Audit 57054

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 ofLaurelwood, Inc. of Spartanburg and is presented on the accrual basis of accounting. The information inthis schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal RegulationsPart 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations ofLaurelwood, Inc. of Spartanburg, it is not intended to and does not present the financial position, changesin net assets, or cash flows of Laurelwood, Inc. of SpartanburgNOTE 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. Laurelwood, Inc. of Spartanburg haselected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.NOTE C U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAMLaurelwood, Inc. of Spartanburg has received a U.S. Department of Housing and Urban Developmentcapital advance under Section 811. The capital advance balance outstanding at the beginning of the year isincluded in the federal expenditures presented in the Schedule. Laurelwood, Inc. of Spartanburg receivedno additional capital advances during the year. The balance of the capital advance outstanding at June 30,2022 consists of:Outstanding BalanceCFDA Number Program Name at June 30, 202214.181 Section 811 Capital Advance Supportive Housingfor Persons with Disabilities $ 1,034,200 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were 1034200.