Notes to SEFA
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Homes with Hope, Inc. and Affiliates (the Association) 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, functional expenses, or cash flows of the Association.
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 types of expenditures are not allowable or are limited as to reimbursement.
The schedule of expenditures of federal awards includes proceeds from a capital advance totaling $840,000 issued by the Department of Housing and Urban Development (HUD) to IHA, Inc. for the purpose of acquiring residential housing. As a condition of this advance, IHA, Inc. is required to continue the use of the housing for eligible families until the maturity date of the advance, which ends June 30, 2041, or repay the entire amount of the advance plus interest at 6.25 percent. The balance of this capital advance at December 31, 2024 remained unchanged from the prior year.
The Association has not elected to use the 10 percent de minimus indirect cost rate allowed under the Uniform Guidance.
During the year ended December 31, 2024, the Association did not pass through any federal funds to subrecipients.