Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The entity has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Massillon Housing for the Elderly, Project No. 042-EH-450 and is presented on the accrual basis of accounting. The information in this Schedule is presented in accordance with the requirements of Title 2 US Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements of Federal Awards (Uniform Guidance). Because the schedule presents only a select portion of the operation of the Project, it is intended to and does not present the financial position, changes in net assets or cash flows of the Project.
Title: Mortgage Payable
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The entity has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Elderly Housing (Section 202) program. This program is associated with a mortgage payable that was availed by the Project on September 27, 1991.
As of May 31, 2023, the outstanding balance of the mortgage payable amounted to $1,369,064. This balance is considered as an annual expenditure in accordance with the continuing compliance requirements set forth by the HUD. During the year, total interest expense incurred, and principal payments made towards the loan amounted to $126,831 and $86,242, respectively. There were no additional loans availed during the year.