Housing Authority of Cook County Chicago, Illinois. Annual Financial Report Year Ended March 31, 2016

Annual Financial Report Year Ended

Table of Contents Page Independent Auditor s Report 1-2 Management s Discussion and Analysis (MD&A) 3-7 Financial Statements: Statement of Net Position 8-9 Statement of Revenues, Expenses and Changes in Net Position 10 Statement of Cash Flows 11-12 Notes to the Financial Statements 13-25 Supplementary Information Section: Financial Data Sheets All Programs 26-34 Asset Management Projects Financial Data Schedule 35-43 Capital Funds Financial Data Schedule 44 47 Statement and Certification of Program Costs Shelter Care Plus Program/Supplemental Nutrition Assistance Program 48-49 Capital Fund Program 50 Capital Fund Program Replacement Housing Factor 51-52 Blended Presented Component Units Combining Statement of Net Position 53-54 Combining Statement of Revenues, Expenses and Changes in Net Position 55 Discretely Presented Component Units Combining Statement of Net Position 56-57 Combining Statement of Revenues, Expenses and Changes in Net Position 58 Single Audit Section: Independent Auditor s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 59-60 Independent Auditor s Report on for Each Major Federal Program; Report on Internal Control Over Compliance; and Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance 61-62 Schedule of Expenditures of Federal Awards 63 Notes to Schedule of Expenditures of Federal Awards 64 Schedule of Findings and Questioned Costs 65-68 Summary Schedule of Prior Year Audit Findings 69 70

Financial Section

Independent Auditor s Report

Independent Auditor s Report To the Board of Commissioners Housing Authority of Cook County, Illinois Report on the Financial Statements We have audited the accompanying financial statements of the business-type activities and the aggregate discretely presented component units of the Housing Authority of Cook County, Illinois (Authority) as of and for the year ended, and the related notes to the financial statements, which collectively comprise the Authority s basic financial statements as listed in the table of contents. Management s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the business-type activities and the aggregate discretely presented component units of the Authority, as of, and the respective changes in financial position, and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. 1

Other Matters Required Supplementary Information: Accounting principles generally accepted in the United States of America require that the management s discussion and analysis be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Information: Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Authority s basic financial statements. The Supplementary Information, as listed in the table of contents, and Schedule of Expenditures of Federal Awards as required by Uniform Guidance are presented for purposes of additional analysis and is not a required part of the basic financial statements. The Supplementary Information and Schedule of Expenditures of Federal Awards is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the Supplementary Information and Schedule of Expenditures of Federal Awards are fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated December 5, 2016 on our consideration of the Authority s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Authority s internal control over financial reporting and compliance. December 5, 2016 2

Management s Discussion and Analysis Overview The management of the Housing Authority of Cook County (Housing Authority) offers readers of the financial statements this narrative overview and analysis of the financial activities of the Authority for the fiscal year ended. We encourage readers to consider the information presented here in conjunction with the financial statements. Overview of the Financial Statements This section of the Authority s annual financial report presents our discussion and analysis of the Authority s financial performance during the fiscal year ended. This discussion and analysis is intended to serve as an introduction to, and should be read in conjunction with, the Authority s basic financial statements. The Authority s basic financial statements are comprised of the following components: Statement of Net Position, Statement of Revenues, Expenses and Changes in Net Position, Statement of Cash Flows and Notes to the Financial Statements. This report also contains other supplementary information in addition to the basic financial statements themselves. The Statement of Net Position presents information on all of the Authority s assets and liabilities, with the difference between the two reported as net position. Over time, the increases and decreases in net position may serve as a useful indicator of whether the financial position of the Authority is improving or deteriorating. It also provides the basis for evaluating the capital structure of the Authority and assessing the liquidity and financial flexibility of the Authority. The Statement of Revenues, Expenses and Changes in Net Position present the results of the business activities over the course of the fiscal year and information as to how the net position changed during the year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of the related cash flows. The statements are presented using the accrual basis of accounting, which is similar to the accounting method used by most private-sector companies. This statement also provides certain information about the Authority s recovery of its costs and the Authority s dependence on intergovernmental revenues from the U.S. Department of Housing and Urban Development (HUD). The Statement of Cash Flows presents changes in cash and cash equivalents resulting from operational, noncapital financing, investing and capital-related financing activities. This statement presents cash receipts and cash disbursement information, without consideration of the earnings event or when an obligation arises. Blended Component Units - North Suburban Housing, LLC and Evanston Senior Redevelopment, LLC are blended component units of the Housing Authority of Cook County, which were formerly Low Income Public Housing (LIPH) units of the Authority. The LIPH units were converted through Rental Assistance Demonstration (RAD) program and Low Income Housing Tax Credit (LIHTC). Discretely Presented Component Unit - Component units are entities for which the Authority is financially accountable. The Riverdale Senior LLC (Riverdale Senior) and Summit Senior Housing LLC (Summit Senior Villas), because of its financial relationship with the Housing Authority, is considered a discretely presented component unit. 3

Management s Discussion and Analysis (Continued) The Notes to the Financial Statements provide required disclosures and other information that is essential to a full understanding of material data provided in the statements. The notes present information about the Authority s accounting policies, significant account balances and activities, material risks, obligations, commitments, contingencies and subsequent events. Supplementary information summarizes the status of the Capital Fund Program grants, the Shelter Care Plus/Special Needs Assistance Program grants, and the FDS supplemental schedules and the Discretely Presented Component Units Combining Statement of Net Position and Combining Statement of Revenues, Expenses and Changes in Net Position. Financial Operations Summary With revenues of $172.0 million, capital contributions of $0.9 million and expenses totaling $159.4 million, the Authority s net position increased by $13.5 million in fiscal year 2016 to $63.9 million. Restricted net position and net position invested in capital assets, net of related debt, were zero and $44.6 million, respectively. Financial Highlights The Authority is in a positive operating position with assets exceeding liabilities at the close of the fiscal year by $63.94 million (net position). The Authority s unrestricted net position was $19.3 million as of. The Authority s total net position increased by $13.5 million during the 2016 fiscal year, primarily due to an increase in operating revenues combined with a disposition of capital assets by the Housing Authority in fiscal year 2016. Annually, the Authority receives a HUD Capital Fund grant which is used primarily for modernization of existing housing developments. The Authority received Capital Fund grants of $0.9 million and $1.3 million in fiscal years 2016 and 2015, respectively. As of, the Authority had two Capital Fund Program grants open to fund improvements. On November 30, 2015, the Authority converted 246 additional units from Public Housing to Rental Assistance Demonstration (RAD) units. Construction costs for the rehabilitation will be funded through various sources, including Low Income Tax Credit investors. As of, construction costs related the RAD amounted to $5.3 million. Financial Analysis of the Authority The following comparative financial statements and other selected information serve as key financial data and indicators for management, monitoring and planning. 4

Management s Discussion and Analysis (Continued) Changes in Net Position The total assets of the Authority increased in fiscal year 2015 by $26.3 million and total liabilities increased by approximately $12.8 million. The increase of $13.5 million in net position was primarily due to an increase in operating revenues and Capital Assets related redevelopment of former Public Housing units under the Rental Assistance Demonstration program. A comparative summary of the changes in net assets is presented below. Comparative Summary of Net Position For Fiscal Years Ending March 31 Dollar 2016 2015 Change Current and other assets $ 24,346,391 $ 18,602,670 $ 5,743,721 Restricted assets 2,664,447 3,630,536 (966,089) Capital assets 66,968,381 45,398,717 21,569,664 Total assets 93,979,219 67,631,923 26,347,296 Current liabilities 19,709,881 9,186,240 10,523,641 Long-term liabilities 10,327,932 8,030,783 2,297,149 Total liabilities 30,037,813 17,217,023 12,820,790 Investment in capital assets, net of related debt 44,643,097 37,742,218 6,900,879 Unrestricted net position 19,298,309 12,672,682 6,625,627 Total net position $ 63,941,406 $ 50,414,900 $ 13,526,506 5

Management s Discussion and Analysis (Continued) Revenues and Expenses The Authority s Total Revenue in fiscal year 2016 increased by $23.4 million, primarily due to an increase in government grants received from HUD during the fiscal year. Total expenses increased by $10.8 million compared to prior fiscal year primarily due to increased Housing Assistance Payments (HAP). Comparative Summary of Revenues, Expenses and Change in Net Position For Fiscal Years Ending March 31 Dollar 2016 2015 Change Revenues Operating: Government operating grants $ 144,326,541 $ 128,376,736 $ 15,949,805 Tenant revenue 3,882,231 4,009,167 (126,936) Other revenue 23,765,555 16,194,035 7,571,520 Nonoperating: Interest and investment revenue 8,035 5,142 2,893 Total revenues 171,982,362 148,585,080 23,397,282 Expenses Operating 157,553,714 148,791,968 8,761,746 Nonoperating - (income) loss on disposition of assets 1,551,528 (600,073) 2,151,601 Nonoperating - interest expense 253,368 322,409 (69,041) Total expenses 159,358,610 148,514,304 10,844,306 Income before capital contributions and transfers 12,623,752 70,776 12,552,976 Capital contributions 902,754 1,262,628 (359,874) Change in net position 13,526,506 1,333,404 12,193,102 Net position - beginning, as previously reported 50,414,900 49,081,496 1,333,404 Net position - end of year $ 63,941,406 $ 50,414,900 $ 13,526,506 6

