has not elected to use the 15 percent de minimis indirect cost rate as allowed
under the Uniform Guidance. (3) Balances of loans and loan guarantee programs outstanding at the end of the audit period for loans under
2 CFR Section 200.502(b) are as follows:
- HOME Investment Partnership Program Loan $ 657,300
- HUD Capital Advance Program $312,000