Notes to SEFA
The accompanying schedule of expenditures of federal awards includes the federal grant activity of reStart Accessible Housing, Inc, HUD Project No. 084-HD028 (“the Organization”), and is presented on the accrual basis of accounting. The information presented in this schedule is in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
HUD reserves the right to conduct additional audits of the Organization’s grant program for economy and efficiency and program results that may result in disallowed costs to the Organization. However, management does not believe such audits would result in any disallowed costs that would be material to the Organization’s financial position at December 31, 2025.
The Organization does not allocate indirect costs and therefore has not elected to use the 15% de minimis indirect cost rate allowed under the Uniform Guidance.
The Organization has a Capital Advance Agreement with HUD in the amount of $1,325,900 for funding the Organization to construct housing for developmentally disabled adults. The advance shall bear no interest and is repayable only if the property does not remain available for very low-income eligible individuals as approved by HUD, for no less than 40 years following substantial completion as defined by HUD.