Management s Discussion and Analysis (Continued) Capital Assets and Debt Administration Capital Assets Capital assets represent the largest category of the Authority s assets at $66.9 million at this fiscal year end, up from $45.4 million in the prior year. Total capital assets before depreciation totaled $140.2 million at. Comparative Summary of Changes in Capital Assets, Net For Fiscal Years Ending March 31 Dollar 2016 2015 Change Land $ 5,111,615 $ 4,834,115 $ 277,500 Buildings and improvements 115,666,251 109,783,318 5,882,933 Furniture and equipment 5,573,175 6,129,070 (555,895) Construction in process 13,852,438 5,350,208 8,502,230 140,203,479 126,096,711 14,106,768 Less: Accumulated depreciation (73,235,098) (80,697,994) 7,462,896 Total capital assets, net $ 66,968,381 $ 45,398,717 $ 21,569,664 Detailed information about the Authority s capital assets is presented in Notes to the Financial Statements. Debt Administration All scheduled bond payments through were made on time. Principal reduction of $1.2 million in the loan payable was due to the annual payment made and additional principal payment required by the RAD conversion. The bond payable principal and interest payments will continue to be 100% funded through capital grant funds received from HUD. During the year the loans and notes payable increased by 12.0 million related to construction activities of the redevelopment of RAD units. At, remaining loan payable outstanding was $18.4 million. Comparative Summary of Changes in Outstanding Debt For Fiscal Years Ending March 31 Dollar 2016 2015 Change Loans and Notes Payable $ 18,436,363 $ 6,340,000 $ 12,096,363 Detailed information about the Authority s debt is presented in Note 7. Request for Information This financial report is designed to provide a general overview of the Authority s finances to our residents, the citizens of Cook County, federal and state regulatory bodies, and any creditors. If you have any questions regarding these financial statements or supplemental information, you may contact Mr. Richard Monocchio, Executive Director, at 175 W. Jackson Blvd., Suite 350, Chicago, IL 60604-3042. 7

Statement of Net Position Discretely Presented Housing Component Assets Authority Units Current Assets Cash and cash equivalents $ 18,688,149 $ 93,341 Accounts receivable - grants 1,337,755 - Accounts receivable - other, net 796,478 1,672 Tenant accounts receivable, net 67,337 14,178 Accrued interest receivable 118 - Prepaid expenses 388,282 702 Restricted assets - cash and cash equivalents 2,429,049 6,000 Total current assets 23,707,168 115,893 Restricted Assets Cash and cash equivalents 2,664,447 45,807 Capital Assets Land 5,111,615 47,250 Buildings and improvements 115,666,251 10,509,139 Furniture and equipment 5,573,175 235,866 Construction in process 13,852,438-140,203,479 10,792,255 Less: Accumulated depreciation (73,235,098) (2,056,431) Net capital assets 66,968,381 8,735,824 Other Assets Pre-Development costs 639,223 - Total Assets $ 93,979,219 $ 8,897,524 See accompanying Notes to the Financial Statements. 8

Statement of Net Position (Continued) Discretely Presented Housing Component Liabilities and Net Position Authority Units Liabilities Current liabilities Accounts payable $ 3,617,855 $ 232,310 Accrued wages and payroll taxes 317,191 2,191 Accrued expenses - HUD programs 37,901 - Accrued expenses - HAP 786,203 - Interest payable 21,701 245,181 Accrued PILOT and expenses 1,690,624 7,711 Tenant security deposits 285,806 4,750 Unearned revenues 2,837,783 34,455 Current portion of long-term liabilities 9,988,222 139,272 Other current liabilities 126,595 28,099 Total current liabilities 19,709,881 693,969 Long-term liabilities, net of current portion Loan and notes payable 8,695,333 4,576,653 Accrued compensated absences 275,016 - Other 1,357,583 183,895 Total long-term liabilities 10,327,932 4,760,548 Total liabilities 30,037,813 5,454,517 Net Position Investment in capital assets, net of related debt 44,643,097 4,019,899 Unrestricted 19,298,309 (576,892) Total net position 63,941,406 3,443,007 Total Liabilities and Net Position $ 93,979,219 $ 8,897,524 See accompanying Notes to the Financial Statements. 9

Statement of Revenues, Expenses and Changes in Net Position For the Year Ended Discretely Presented Housing Component Authority Units Operating revenues Dwelling rent $ 3,882,231 $ 455,421 Operating grants 144,326,541 - Other revenue 23,765,555 73,313 Total operating revenues 171,974,327 528,734 Operating expenses Administrative 13,720,959 154,125 Tenant services 1,879,501 409 Utilities 1,540,937 55,776 Maintenance and operations 3,298,885 126,479 Protective services 174,927 6,886 General expense 1,876,416 33,724 Housing assistance payments 131,827,596 - Depreciation expense 3,234,493 407,287 Total operating expenses 157,553,714 784,686 Operating income (loss) 14,420,613 (255,952) Nonoperating revenues (expenses) Investment income 8,035 116 Gain (loss) on disposition of assets (1,551,528) - Interest expense (253,368) (92,693) Total nonperating revenues (expenses) (1,796,861) (92,577) Income (loss) before contributions 12,623,752 (348,529) Capital contributions 902,754 - Increase (decrease) in net position 13,526,506 (348,529) Net position - beginning, as previously reported 50,414,900 3,791,536 Net position - ending $ 63,941,406 $ 3,443,007 See accompanying Notes to the Financial Statements. 10

Statement of Cash Flows For the Year Ended Discretely Presented Housing Component Authority Units Cash flows from operating activities: Cash received from dwelling rent $ 4,042,558 $ 453,068 Cash received from grants 144,860,577 - Cash received from development fees and other income 24,234,840 73,313 Cash advanced to other housing authorities for rent (9,912,883) - Cash payments for salaries and benefits (9,859,820) (88,050) Cash payments to vendors and landlords (133,557,769) (328,650) Net cash flows provided by operating activities 19,807,503 109,681 Cash flows from capital and related financing activities: Cash received - donation tax credit & CDBG 2,669,167 - Cash received - capital grants 1,226,498 - Purchases of capital assets (25,905,020) - Proceeds from loans and mortgage notes 13,254,134 - Payment of principal on debt (1,245,000) (45,449) Payment of interest on debt (254,966) (49,165) Net cash flows used in capital and related financing activities (10,255,187) (94,614) Cash flows from investing activities: Cash paid for pre-development costs (3,539,852) - Interest received 8,065 116 Net cash flows provided by (used in) investing activities (3,531,787) 116 Net increase in cash and cash equivalents 6,020,529 15,183 Cash and cash equivalents - beginning of year 17,761,116 129,965 Cash and cash equivalents - end of year $ 23,781,645 $ 145,148 Cash and cash equivalents - end of year: Current assets $ 18,688,149 $ 93,341 Restricted assets - current 2,429,049 6,000 Restricted assets - noncurrent 2,664,447 45,807 Total cash and cash equivalents, end of year $ 23,781,645 $ 145,148 (Continued) 11

Statement of Cash Flows (Continued) For the Year Ended Reconciliation of operating income (loss) to net cash provided by operating activities: Housing Authority Discretely Presented Component Units Operating income (loss) $ 14,420,613 $ (255,952) Adjustment to reconcile operating income (loss) to net cash provided by operating activities: Depreciation expense 3,234,493 407,287 Bad debt expense 347,254 - Changes in assets and liabilities: Accounts receivable - grants 857,780 - Tenant accounts receivable 66,653 (11,366) Accounts receivable - other 25,475 9,753 Unearned revenues (109,277) (1,240) Prepaid expenses 129,317 2,917 Accounts payable 916,389 (24,688) Accrued expenses 494,701 (17,530) Other liabilities (551,658) - Tenant security deposits (24,237) 500 Net cash provided by in operating activities $ 19,807,503 $ 109,681 Supplemental information: Non cash transactions $ - $ - See accompanying Notes to the Financial Statements. 12

Notes to the Financial Statements Note 1. Nature of Business Organization The Housing Authority of Cook County (the Housing Authority) was organized in 1946 by the Cook County Board to promote adequate affordable housing through various programs from the United States Department of Housing and Urban Development (HUD) in Cook County, Illinois exclusive of the City of Chicago. The Housing Authority has multiple programs which are accounted for in a single major enterprise fund. Reporting entity: The Housing Authority is a governmental entity with a Board of Commissioners. The applicable jurisdictions appoint the Board of Commissioners. However, the Housing Authority has complete legislative and administrative authority and it recruits and employs personnel. The Housing Authority adopts a budget that is approved by the Board of Commissioners. Subsidies for operations are received primarily from HUD. The Housing Authority has substantial legal authority to control its affairs without local government approval; therefore, all operations of the Housing Authority are a separate reporting entity as reflected in this report. In determining how to define the reporting entity, management of the Housing Authority has considered all potential component units. The decision to include a component unit in the reporting entity was made by applying the criteria set forth in Section 2100 of the Codification of the Governmental Accounting and Financial Reporting Standards. These criteria include manifestation of oversight responsibility including financial accountability, appointment of a voting majority, imposition of will, financial benefit to or burden on a primary organization, financial accountability as a result of fiscal dependency, potential for dual inclusion, and organizations included in the reporting entity although the primary organization is not financially accountable. Based upon the application of these criteria, the reporting entity includes the following discretely presented component units, comprised of Riverdale Senior, LLC and Summit Senior Housing, LLC. Similarly, the reporting entity has included the following blended component units of One Vision Housing, LLC, Evanston Senior Redevelopment, LLC, One Vision Housing II, LLC and North Suburban Housing, LLC. Riverdale Senior, LLC, an Illinois Limited Liability Company, is a separate entity from the Housing Authority. Riverdale Senior, LLC has developed, rehabilitated and operates a 52 unit residential property, of which 35 units are operated as Public Housing Units as part of the financing arrangements. The development was a mixed-financed project, as defined by HUD, which used a pass through grant (American Recovery and Reinvestment Act (ARRA) grants) received from the Housing Authority. Summit Senior Housing, LLC, an Illinois Limited Liability Company, is a separate entity from the Housing Authority. Summit Senior Housing, LLC has developed, rehabilitated and operates an 18 unit residential property, of which 3 units are operated as Public Housing Units as part of their regulatory and financing arrangements. The development was a mixed-financed project, as defined by HUD, which used a pass through grant (American Recovery and Reinvestment Act (ARRA) grants) received from the Housing Authority. Management of the Riverdale Senior, LLC and Summit Senior Housing, LLC have calendar year ends. Since the component unit reporting period is different than that of the Housing Authority, the records of two different periods have been combined and adjusted in order to conform with the reporting requirements. A copy of the separately issued financial statements of Riverdale Senior, LLC or Summit Senior Housing, LLC for the period ended December 31, 2015 may be obtained by writing to Turnstone Development at 10 S. LaSalle Street, 60603-1038. 13

