Audit 52063

Title: Section 811 Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Independence Park, Inc., HUD Project Number 033-HD056, under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a select portion of the operations of Independence Park, Inc., it is not intended to and does notpresent the financial position, changes in net assets (deficit), or cash flows of Independence Park, Inc. De Minimis Rate Used: N Rate Explanation: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Independence Park, Inc., has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. HUD has made a Section 811 Capital Advance to Independence Park, Inc., for thepurpose of funding the major portion of the cost of the apartment building. Thetotal amount of the advance is $ 714,700 at June 30, 2022. No interest orrepayment of the advance is required as long as the Organization operates theapartment building for very low-income persons with disabilities for not lessthan 40 years. Until February 1, 2044, the Section 811 Capital Advance willcontinue to be reported on the schedule of expenditures of federal awards as amajor program for the full amount of the advance.