Notes to SEFA
Title: Insured Mortgage Note
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Cooperative 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 (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Cooperative, it is not intended to and does not present the financial position, results of operations, or cash flows of the Cooperative.
De Minimis Rate Used: N
Rate Explanation: The Cooperative’s federal award is not based on eligible costs incurred. Accordingly, the Cooperative has not made an election related to use of the 10% de minimis indirect cost rate described in the Uniform Guidance.
Federal expenditures for the mortgage insurance program represent the principal balance of the insured loan as of December 31, 2023. The loan is outstanding from a previous year. The federal government imposes continuing compliance requirements on this loan. The loan balance at December 31, 2024 was $1,832,055.