Notes to the Financial Statements Note 1. Nature of Business (Continued) One Vision Housing, LLC, an Illinois Limited Liability Company, is a separate entity of which the Housing Authority is its sole member. Evanston Senior Redevelopment, LLC an Illinois Limited Liability Company, is a separate entity of which the One Vision Housing, LLC is the managing member. The Housing Authority applied and received approval to convert 201 Public Housing Units to Rental Assistance Demonstration Units (RAD). Evanston Senior Redevelopment, LLC is to redevelop, rehabilitate and operate the 201 units as RAD as part of their regulatory and financing arrangements. The Housing Authority applied on behalf of Evanston Senior Redevelopment, LLC and received an allocation of Low Income Housing Tax Credits from the Illinois Housing Development Authority to redevelop and operate the units under the HUD Multi-family Rules and Regulations. One Vision Housing II, LLC, an Illinois Limited Liability Company, is a separate entity of which the Housing Authority is its sole member. North Suburban Housing, LLC an Illinois Limited Liability Company, is a separate entity of which the One Vision Housing II, LLC is the managing member. The Housing Authority applied and received approval to convert 246 Public Housing Units to Rental Assistance Demonstration Units (RAD). North Suburban Housing, LLC is to redevelop, rehabilitate and operate the 246 units as RAD units as part of their regulatory and financing arrangements. The Housing Authority applied on behalf of North Suburban Housing, LLC and received an allocation of Low Income Housing Tax Credits from the Illinois Housing Development Authority to redevelop and operate the units under the HUD Multi-family Rules and Regulations. Note 2. Summary of Significant Accounting Policies Basis of Accounting The basic financial statements of the Authority have been prepared in conformity with accounting principles generally accepted in the United States of America as applied to governmental entities. The Governmental Accounting Standards Board (GASB) is the accepted standards-setting body for establishing governmental accounting and financial reporting principles. The Authority is a special-purpose government engaged in business-type activities. The Authority has determined all its activities are classified and reported as required for enterprise funds and are therefore accounted for on the proprietary fund-type basis. The proprietary fund-type utilizes the economic resources measurement focus and accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of the timing of the related cash flows. Budgets: Budgets for Low Rent Public Housing and Housing Choice Voucher Programs are adopted and amended on a HUD-prescribed basis. In general, operating budgets are on an annual basis, while the budgets for grants supported by Capital Fund Program Grant funds cover up to 4 years. Expenses may not exceed total allocations by the grant, although there is some flexibility on a line-item basis. Cash and cash equivalents: The Authority s cash and cash equivalents consist principally of cash on hand, cash in banks, interest bearing deposits with banks and short term highly liquid investments. Investments are carried at fair value. Accounts receivable: Tenant accounts receivable are carried at the amount considered by management to be collectible. Other accounts receivable consists of amounts due from HUD and state and local governments for grant programs. 14

Notes to the Financial Statements Note 2. Summary of Significant Accounting Policies (Continued) Prepaid expenses: Prepaid expenses consist of payments made to vendors for services that will benefit future periods. Restricted assets: Restricted assets represent cash and cash equivalents set aside for the future payments of Housing Assistance Payments (HAP). HUD requirements stipulate that HAP reserves be restricted to cover these payments. Restricted assets also include cash and cash equivalents, whose use is limited by the applicable bond indenture or grant purpose. Capital assets: Capital assets are recorded at historical cost. Depreciation is computed using the straightline method over the estimated useful lives of the assets. Capital assets are defined as assets with initial, individual costs of more than $2,500 and an estimated useful life of more than one year. The costs of maintenance and repairs are expensed while significant renewals and improvements are capitalized. Small dollar value minor equipment items are expensed. Depreciation on assets has been expensed in the statement of revenues, expenses and changes in net position. Major outlays for capital assets and improvements are capitalized as the project expenses are incurred. Interest incurred during the construction phase of capital assets is included as part of the capitalized value of the assets constructed. Estimated useful lives are as follows: Buildings Building and land improvements Furniture and equipment 30 years 7-15 years 5-10 years Operating revenues and expenses: HUD grants received for operations are recognized when eligibility requirements are met. These represent the most significant sources of revenues. The terms of these grants are defined in various Consolidated Annual Contribution Contracts. HUD grants for ongoing operations, housing assistance payments for each unit rented to qualified tenants and other operating fund grants are recorded as operating grant revenues. Other operating fund grants and operating miscellaneous income are shown as operating income. HUD grants for project acquisition and development or modernization are recorded as capital contributions. Expenses associated with the principal activity of the Authority are considered operating expenses. Interest income and expense are classified as non-operating. Dwelling rent revenue: Revenue from rental charges to residents is recognized ratably over the terms of the lease agreements, which are generally on a month-to-month basis. Other Revenue: Other revenue consists of revenues from portability, developer fees earned, bad debt recoveries, FSS forfeitures, laundry room collections, insurance proceeds and other miscellaneous revenues not reported elsewhere. Portability revenue: Portability revenue, included in other revenue in the statement of revenues, expenses and changes in net position, is recognized ratably based on housing assistance payments and administrative fees associated with incoming vouchers from other housing authorities. Taxes: The Authority, as a political subdivision of Cook County (County), is exempt from state and federal income tax and state and local sales tax. Under a cooperation agreement with Cook County, the Authority makes payments to the County in lieu of property taxes (PILOT) on its rental housing properties. 15

Notes to the Financial Statements Note 2. Summary of Significant Accounting Policies (Continued) Unearned revenue: The Authority reports unearned revenues on its statement of net position. Unearned revenues arise when resources are received before the Authority has met the eligibility requirements, such as when cost reimbursement grant money is received before the qualifying expenditure is made. Also included in unearned revenues is rent received which is yet to be earned by the Authority. In the subsequent period, when the Authority has met the eligibility requirements, or the rental revenue has been earned, the liability for unearned revenue is reduced, and the revenue is recognized. Compensated absences: The Authority allows employees to accumulate vacation leave to a maximum of thirty days for employees with under twenty years of service and fifty days for employees with over twenty years of service. Upon termination, all of accumulated vacation leave will be paid to the employee. All accumulated vacation leave is accrued when incurred. The amount estimated to be paid out in the next year is shown as a current liability; the remaining balance is shown as a long-term liability. Sick leave is accumulated on an unlimited basis but is not paid out upon termination. Cost allocation plan: In accordance with the Uniform Grant Guidance (UGG), the Authority utilizes a Cost Allocation Plan. The Authority allocates indirect costs to programs on the basis of one of the following methods: direct salaries and wages, percentage of office square footage, number of vouchers and/or units, estimated/actual time spent or the allotment stipulated in contractual agreements. Indirect expenses: The Authority allocates its indirect expenses such as payroll and administrative expenses based upon public housing rental units and Housing Choice Voucher Program baseline units. Restricted resources: When the Authority has both unrestricted and restricted resources available to finance a particular expense, it is the Authority s policy to use restricted resources before unrestricted resources. Net position: Net position is classified in three components: Net position invested in capital assets, net of related debt, consists of capital assets net of accumulated depreciation and net of obligations incurred to acquire such capital assets. Restricted net position is noncapital net position that must be used for a particular purpose, as specified by creditors, grantors or contributors to the Authority. Unrestricted net position is remaining net position that do not meet the definition of invested in capital assets or restricted. Significant estimates: The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Concentration of risk: The Authority receives most of its funding from HUD. These funds and grants are subject to modification by HUD depending on the availability of funding. Note 3. Cash Deposits Statutes authorize the Authority to make deposits/invest in commercial banks, obligations of the U.S. Treasury and U.S. Agencies, insured credit union shares, money market mutual funds with portfolios of securities issued or guaranteed by the United States or agreements to repurchase these same obligations, repurchase agreements, short-term commercial paper rated within the three highest classifications by at least two standard rating services and the Illinois Funds. The Authority does not have a policy that further limits its permitted deposits and investments. 16

