Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: NOTE A: BASIS OF PRESENTATION: The accompanying schedule of expenditures of federal awards includes the federal award activityof SNHS Elderly Housing, Inc., HUD Project No. 024-11046, and is presented on the accrual basisof accounting. The information in this schedule is presented in accordance with the requirementsof Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, CostPrinciples, and Audit Requirements for Federal Awards (Uniform Guidance). Because theSchedule presents only a selected portion of the operations of SNHS Elderly Housing, Inc., it is notintended to and does not present the financial position, changes in net assets, or cash flows ofSNHS Elderly Housing, Inc.NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures 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. SNHSElderly Housing, Inc. has elected not to use the 10 percent de minim is indirect cost rate as allowedunder the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
MORTGAGE INSURANCE_RENTAL HOUSING (14.134) - Balances outstanding at the end of the audit period were 1127474.