Notes to SEFA
Accounting Policies: 1. Scope of Audit Pursuant to Uniform GuidanceThe Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal awardprograms of the Authority. All federal awards received directly from federal agencies as well as federalawards passed through other governmental agencies or other entities are included in the Schedule. TheAuthority has elected not to use the 10 percent de minimis indirect cost rate allowed under the UniformGuidance.2. Basis of PresentationThe Authoritys Schedule of Expenditures of Federal Awards has been prepared using the same basis ofaccounting as the June 30, 2022 financial statements of the Authority. The Authority reports to HUD andRD using the accrual basis of accounting. A complete description of the basis of accounting is includedin Note 1 to those financial statements.3. ContingenciesIn connection with various federal grant programs, the Authority is obligated to administer relatedprograms and spend the funds in accordance with regulatory restrictions, and is subject to audit by grantoragencies and other auditors. In cases of noncompliance, the agencies involved may require the Authorityto refund program funds.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.