Notes to the Financial Statements Note 3. Cash Deposits (Continued) The Housing Authority s cash and cash equivalents at consist of deposits with federally insured financial institutions of $23,963,867 with the related book balance totaling $23,781,645. Approximately $2,200 is held in the form of petty cash or change fund. Riverdale Senior, LLC and Summit Senior Housing, LLC cash and cash equivalents at consist of deposits totaling $144,143 with the related book balance totaling $145,148. Custodial Credit Risk - Deposits Custodial credit risk is the risk that in the event of a bank failure, the Authority s deposits may not be returned to it. State law (30 ILCS 230/26) requires that all deposits of public funds be covered by FDIC insurance or eligible collateral. The Authority has no policy that would further limit the requirements under state law. As of, all of the Authority s deposits were fully collateralized and not exposed to custodial credit risk. Note 4. Accounts Receivable Accounts receivable other, net of allowance for doubtful accounts at consist of: Due from other housing authorities for ported vouchers $ 426,278 Less: Allowance for doubtful accounts (170,000) Total port-in accounts receivable 256,278 Voucher program security deposit assistance 46,293 Less: Allowance for doubtful accounts (43,083) 3,210 Various other receivables 959,078 Less: Allowance for doubtful accounts (422,088) 536,990 Subtotal - Housing Authority 796,478 Component units - other receivable 1,672 Total accounts receivable - other $ 798,150 Tenant accounts receivable, net of allowance for doubtful accounts at consist of: Due fron tenants $ 127,457 Less: Allowance for doubtful accounts (60,120) Total tenant accounts receivable 67,337 17

Notes to the Financial Statements Note 5. Tenant Security Deposits and FSS Escrow Residents are required to pay a security deposit when moving into the Authority s property. The deposit less any amounts due to the Authority, is refundable when the resident moves out. For the year ended March 31, 2016, security deposits held by the Housing Authority totaled $285,806, and are included as current liabilities on the statement of net position. An escrow account has been established for Section 8 and Low Rent Public Housing participants in the Housing Choice Voucher Family Self-Sufficiency (FSS) program. A portion of rent paid by residents participating in this program is held for them until the participating family meets individually established self-sufficiency goals. The escrowed amount is turned over to the head of household upon completion of their specific work plan, or when 30 percent of the family s monthly adjusted income equals or exceeds the appropriate fair market rent. Escrows are non-refundable if the family leaves the program. Interest is accrued on the account. At, FSS escrow amounts held by the Housing Authority are included in other long-term liabilities on the statement of net position and totaled $420,483. Discretely Presented Component Unit: Residents are required to pay a security deposit when moving into the Discretely Presented Component Unit s (Summit Senior Housing, LLC) property. That deposit less any amounts due to the Discretely Presented Component Unit is refundable when the resident moves out. For the year ended, security deposits held by the Discretely Presented Component Unit totaled $4,750 and are included as current liabilities on the statement of net position. 18

Notes to the Financial Statements Note 6. Capital Assets Capital asset activity for the year ended was as follows: Balance Balance March 31, April 1, 2015 Additions Transfers Deletions Transfers 2016 Housing Authority including blended component unit Capital assets not being depreciated: Land $ 4,834,115 $ - $ 277,500 $ - $ - $ 5,111,615 Construction in process 5,350,208 8,502,230 - - - 13,852,438 Total capital assets not being depreciated 10,184,323 8,502,230 277,500 - - 18,964,053 Capital assets being depreciated: Buildings and improvements 109,783,318 17,265,450 - (11,105,017) (277,500) 115,666,251 Furniture and equipment 6,129,070 137,340 - (693,235) - 5,573,175 Total capital assets being depreciated 115,912,388 17,402,790 - (11,798,252) (277,500) 121,239,426 Accumulated depreciation: Buildings and improvements (76,864,805) (3,065,741) - 10,557,347 - (69,373,199) Furniture and equipment (3,833,189) (168,752) - 140,042 - (3,861,899) Less: Accumulated depreciation (80,697,994) (3,234,493) - 10,697,389 - (73,235,098) Total capital assets being depreciated, net 35,214,394 14,168,297 - (1,100,863) (277,500) 48,004,328 Total capital assets, Housing Authority $ 45,398,717 $ 22,670,527 $ 277,500 $ (1,100,863) $ (277,500) $ 66,968,381 Discretely Presented Component Units: Capital assets not being depreciated: Land $ 47,250 $ - $ - $ - $ - $ 47,250 Capital assets being depreciated: Buildings and improvements 10,509,139 - - - - 10,509,139 Furniture and equipment 235,866 - - - - 235,866 Total capital assets being depreciated 10,745,005 - - - - 10,745,005 Less: Accumulated depreciation (1,649,144) (407,287) - - - (2,056,431) Total capital assets being depreciated, net 9,095,861 (407,287) - - - 8,688,574 Total capital assets, Component Units $ 9,143,111 $ (407,287) $ - $ - $ - $ 8,735,824 19

Notes to the Financial Statements Note 7. Long-Term Liabilities The following is a summary of changes in long-term liabilities for the year ended : Balance Balance Due Within April 1, Payments/ March 31, One 2015 Additions Reductions 2016 Year Housing Authority Loans payable $ 6,340,000 $ 13,341,363 $ 1,245,000 $ 18,436,363 $ 9,741,030 Accrued compensated absences 432,974 437,758 445,103 425,629 150,613 Other long-term liabilities 1,863,316-409,154 1,454,162 96,579 Total Long-Term Debt - Housing Authority $ 8,636,290 $ 13,779,121 $ 2,099,257 $ 20,316,154 $ 9,988,222 Discretely Presented Component Units Notes payable $ 4,761,374 $ - $ 45,449 $ 4,715,925 $ 139,272 Other long-term liabilities for the Housing Authority consist of the following at : Accrued rent expense $ 1,033,679 $ 96,579 HCV FSS escrow 420,483 - Other long-term liabilities - Housing Authority $ 1,454,162 $ 96,579 In May 2005, the Housing Authority participated in a bond transaction to finance the construction associated with improving three of its existing senior housing facilities. The renovation substantially improved the senior developments in Robbins and Chicago Heights. The bonds were issued by the Illinois Housing Development Authority (IHDA) pursuant to a Trust Indenture as supplemented by the First Supplement Trust Indenture relating to the bonds between IHDA and the Amalgamated Bank of Chicago, as Trustee; and a Loan Agreement between IHDA and the Housing Authority. The amount financed through this bond issue was $11,000,000 and will be repaid over 20 years using funds from the Housing Authority s Capital Fund Program annual allocation. The bonds bear interest at a rate not to exceed six percent and are paid semi-annually. Interest charged to expense during the year was $253,368, related to this bond. A partial principal prepayment of $790,000 and accrued interest of $5,448 was made in October 2015 toward the outstanding balance. 20

Notes to the Financial Statements Note 7. Long-Term Liabilities (Continued) Discretely Presented Component Unit: Riverdale Senior, LLC has an amended and restated mortgage note, dated February 23, 2010, which is held by Cook County, Illinois in the original amount of $2,130,586. The note bears interest at 1% per annum and had an original maturity date of February 23, 2051. The loan is secured by real estate for lease in Riverdale, Illinois. Summit Senior Housing, LLC has a first mortgage note dated September 14, 2011 which is held by Cook County, Illinois in the amount of $2,499,762. The note bears interest at 2% per annum compounded annually and has a maturity date of September 14, 2041. The loan is secured by real estate for lease in Summit, Illinois. Summit Senior Housing, LLC has a second mortgage note dated December 17, 2013, which is held by The Chicago Community Loan Fund in the amount of $445,000. The note bears interest at 7.5% per annum and had an original maturity date of December 17, 2020. Monthly fixed payments are $4,125 beginning in 2014. Additional principal payments are due on March 31 in the amount of $31,850 for years 2015 and $18,000 for years 2016, 2017, 2018, 2019 and 2020. The loan is secured by real estate for lease in Riverdale, Illinois. Blended Component Unit Evanston Senior Redevelopment, LLC executed a note for construction financing and it will be converted into a first mortgage upon completion of construction with Bank of America in the amount of $11,849,013. The note bears a variable interest rate of LIBOR daily floating rate plus 175 basis points and has a maturity date of September 30, 2016. Upon conversion to permanent financing the rate will be 4.95% per annum with a maturity of 40 years. The note is secured by the buildings and improvements, assignment of rents, HAP contract and Management agreement for lease in Evanston, Illinois. As of, $9,316,030 of the loan proceeds has been disbursed. Evanston Senior Redevelopment, LLC executed a mortgage note with the Housing Authority of Cook County in the amount of $1,219,754. The note bears interest of 2.0% per annum and has a maturity date of July 1, 2056. The note is secured by the buildings and improvements for lease in Evanston, Illinois. As of, the loan proceeds have been disbursed. (See related party transaction footnote.) Evanston Senior Redevelopment, LLC executed two mortgage notes with the City of Evanston and the County of Cook for HOME Funds in the amount of $150,000 and $3,499,235, respectively. The note bears interest of.5% per annum and has a maturity date of July 1, 2056. The note is secured by the buildings and improvements for lease in Evanston, Illinois. As of, $100,000 and $3,177,806, respectively, of loan proceeds have been disbursed. Evanston Senior Redevelopment, LLC has received a commitment from Bellwether Enterprise Real Estate Capital LLC to provide for FHA insured mortgage upon completion of the rehabilitation in the amount of $3,400,000. The note bears interest of 4.95% per annum and has a maturity date of 40 years. The note is secured by the buildings and improvements for lease in Evanston, Illinois. As of, no loan proceeds have been disbursed. 21

