Notes to SEFA
Title: Note C - Insured Mortgage
Accounting Policies: Note A-BASIS OF PRESENTATION. The schedule of expenditures of federal awards (the Schedule) includes the federal award activity of under programs of the federal government for the year ended December 31, 2022. 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). Because the Schedule presents only a selected portion of the operations of Briar Pond, LLC, it is not intended to and does not present the financial position, changes in net position, or cash flows of Briar Pond, LLC.
De Minimis Rate Used: Y
Rate Explanation: Note B-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES. (1) Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.(2) Briar Pond, LLC has elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The balances and transactions relating to the Multifamily HUD Insured Mortgage is included in Briar Pond, LLC's basic financial statements (Mortgage Insurance - Rental Housing 14.134). The mortgage outstanding at the beginning of the year is included in the federal expenditures in the Schedule. The balance of the mortgage outstanding at December 31, 2022 is $8,280,951.