Notes to SEFA
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of St. Margaret’s House Housing Development Fund Corporation (the “Corporation”) under programs of the federal government for the year ended December 31, 2025. 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 select portion of the operations of the Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The Corporation has a mortgage loan insured under the provisions of the U.S. Department of Housing and Urban Development - Mortgage Insurance: Rental Housing Program. In accordance with Section 502(b) of the Uniform Guidance, the loan balance outstanding as of the beginning of the period is included as the federal expenditures presented on the Schedule. At December 31, 2025, the outstanding balance of the loan totaled $62,669,657. Refer to Note 5 of the accompanying financial statements for additional information on this loan.
The Corporation did not elect to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.