Notes to the Financial Statements Note 7. Long-Term Liabilities (Continued) North Suburban Housing, LLC executed a note for construction financing of up to $16,345,088 and it will be converted into a first mortgage upon completion of construction with Citibank, N.A. in the amount of $4,450,000. The note bears a variable interest rate of LIBOR daily floating rate plus 2.35% margin and has a maturity date of December 1, 2017. Upon conversion to permanent financing the interest rate will be 5.75% per annum with a maturity of 20 years. The note is secured by the buildings and improvements, assignment of rents, HAP contract and Management agreement for leases. As of, no loan proceeds have been disbursed. North Suburban Housing, LLC executed a mortgage note with the Illinois Housing Development Authority in the amount of $1,775,000. The note bears a fixed interest rate of 5% per annum and has a maturity date of July 1, 2047. The first mortgage payment will begin on August 1, 2017.The note is secured by the buildings and improvements, assignment of rents, HAP contract and Management agreement for leases. As of, $660,298 of loan proceeds has been disbursed. North Suburban Housing, LLC executed a mortgage note with the County of Cook for HOME Funds in the amount of $2,000,000. The note bears interest of 1.0% per annum and has a maturity date of July 1, 2047. The note is secured by the buildings and improvements for lease in Skokie and Arlington Heights, Illinois. As of, no loan proceeds have been disbursed. North Suburban Housing, LLC executed a mortgage note with the Housing Authority of Cook County in the amount of $2,687,767. The note bears interest of 8.0% per annum and has a maturity date of July 1, 2047. The note is secured by the buildings and improvements for lease in Skokie and Arlington Heights, Illinois. As of, $2,669,167 of loan proceeds has been disbursed. (See related party transaction footnote.) Annual debt service requirements: Future payments on outstanding long-term liabilities are due as follows: Housing Authority Discretely Presented Component Units Bond/Loan Payable Notes Payable Fiscal Year Principal Interest Principal Interest 2017 $ 9,750,546 $ 487,473 $ 139,272 $ 106,710 2018 444,516 250,964 98,616 82,901 2019 459,516 231,494 103,174 78,343 2020 479,516 211,254 108,053 73,465 2021 499,516 190,134 88,034 68,217 2022-2026 2,864,649 583,395 243,206 326,849 2027-2031 - 247,020 255,611 314,444 2032-2036 - 247,020 268,649 301,405 2037-2041 - 247,020 282,353 287,702 2042-2046 - 247,020 2,796,518 174,209 2047-2051 660,298 90,196 332,439 10,446 2052-2056 - 81,945 - - 2057-2061 3,277,806 4,098 - - Totals $ 18,436,363 $ 3,119,033 $ 4,715,925 $ 1,824,691 22

Notes to the Financial Statements Note 8. Employee Benefit Plans The Housing Authority has a HUD-approved noncontributory, single employer defined contribution retirement plan covering substantially all of its employees. Participants become fully vested in employer contributions and investment earnings after five years of participation in the plan. Total employer contributions to the plan for the year ended were $418,905 of which $0 were forfeitures from prior years. The Housing Authority sponsors a 401(k) plan under which participating employees may authorize payroll deductions of up to the IRS allowable limit of their earnings. The Authority does not contribute to the plan and no administrative fees are paid. Employees contributed approximately $199,072 and a rollover from another qualified plan by an employee of $55,101 to the plan for the year ended. Note 9. Restricted Cash and Cash Equivalents and Restricted Net Assets For the Housing Authority, restricted cash and cash equivalents at totaled $5,093,496 of which $1,813,759 represents amounts restricted for the Colbert Program, $420,483 represents amounts restricted for FSS program, $2,535,540 represents amounts restricted for the rehabilitation costs associated with the blended component unit, $285,806 represents amounts held for tenant security deposits and $37,901 represents other restricted cash amounts. These restricted asset positions are offset by restricted liabilities resulting in a restricted net position of $0 for the year ended. These funds may only be used for expenditures in the respective programs. For the discretely presented component unit, restricted cash and cash equivalents at totaled $51,807 of which $45,807 represents amounts held as Replacement Reserves and the $6,000 represent amounts held as tenant security deposits. Note 10. Related Party Transactions The Authority loaned $1,219,754 to Evanston Senior Housing Redevelopment, LLC (blended component unit) as part of the financing for the RAD conversion. The corresponding note receivable, note payable and related interest revenue and expense has been eliminated for financial statement presentation purposes. The Authority loaned $2,669,167 to North Suburban Housing, LLC (blended component unit) as part of the financing for the RAD conversion. The corresponding note receivable, note payable and related interest revenue and expense has been eliminated for financial statement presentation purposes. 23

Notes to the Financial Statements Note 11. Operating Leases The Authority leases office space and equipment through May 31, 2023 and June 30, 2017, respectively. Rent expense for office space amounted to approximately $702,493 for the year ended. Total minimum rent under non-cancelable leases in effect at is payable approximately as follows: Fiscal Year Amount 2017 $ 834,446 2018 784,454 2019 778,061 2020 793,622 2021 809,495 2022-2024 1,879,470 $ 5,879,548 Note 12. Contractual Commitment The Authority has entered into various contracts for the renovation and inspection of certain housing units relating to the Capital Fund Program, which are expected to be completed during fiscal year 2016. As of, the remaining commitment on these projects approximated $869,604. The costs are being funded by the respective grants. Note 13. Risk Management The Authority is exposed to various risks of losses related to torts; thefts of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The Authority carries commercial insurance for all risks of loss, including workman s compensation and employee health and accident insurance. The Authority has not had any significant reductions in insurance coverage from the prior year. Settled claims have not exceeded the insurance coverage purchased for each of the past three fiscal years. The Authority is involved in various claims and legal actions arising out of the normal course of operations. In the opinion of the Authority s management, based in part on discussion with outside counsel, the ultimate disposition of these matters will not have a material effect on the Authority s financial condition. Note 14. Commitments and Contingencies Housing Authority Amounts received from HUD Amounts received or receivable from HUD are subject to audit and adjustment by grantor agencies. If expenses are disallowed as a result of these audits, the claims for reimbursement to the grantor agency would become a liability of the Housing Authority. In the opinion of management, any such adjustments would not be significant. 24

Notes to the Financial Statements Note 14. Commitments and Contingencies (Continued) Program participants who grossly misrepresented information and those who are unable to demonstrate the ability to honor an appropriate repayment plan are being reviewed for program termination. It is management s position that HUD will not attempt to recapture the excess federal funds used to pay out additional Housing Assistance Payments, and any funds recovered by the Authority will remain with the Housing Authority. Therefore, no liability has been accrued. Note 15. New Governmental Accounting Standards GASB Statement No. 72, Fair Value Measurement and Application, will be effective for the Authority with its year ended March 31, 2017. This Statement addresses accounting and financial reporting issues related to fair value measurements. The definition of fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. This Statement provides guidance for determining a fair value measurement for financial reporting purposes. This Statement also provides guidance for applying fair value to certain investments and disclosures related to all fair value measurements. Management has not yet determined what impact, if any, this Statement may have on its financial statements. Note 16. Predevelopment Costs The Authority has expended various fees on behalf of Cook County Suburban Redevelopment Group, LLC, South Suburban Senior Redevelopment Living Group, LLC, Richard Flowers Community Housing Group, LLC, and Southern County Community Housing Group, LLC (Blended Component Unit) prior to the closing and beginning of the redevelopment and syndication of Cook County Suburban Redevelopment, LLC, South Suburban Senior Redevelopment Living, LLC, Richard Flowers Community Housing, LLC, and Southern County Community Housing, LLC. As such, these costs will be reimbursed upon closing and the start of construction for the project. 25

