Notes to SEFA
Title: U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAM
Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Project did not elect to use the de minimis cost rate.
HBCH received a U.S. Department of Housing and Urban Development direct loan under Section 202 of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. HBCH received no additional loans during the year. The balance of the loan outstanding at June 30, 2022 consists of: Balance, July 1, 2021 $2,431,760, Principal repayments (60,301), Balance, June 30, 2022 $2,371,459.