Title: Note 3 - Community Development Financial Institutions Fund Program
Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of National Housing Trust Community Development Fund, 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 National Housing Trust Community Development Fund, it is not intended to and does not present the financial position, changes in net assets, or cash flows of National Housing Trust Community Development Fund. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. National Housing Trust Community Development Fund has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: National Housing Trust Community Development Fund has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
During the year ended December 31, 2022, NHTCDF had the following federal loan programs in effect with the Community Development Financial Institutions Fund ("CDFI Fund").In July 2007, NHTCDF received a loan in the amount of $420,000. Under the agreement, NHTCDF is required to utilize the funds to support its comprehensive business plan. The loan is evidenced by an unsecured promissory note which bears interest at the rate of 3% per annum. Interest-only is payable quarterly in arrears, beginning September 30, 2007. A new promissory note was issued to extend the maturity date to July 20, 2022. As of December 31, 2022, the note was repaid.In April 2016, NHTCDF received a loan in the amount of $900,000. Under the agreement, NHTCDF is required to utilize the funds to support its comprehensive business plan. The loan is evidenced by an unsecured promissory note which bears interest at the rate of 2.5% per annum. Interest-only is payable semi-annually in arrears, beginning June 30, 2016. The principal amount shall be due and payable on May 16, 2029. As of December 31, 2022, the principal balance outstanding on the loan was $900,000.In June 2018, NHTCDF received a loan in the amount of $793,063. Under the agreement, NHTCDF is required to utilize the funds to support its comprehensive business plan. The loan is evidenced by an unsecured promissory note which bears interest at the rate of 1.9% per annum. Interest-only is payable semi-annually in arrears from June 30, 2018 to December 31, 2027. One-sixth of the outstanding principal balance and interest are payable semi-annually in arrears from June 30, 2028 to December 31, 2030. As of December 31, 2022, the principal balance outstanding on the loan was $793,063.
Title: Note 4 - Capital Magnet Fund Program
Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of National Housing Trust Community Development Fund, 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 National Housing Trust Community Development Fund, it is not intended to and does not present the financial position, changes in net assets, or cash flows of National Housing Trust Community Development Fund. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. National Housing Trust Community Development Fund has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: National Housing Trust Community Development Fund has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
During 2019, the CDFI Fund awarded a total of $2,524,000 to NHTCDF to support affordable housing activities, economic development activities, or community service facilities in the following manners: to provide loan loss reserves, to capitalize a revolving loan fund, for risk sharing loans, for loan guarantees, and for the awardee's operations.During 2021, an additional $3,900,000 was awarded to support affordable housing activities, economic development activities, or community service facilities in the following manners: to provide loan loss reserves, to capitalize a revolving loan fund, for risk sharing loans, for loan guarantees, and for the awardee's operations. During 2022, an additional $6,000,000 was awarded to support affordable housing activities, economic development activities, or community service facilities in the following manners: to provide loan loss reserves, to capitalize a revolving loan fund, for risk sharing loans, for loan guarantees, and for the awardee's operations. NHTCDF is utilizing the funds from the program to capitalize a revolving loan fund.In accordance with presentation requirements, the schedule of expenditure of federal awards includes $1,849,957 of loans originated during the year ended December 31, 2021, which were subject to continuing compliance requirements in accordance with the terms of the Capital Magnet Fund program in addition to amounts disbursed in 2022 of $3,532,912. There were no administrative costs claimed for the Capital Magnet Fund Program to support operations in 2022.