Supplementary Information Section

Financial Data Sheet Combining Balance Sheet-All Programs HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 Assets 111 Cash-Unrestricted 2,975,632 8,327,412 124,770 - - 296,526 200,372 6,763,437-18,688,149 93,341 18,781,490 112 Cash-Restricted-Modernization And - - - - - 2,143,243 - - - 2,143,243-2,143,243 113-010 HAP Funds - 37,901 - - - - - - - 37,901-37,901 113-020 FSS Escrow Deposits - 420,483 - - - - - - - 420,483-420,483 113-030 All Other Funds 7 - - - 1,813,759 392,297 - - - 2,206,063 45,807 2,251,870 113 Cash-Other Restricted 7 458,384 - - 1,813,759 392,297 - - - 2,664,447 45,807 2,710,254 114 Cash-Tenant Security Deposits 221,586 - - - - 64,220 - - - 285,806 6,000 291,806 115-010 HAP Funds - - - - - - - - - - - - 115-020 FSS Escrow Deposits - - - - - - - - - - - - 115-030 All Other Funds - - - - - - - - - - - - 115 Cash-Restricted For Payment Of Current - - - - - - - - - - - - 100 Total Cash 3,197,225 8,785,796 124,770-1,813,759 2,896,286 200,372 6,763,437-23,781,645 145,148 23,926,793 121 Accounts Receivable-PHA Projects - - - - - - - - - - - - 122-010 A/R Hud-Operating Subsidy - - - - - - - - - - - - 122-020 A/R Hud-Capital Fund 125,320 - - - - - - - - 125,320-125,320 122-030 A/R Hud-Other - 750,536 89,020 14,830-358,049 - - - 1,212,435-1,212,435 122 A/R HUD Other Projects 125,320 750,536 89,020 14,830-358,049 - - - 1,337,755-1,337,755 124 Accounts Receivable-Other Government - - - - - - - - - - - - 125-010 AR-Miscellaneous-NFP - - - - - - - - - - - - 125-020 AR-Miscellaneous-Partnership - - - - - - - - - - - - 125-030 AR-Miscellaneous-Joint Venture - - - - - - - - - - - - 125-040 AR-Miscellaneous-Tax Credit 49,416 - - - - - 60,197 7,150 (116,763) - - - 125-050 AR-Miscellaneous-Other 14,565 1,424,408 - - - 6,007-1,500 (14,830) 1,431,650 1,672 1,433,322 125 Total Accounts Receivable-Miscellaneous 63,981 1,424,408 - - - 6,007 60,197 8,650 (131,593) 1,431,650 1,672 1,433,322 126 Accounts Receivable-Tenants 102,766 - - - 6,225 18,466 - - - 127,457 19,700 147,157 126.1 Allowance For Doubtful Accounts-Dwelling (58,863) - - - - (1,257) - - - (60,120) (5,522) (65,642) 126.2 Allowance For Doubtful Accounts-Other - (635,172) - - - - - - - (635,172) - (635,172) 127 Notes- Loans- & Mortgages Receivable- - 14,559 - - - - - - (14,559) - - - 128 Fraud Recovery - 605,004 1,313-1,430 - - - - 607,747-607,747 128.1 Allowance For Doubtful Accounts-Fraud - (605,004) (1,313) - (1,430) - - - - (607,747) - (607,747) 129 Accrued Interest Receivable - 118 - - - - 24,613 - (24,613) 118-118 120 Total Receivables- Net Of Allowances For 233,204 1,554,449 89,020 14,830 6,225 381,265 84,810 8,650 (170,765) 2,201,688 15,850 2,217,538 Doubtful Accounts 131 Investments-Unrestricted - - - - - - - - - - - - 132-010 HAP Funds - - - - - - - - - - - - 132-020 FSS Escrow Deposits - - - - - - - - - - - - 132-030 All Other Funds - - - - - - - - - - - - 132 Investments-Restricted - - - - - - - - - - - - 135-010 HAP Funds - - - - - - - - - - - - 135-020 FSS Escrow Deposits - - - - - - - - - - - - 135-030 All Other Funds - - - - - - - - - - - - 135 Investments-Restricted For Payment Of - - - - - - - - - - - - 142 Prepaid Expenses And Other Assets 170,413 118,161 - - - 7,828 3,003 88,877-388,282 702 388,984 143 Inventories - - - - - - - - - - - - 143.1 Allowance For Obsolete Inventories - - - - - - - - - - - - 144 Interprogram-Due From - - - - - - - - - - - - 145 Assets Held For Sale - - - - - - - - - - - - 150 Total Current Assets 3,600,842 10,458,406 213,790 14,830 1,819,984 3,285,379 288,185 6,860,964 (170,765) 26,371,615 161,700 26,533,315 26

Financial Data Sheet Combining Balance Sheet-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 161 Land 2,948,073 - - - - 277,500 1,741,774 144,268-5,111,615 47,250 5,158,865 162 Buildings 94,533,617 26,504 - - - 18,851,329-2,254,801-115,666,251 10,509,139 126,175,390 163 Furniture- Equipment And Machinery- 2,847,177 16,545 - - - 121,107-63,734-3,048,563 235,866 3,284,429 164 Furniture- Equipment And Machinery- 473,550 1,368,376 - - - 16,235-666,451-2,524,612-2,524,612 165 Leasehold Improvements - - - - - - - - - - - - 166 Accumulated Depreciation (68,742,109) (1,366,144) - - - (344,481) - (2,782,364) - (73,235,098) (2,056,431) (75,291,529) 167 Construction In Progress 28,325 - - - - 13,824,113 - - - 13,852,438-13,852,438 168 Infrastructure - - - - - - - - - - - - 160 Total Fixed Assets- Net Of Accumulated Depreciation 32,088,633 45,281 - - - 32,745,803 1,741,774 346,890-66,968,381 8,735,824 75,704,205 171-010 Notes, Loans, & Mortg Rec-NC-NFP - - - - - - - - - - - - 171-020 Notes, Loans, & Mortg Rec-NC-Part. - - - - - - - - - - - - 171-030 Notes, Loans, & Mortg Rec-NC-JV - - - - - - - - - - - - 171-040 Notes, Loans, & Mortg Rec-NC-TC - - - - - - 3,888,921 - (3,888,921) - - - 171-050 Notes, Loans, & Mortg Rec-NC-Other - - - - - - - - - - - - 171 Notes, loans, and mortgages receivable non-current - - - - - - 3,888,921 - (3,888,921) - - - 172-010 Notes, Loans, & Mortg Rec-NC-PD-NFP - - - - - - - - - - - - 172-020 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - 172-030 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - 172-040 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - 172-050 Notes, Loans, & Mortg Rec-NC-PD-NFP- - 96,290 - - - - - - (96,290) - - - 172 Notes, loans, and mortgages receiable - 96,290 - - - - - - (96,290) - - - non-current past due 173 Grants Receivable-NC - - - - - - - - - - - - 174-010 Other Assets-NFP - - - - - - - - - - - - 174-020 Other Assets-Partnership - - - - - - - - - - - - 174-030 Other Assets-Joint Venture - - - - - - - - - - - - 174-040 Other Assets-Tax Credit - - - - - - - 639,223-639,223-639,223 174-050 Other Assets-Other - - - - - - - - - - - - 174 Other Assets - - - - - - - 639,223-639,223-639,223 176-010 IJV-NFP - - - - - - - - - - - - 176-020 IJV-Partnership - - - - - - - - - - - - 176-030 IJV-Joint Venture - - - - - - - - - - - - 176-040 IJV-Tax Credit - - - - - 1,333,275 - - (1,333,275) - - - 176-050 IJV-Other - - - - - - - - - - - - 176 Total Investment in Joint Venture - - - - - 1,333,275 - - (1,333,275) - - - 180 Total Non-Current Assets 32,088,633 141,571 - - - 34,079,078 5,630,695 986,113 (5,318,486) 67,607,604 8,735,824 76,343,428 190 Total Assets 35,689,475 10,599,977 213,790 14,830 1,819,984 37,364,457 5,918,880 7,847,077 (5,489,251) 93,979,219 8,897,524 102,876,743 200 Deferred Outflow of Resources - - - - - - - - - - - - 290 Total Assets and Deferred Outflow of 35,689,475 10,599,977 213,790 14,830 1,819,984 37,364,457 5,918,880 7,847,077 (5,489,251) 93,979,219 8,897,524 102,876,743 27

Financial Data Sheet Combining Balance Sheet-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 Liabilities 311 Bank Overdraft - - - - - - - - - - - - 312 Accounts Payable <= 90 Days 83,706 783,576-14,830 199 2,722,121 10,830 17,423 (14,830) 3,617,855 232,310 3,850,165 313 Accounts Payable > 90 Days PD - - - - - - - - - - - - 321 Accrued Wage/payroll Taxes Payable 80,986 96,419 - - - - 6,404 133,382-317,191 2,191 319,382 322 Accrued Compensated Absences-Current 39,367 57,496 - - - 3,619-50,131-150,613-150,613 324 Accrued Contingency Liability - - - - - - - - - - - - 325 Accrued Interest Payable 21,701 - - - - 24,613 - - (24,613) 21,701 245,181 266,882 331-010 A/P HUD-operating Subsidy - - - - - - - - - - - - 331-020 A/P HUD-capital Fund - - - - - - - - - - - - 331-030 A/P HUD-Other - 37,901 - - - - - - - 37,901-37,901 331 Total A/P-HUD PHA Programs - 37,901 - - - - - - - 37,901-37,901 332 Accounts Payable-PHA Projects - - - - - - - - - - - - 333 Accounts Payable-Other Government - 786,203 - - - - - - - 786,203-786,203 341 Tenant Security Deposits 221,586 - - - - 64,220 - - - 285,806 4,750 290,556 342-010 Deferred Revenue-Operating Subsidy - 230,860 - - - - - - - 230,860-230,860 342-020 Deferred Revenue-Operating Capital - - - - - - - - - - - - 342-030 Deferred Revenue-Operating Other 99,885 681,272 - - 1,819,923 5,843 - - - 2,606,923 34,455 2,641,378 342 Unearned Revenue 99,885 912,132 - - 1,819,923 5,843 - - - 2,837,783 34,455 2,872,238 343-010 Current Portion LTD-CFFP 425,000 - - - - - - - - 425,000-425,000 343-020 Current Portion LTD-Capital - - - - - 9,316,030 - - - 9,316,030 139,272 9,455,302 343 Current portion of long term deb-capital projects/mortgage revenue bonds 425,000 - - - - 9,316,030 - - - 9,741,030 139,272 9,880,302 344 Current Portion Of LTD-Operating Borrowings - 61,768 - - - - - 34,811-96,579-96,579 345 Other Current Liabilities 55,921 - - - - 77,884-8,826 (16,036) 126,595 28,099 154,694 346 Accrued Liabilities-Other 560,830 179,130 38,611 - - 714,761 46,677 184,305 (33,690) 1,690,624 7,711 1,698,335 347 Interprogram-Due To - - - - - - - - - - - - 348-010 Loan Liability-Current-NFP - - - - - - - - - - - - 348-020 Loan Liability-Current-Partnership - - - - - - - - - - - - 348-030 Loan Liability-Current-Joint Venture - - - - - - - - - - - - 348-040 Loan Liability-Current-Tax Credit - - - - - 67,037 - - (67,037) - - - 348-050 Loan Liability-Current-Other - - - - - - - 14,559 (14,559) - - - 348 Total Loan Liability-Current - - - - - 67,037-14,559 (81,596) - - - 310 Total Current Liabilities 1,588,982 2,914,625 38,611 14,830 1,820,122 12,996,128 63,911 443,437 (170,765) 19,709,881 693,969 20,403,850 28

