Notes to SEFA
The Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs of the Corporation. All federal awards received directly from federal agencies as well as federal awards passed through other governmental agencies or other entities are included in the Schedule. The Corporation has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Corporation’s Schedule of Expenditures of Federal Awards has been prepared using the same basis of accounting as the December 31, 2025 financial statements of the Corporation. The Corporation reports to HUD using the accrual basis of accounting. A complete description of the basis of accounting is included in note 1 to those financial statements.
In connection with various federal grant programs, the Corporation is obligated to administer related programs and spend the funds in accordance with regulatory restrictions and is subject to audit by grantor agencies and other auditors. In cases of noncompliance, the agencies involved may require the Corporation to refund program funds.
The end of the year loan balance for the Section 202 Capital Advance loan was $1,302,900.