Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal financial assistance activity of Trinity Villas, Inc. (the Organization) and is presented on the accrual basis of accounting. For purposes of this schedule, federal financial awards include an insured mortgage payable entered into by the Organization. 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 the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization. Federal expenditures of $4,107,474 are comprised of current year expenditure of $116,469 in current year interest expense and the outstanding balance of the mortgage payable by the U.S. Department of Housing and Urban Development and related grant funds totaling $3,991,005, as of December 31, 2022, which isrequired to be included each year the federal government imposes compliance requirements on the program funded by the original loan.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate. The Organization has elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance
SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were $3,991,005.