Financial Data Sheet Combining Balance Sheet-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 351-010 LTD Net Of Current-CFFP 4,757,229 - - - - - - - - 4,757,229-4,757,229 351-020 LTD Net Of Current-capital - - - - - 7,827,025 - - (3,888,921) 3,938,104 4,576,653 8,514,757 351 Long term debt, net of current capital projects/mortgage revenue bonds 4,757,229 - - - - 7,827,025 - - (3,888,921) 8,695,333 4,576,653 13,271,986 352 LTD-Net Of Current-Operating Borrowings - - - - - - - - - - - - 353 NC Liabilities-Other - 1,019,817 - - - - - 337,766-1,357,583 183,895 1,541,478 354 Accrued Compensated Absences-NC portion 69,902 111,476 - - - 8,000-85,638-275,016-275,016 355-010 Loan Liability-NC-NFP - - - - - - - - - - - - 355-020 Loan Liability-NC-Partnership - - - - - - - - - - - - 355-030 Loan Liability-NC-Joint Venture - - - - - - - - - - - - 355-040 Loan Liability-NC-Tax Credit - - - - - - - - - - - - 355-050 Loan Liability-NC-Other - - - - - - - 96,290 (96,290) - - - 355 Loan liability-non current - - - - - - - 96,290 (96,290) - - - 356 Fasb 5 Liabilities - - - - - - - - - - - - 357-010 Pension Liability - - - - - - - - - - - - 357-020 OPEB Liability - - - - - - - - - - - - 357 Accrued Pension and OPEB Liabilities - - - - - - - - - - - - 350 Total Non-Current Liabilities 4,827,131 1,131,293 - - - 7,835,025-519,694 (3,985,211) 10,327,932 4,760,548 15,088,480 300 Total Liabilities 6,416,113 4,045,918 38,611 14,830 1,820,122 20,831,153 63,911 963,131 (4,155,976) 30,037,813 5,454,517 35,492,330 400 Deferred Inflow of Resources - - - - - - - - - - - - Equity 508.3 Nonspendable Fund Balance - - - - - - - - - - - - 508.4 Net Investment in Capital Assets 26,906,404 45,281 - - - 15,602,748 1,741,774 346,890 44,643,097 4,019,899 48,662,996 509.3 Restricted Fund Balance - - - - - - - - - - - - 510.3 Committed Fund Balance - - - - - - - - - - - - 511.3 Assigned Fund Balance - - - - - - - - - - - - 511.4 Restricted Net Position - - - - - - - - - - - - 512.3 Unassigned Fund Balance - - - - - - - - - - - - 512.4 Unrestricted Net Position 2,366,958 6,508,778 175,179 - (138) 930,556 4,113,195 6,537,056 (1,333,275) 19,298,309 (576,892) 18,721,417 513 Total Equity-Net Assets/Position 29,273,362 6,554,059 175,179 - (138) 16,533,304 5,854,969 6,883,946 (1,333,275) 63,941,406 3,443,007 67,384,413 600 Total Liabilities, Deferred Inflow of Resources, and Equity-Net Assets/Position 35,689,475 10,599,977 213,790 14,830 1,819,984 37,364,457 5,918,880 7,847,077 (5,489,251) 93,979,219 8,897,524 102,876,743 29

Financial Data Sheet Combining Statement of Revenues, Expenses, and Changes in Fund net Assets-All Programs HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 Income Statement Revenue 70300 Net Tenant Rental Revenue 3,336,965 - - - - 606,175 - - - 3,943,140 460,417 4,403,557 70400 Tenant Revenue-Other 66,678 - - - - 24,326 - - - 91,004 1,021 92,025 70500 Total Tenant Revenue 3,403,643 - - - - 630,501 - - - 4,034,144 461,438 4,495,582 70600-010 Housing Assistance Payments - 116,247,845 576,724 - - 887,092 - - (516,004) 117,195,657-117,195,657 70600-020 Ongoing Administrative Fees Earned - 11,467,619 45,367-532,904 - - - - 12,045,890-12,045,890 70600-030 Hard To House Fee Revenue - - - - - - - - - - - - 70600-031 FSS Coordinator - - - 178,381 - - - - - 178,381-178,381 70600-040 Act Indep Public Accountant Audit Costs - - - - - - - - - - - - 70600-050 Total Preliminary Fees Earned - - - - - - - - - - - - 70600-060 All Other Fees 8,577,066 - - - - - - - - 8,577,066-8,577,066 70600 Total Hud Pha Operating Grants 8,577,066 127,715,464 622,091 178,381 532,904 887,092 - - (516,004) 137,996,994-137,996,994 70610 Capital Grants 902,754 - - - - - - - - 902,754-902,754 70710 Management Fee - - - - - - - 3,669,422 (3,669,422) - - - 70720 Asset Management Fee - - - - - - - - - - - - 70730 Book-keeping Fee - - - - - - - 1,290,308 (1,290,308) - - - 70740 Front Line Service Fee - - - - - - - 615,974 (615,974) - - - 70750-010 From PHA Administered Program - - - - - - - 65,621 (65,621) - - - 70750-020 From Third / Outside Party - - - - - - - - - - - - 70750 Other Fees - - - - - - - 65,621 (65,621) - - - 70700 Total Fee Revenue - - - - - - - 5,641,325 (5,641,325) - - - 70800 Other Government Grants 116,341 - - - 6,213,206 - - - - 6,329,547-6,329,547 71100-010 Inv. Inc.-Unrestricted HAP - - - - - 150 - - - 150-150 71100-020 Inv. Inc.-Unrestricted Admin Fee 2,279 1,040 - - 2-24,613 4,564 (24,613) 7,885 116 8,001 71100-030 Inv. Inc.-Unrestricted-Other - - - - - - - - - - - - 71100 Total Investment Income-Unrestricted 2,279 1,040 - - 2 150 24,613 4,564 (24,613) 8,035 116 8,151 71200 Mortgage Interest Income - - - - - - - - - - - - 71300 Proceeds From Disposition Of Assets Held For - - - - - - - - - - - - 71310 Cost Of Sale Of Assets - - - - - - - - - - - - 71400-010 Fraud Recovery Income-HAP - 83,367 73 - - - - - - 83,440-83,440 71400-020 Fraud Recovery Income-Admin Fee - 83,367 73 - - - - - - 83,440-83,440 71400-030 Fraud Recovery Income-Other - - - - - - - - - - - - 71400 Fraud Recovery - 166,734 146 - - - - - - 166,880-166,880 71500 Other Revenue 90,304 10,786,436 - - - 9,153,866 9,120 1,085,123-21,124,849 73,313 21,198,162 71600 Gain Or Loss On Sale Of Fixed Assets (1,551,528) - - - - - - - - (1,551,528) - (1,551,528) 72000-010 Inv. Inc.-Restricted Hap - - - - - - - - - - - - 72000-020 Inv. Inc.-Restricted Admin Fee - - - - - - - - - - - - 72000-030 Inv. Inc.-Restricted Other - - - - - - - - - - - - 72000 Total Investment Income-Restricted - - - - - - - - - - - - 71599 Total Other Income (1,461,224) 10,786,436 - - - 9,153,866 9,120 1,085,123-19,573,321 73,313 21,198,162 70000 Total Revenue 11,540,859 138,669,674 622,237 178,381 6,746,112 10,671,609 33,733 6,731,012 (6,181,942) 169,011,675 534,867 171,098,070 30

