Audit 51671

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE A - BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards includes the federal award activity of MRCHousing Development Fund Company, Inc. and is presented on the accrual basis of accounting. Theinformation in this schedule is presented in accordance with the requirements of Title 2 U.S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of MRC Housing Development Fund Company, Inc., it is not intended to and doesnot present the financial position, changes in net assets, or cash flows of MRC Housing Development FundCompany, Inc.NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. MRC Housing Development FundCompany, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the UniformGuidance.NOTE C U.S. Department of Housing and Urban Development Loan ProgramMRC Housing Development Fund Company, Inc. has received a U.S. Department of Housing and UrbanDevelopment Capital Advance under Section 202 of the National Housing Act. The Capital Advancebalance outstanding at the beginning of the year is included in the federal expenditures presented in theSchedule. MRC Housing Development Fund Company, Inc. received no additional Capital Advancesduring the year. The balance of the Capital Advance outstanding at December 31, 2022 consists of:Outstanding BalanceCFDA Number Program Name at December 31, 202214.157 Supportive Housing for the Elderly $ 5,065,800 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 5065800.