Notes to SEFA
The accompanying schedule of expenditures of federal awards includes the federal grant activity of East Terrace Cooperative 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 East Terrace Cooperative, it is not intended to and does not present the financial positions, changes in net assets (deficit), or cash flows of East Terrace Cooperative.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain type of expenditures are not allowable or are limited as to reimbursement. East Terrace Cooperative has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
East Terrace Cooperative has received a U. S. Department of Housing and Urban Development loan under Section 213 of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. East Terrace Cooperative received no additional loans during the year. The balance of the loan outstanding at September 30, 2024 was $4,059,997.