Audit 39003

Accounting Policies: NOTE 1 GENERALThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Stanislaus Regional Housing Authority (the Authority). The Authoritys reporting entity is defined in Note 1 of the Authoritys basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other governmental agencies, are included on the Schedule. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because the Schedule presents only a selected portion of the operations of the Authority, it is not intended to and does not present the financial position, changes in net position or cash flows of the Authority.NOTE 2 BASIS OF ACCOUNTINGAmounts reported on the Schedule represent expenditures incurred for the Authoritys federal programs, except for the pass-through program from the State of California Department of Housing and Community Development under its Joe Serna Grant Program, and are reported on the accrual basis of accounting and include capitalized expenditures. Such expenditures are recognized following the cost principles contained in 2 CFR 200, Subpart E (Cost Principals), wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Authority did not elect to use the 10% de minimus cost rate as covered in ?200.414 Indirect (F&A) costs.NOTE 3 RELATIONSHIP TO FEDERAL FINANCIAL REPORTSAmounts reported in the Schedule agree to or can be reconciled with the amounts reported in the related federal financial reports.NOTE 4 RELATIONSHIP TO BASIC FINANCIAL STATEMENTSThe Schedule agrees to or can be reconciled with the amounts reported in the Authoritys basic financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.