Audit 795

Title: NOTE 5 – U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAM Accounting Policies: NOTE 1 – BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Portland Supportive Housing, Inc. The information in the 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 (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Portland Supportive Housing, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Portland Supportive Housing, Inc. NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Portland Supportive Housing, Inc. did not elect to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. NOTE 3 – ASSISTANCE LISTING PROGRAMS The program titles and Assistance Listing (“AL”) numbers were obtained from the federal or pass-through grantor or the catalog of federal domestic assistance. De Minimis Rate Used: N Rate Explanation: Portland Supportive Housing, Inc. has not used the de minimis indirect cost rate. Portland Supportive Housing, Inc. has received a U.S. Department of Housing and Urban Development capital advance under Section 811. The capital advance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule of Expenditures of Federal Awards. Portland Supportive Housing, Inc. received no additional capital advances during the year.