Audit 46233

Title: Loan/loan guarantee outstanding balances Accounting Policies: The accompanying schedule of expenditures of federal, state, and county awards includes the grantactivity of Affordable Housing Alliance, Inc. and subsidiaries (the Organization) and is presented onthe accrual basis of accounting. The information in this schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), andState of New Jersey Department of the Treasury Circular Letter 15-08-OMB, Single Audit Policy forRecipients of Federal Grants, State Grants, and State Aid. Therefore, some amounts presented in theschedule may differ from amounts presented in, or used in the preparation of, the basic financialstatements.The purpose of the Schedule is to present a summary of those activities of the Organization for the yearended December 31, 2022, which have been financed by federal, state, and county agencies. Forpurposes of the schedule, federal, state, and county awards include any assistance provided by anagency directly or indirectly in the form of grants, contracts, cooperative agreements, directappropriation, loans, loan guarantees, property, interest subsidies, insurance, and other non-cashassistance. Because the schedule presents only a selected portion of the activities of the Organization,it is not intended to, and does not, present either the financial position or the revenue, expenditures, andother changes in net assets of the Organization.The accounting principle followed by the Organization in preparing the accompanying schedule ofexpenditures of federal, state, and county awards is as follows:Expenditures for direct costs are recognized as incurred using the accrual basis of accountingprinciples contained in Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Those cost principles were issued to provide that federal award programsprovided to nonprofit organizations bear their fair share of costs by defining costs that areallowable and unallowable for that award. The Organization has not elected to use the 10percent de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 1622700.