Notes to SEFA
The accompanying schedule of expenditures of federal awards includes the federal grant activity of 607 Concord Avenue Housing Development Fund Corporation 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
The capital advance program, as of November 30, 2025, in the amount of $8,781,600 has an underlying mortgage note agreement with HUD, secured by the property. The note bears no interest, and repayment is not required as long as the facility remains available to very low income elderly or disabled persons in accordance with HUD regulations for a forty year period and therefore this balance remains unchanged. If the Project defaults under the terms of this note, the entire capital advance (plus accrued interest from inception of the advance at a rate of 5.75% per annum) shall become due and payable at the option of HUD. The advance is subject to HUD compliance requirements.