Financial Data Sheet Combining Statement of Revenues, Expenses, and Changes in Fund net Assets-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 Expenses 91100 Administrative Salaries 657,397 2,454,895 - - - 126,453-2,576,791-5,815,536 43,029 5,858,565 91200 Auditing Fees 36,842 36,715 - - - 15,731-25,249-114,537 23,383 137,920 91310 Book-keeping Fee 131,765 1,158,543 - - - - - - (1,290,308) - - - 91300-010 To PHA Administered Program 1,482,639 2,186,783 - - - 65,621 - - (3,735,043) - - - 91300-020 To a Third Party / Outside Entity - - - - - - - - - - 46,876 46,876 91300 Management Fee Expense 1,482,639 2,186,783 - - - 65,621 - - (3,735,043) - 46,876 46,876 91400 Advertisting And Marketing 5,056 2,654 - - - 2,363-2,092-12,165-12,165 91500 Employee Benefit Contributions- 329,373 1,028,035 - - - 25,905-898,173-2,281,486 4,582 2,286,068 91600 Office Expenses 893,701 2,077,233 - - 532,904 503,245 647 615,279-4,623,009 27,268 4,650,277 91700 Legal Expense 247,660 39,535 - - - 477,077-27,895-792,167 8,987 801,154 91800 Travel 6,995 5,515 - - - 99-38,423-51,032-51,032 91810 Allocated Overhead - - - - - - - - - - - - 91900 Other 546,948 69,026 - - - 31,000 - - (615,974) 31,000-31,000 91000 Total Administrative 4,338,376 9,058,934 - - 532,904 1,247,494 647 4,183,902 (5,641,325) 13,720,932 154,125 13,875,057 92000 Asset Mgmt Fee - - - - - - - - - - - - 92100 Tenant Services-Salaries - - - 149,444 - - - - - 149,444-149,444 92200 Relocation Costs 26,117 300 - - - 211,206 - - - 237,623-237,623 92300 Employee Benefit Contributions-Tenant - - - 28,937 - - - - - 28,937-28,937 92400 Tenant Services-Other 89,682 124 - - 1,362,382 7,301 76 3,932-1,463,497 409 1,463,906 92500 Total Tenant Services 115,799 424-178,381 1,362,382 218,507 76 3,932-1,879,501 409 1,879,910 93100 Water 596,390 11,597 - - - 42,864-6,223-657,074 16,881 673,955 93200 Electricity 349,784 9,354 - - - 65,980-12,356-437,474 25,211 462,685 93300 Gas 305,147 - - - - 102,933-1,385-409,465 13,684 423,149 93400 Fuel - - - - - - - - - - - - 93500 Labor - - - - - - - - - - - - 93600 Sewer - - - - - 36,924 - - - 36,924-36,924 93700 Employee Benefit Contributions-Utilities - - - - - - - - - - - - 93800 Other Utilities Expense - - - - - - - - - - - - 93000 Total Utilities 1,251,321 20,951 - - - 248,701-19,964-1,540,937 55,776 1,596,713 94100 Ordinary Maintenance And Operations-Labor 1,031,942 - - - - 164,222 - - - 1,196,164 36,538 1,232,702 94200 Ordinary Maintenance And Operations- 320,495 - - - - 4,567-11,817-336,879 10,072 346,951 94300-010 Garbage And Trash Removal Contracts 256,530 - - - - 29,646 - - - 286,176 6,628 292,804 94300-020 Heating & Cooling Contracts 185,675 - - - - 17,090-70 - 202,835 3,977 206,812 94300-030 Snow Removal Contracts - - - - - - - - - - 12,510 12,510 94300-040 Elevator Maintenance Contracts 129,846 - - - - 20,398-2,464-152,708 10,453 163,161 94300-050 Landscape & Grounds Contracts 207,414 - - - - 14,984-303 - 222,701 2,343 225,044 94300-060 Unit Turnaround Contracts 1,738 - - - - 3,565 - - - 5,303 10,303 15,606 94300-070 Electrical Contracts 69,632 - - - - 13,933 - - - 83,565 1,222 84,787 94300-080 Plumbing Contracts 61,770 - - - - 18,217 - - - 79,987 12,925 92,912 94300-090 Extermination Contracts 81,266 - - - - 21,441-125 - 102,832 3,962 106,794 94300-100 Janitorial Contracts 11,784 - - - - 12,844 - - - 24,628 355 24,983 94300-110 Routine Maintenance Contracts 26,769 - - - - 443 - - - 27,212 527 27,739 94300-120 Misc Contracts 109,510 3,985 - - - 14,824 1,383 4,266-133,968 10,765 144,733 94300 Ordinary Maintenance and Op controls 1,141,934 3,985 - - - 167,385 1,383 7,228-1,321,915 75,970 1,397,885 94500 Employee Benefit Contributions-Ordinary 414,694 - - - - 30,188 - - - 444,882 3,899 448,781 94000 Total Maintenance 2,909,065 3,985 - - - 366,362 1,383 19,045-3,299,840 126,479 3,426,319 31

Financial Data Sheet Combining Statement of Revenues, Expenses, and Changes in Fund net Assets-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 95100 Protective Services-Labor - - - - - - - - - - - - 95200 Protective Services-Other Contract Costs 152,114 - - - - 20,962-1,851-174,927 6,886 181,813 95300 Protective Services-Other - - - - - - - - - - - - 95500 Employee Benefit Contributions-Protective - - - - - - - - - - - - 95000 Total Protective Services 152,114 - - - - 20,962-1,851-174,927 6,886 181,813 96110 Property Insurance - - - - - - - - - - 6,872 6,872 96120 Liability Insurance - - - - - - - - - - 19,256 19,256 96130 Workmens Compensation 120,441 169,693 - - - 16,001-171,331-477,466 2,537 480,003 96140 All Other Insurance 496,097 86,435 - - - 9,038-92,093-683,663 5,059 688,722 96100 Total Insurance Premiums 616,538 256,128 - - - 25,039-263,424-1,161,129 33,724 1,194,853 96200 Other General Expenses - - - - - - - - - - - - 96210 Compensated Absences 112,992 173,970 - - - 11,308-138,560-436,830-436,830 96300 Payments In Lieu Of Taxes 225,860 - - - - 41,669 - - - 267,529-267,529 96400 Bad Debt-Tenant Rents 141,774 - - - - 9,031 1,108 - - 151,913 6,017 157,930 96500 Bad Debt-Mortgages - - - - - - - - - - - - 96600 Bad Debt-Other - 195,341 - - - - - - - 195,341-195,341 96800 Severance Expense - - - - - - - - - - - - 96000 Total Other General Expenses 480,626 369,311 - - - 62,008 1,108 138,560-1,051,613 6,017 1,057,630 96710 Interest On Mortgage (or Bonds) Payable 253,368 - - - - 24,613 - - (24,613) 253,368 92,693 346,061 96720 Interest On Notes Payable (ST & LT) - - - - - - - - - - - - 96730 Amortization Of Bond Issue Costs - - - - - - - - - - - - 96700 Total Interest Expense And Amortization 253,368 - - - - 24,613 - - (24,613) 253,368 92,693 346,061 Cost 96900 Total Operating Expenses 10,117,207 9,709,733-178,381 1,895,286 2,213,686 3,214 4,630,678 (5,665,938) 23,082,247 476,109 23,558,356 97000 Excess Revenue Over Operating Expenses (Difference between 96900 and 70000) 1,423,652 128,959,941 622,237-4,850,826 8,457,923 30,519 2,100,334 (516,004) 145,929,428 58,758 147,539,714 97100 Extraordinary Maintenance - - - - - - - - - - - - 97200 Casualty Losses-Noncapitalized - - - - - - - - - - - - 97300-010 Mainstream 1 - - - - - - - - - - - - 97300-020 Home-ownership - - - - - - - - - - - - 97300-025 Litigation - - - - - - - - - - - - 97300-030 Hope Iv - - - - - - - - - - - - 97300-040 Tenant Protection - - - - - - - - - - - - 97300-041 Portability-Out - - - - - - - - - - - - 97300-045 Family Self Sufficiency (FSS) Escrow - - - - - - - - - - - - 97300-049 All Other "Special" Vouchers - - - - - - - - - - - - 97300-050 All Other 516,004 116,610,719 453,171-4,850,823 - - - (516,004) 121,914,713-121,914,713 97300 Housing Assistance Payments 516,004 116,610,719 453,171-4,850,823 - - - (516,004) 121,914,713-121,914,713 97350 HAP Portability-In - 9,912,883 - - - - - - - 9,912,883-9,912,883 97400 Depreciation Expense 2,766,051 86,443 - - - 327,663-54,336-3,234,493 407,287 3,641,780 97500 Fraud Losses - - - - - - - - - - - - 97800 Dwelling Units Rent Expense - - - - - - - - - - - - 98000 Total Other Non-operating Expenses 3,282,055 126,610,045 453,171-4,850,823 327,663-54,336 (516,004) 135,062,089 407,287 135,469,376 90000 Total Expenses 13,399,262 136,319,778 453,171 178,381 6,746,109 2,541,349 3,214 4,685,014 (6,181,942) 158,144,336 883,396 159,027,732 32

Financial Data Sheet Combining Statement of Revenues, Expenses, and Changes in Fund net Assets-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 10010 Operating Transfers In 1,317,048 - - - - - - - - 1,317,048-1,317,048 10020 Operating Transfers Out (1,317,048) - - - - - - - - (1,317,048) - (1,317,048) 10030-010 NFP - - - - - - - - - - - - 10030-020 Partnership - - - - - - - - - - - - 10030-030 Joint Venture - - - - - - - - - - - - 10030-040 Tax Credit - - - - - - - - - - - - 10030-050 Other - - - - - - - - - - - - 10030 Total Operating Transfers From/to - - - - - - - - - - - - 10040 Operating Transfers From/to Component Unit - - - - - - - - - - - - 10070 Extraordinary Items- Net Gain/loss - - - - - - - - - - - - 10080 Special Items- Net Gain/loss - - - - - - 2,669,167 (10,000) - 2,659,167-2,659,167 10091 Inter-project Excess Cash Transfer In 38,844 - - - - - - - - 38,844-38,844 10092 Inter-project Excess Cash Transfer Out (38,844) - - - - - - - - (38,844) - (38,844) 10093 Transfers Between Programs and Projects-In 795,448 - - - - - - - - 795,448-795,448 10094 Transfers Between Programs and Projects-Out - - - - - - - (795,448) - (795,448) - (795,448) 10100 Total Other Financing Sources(uses) 795,448 - - - - - 2,669,167 (805,448) - 2,659,167-2,659,167 10000 Total End Excess (deficiency) Of Total Revenue Over (under) Total Expenses (1,062,955) 2,349,896 169,066-3 8,130,260 2,699,686 1,240,550-13,526,506 (348,529) 14,729,505 11020 Required Annual Debt Principal Payments 455,000 - - - - - - - - 455,000-455,000 11030 Beginning Equity 30,336,317 4,204,163 6,113 - (141) 8,403,044 3,155,283 5,643,396 (1,333,275) 50,414,900 3,791,536 54,206,436 11040 Prior Period Adjustments - - - - - - - - - - - - 11050 Changes In Compensated Absence Balance - - - - - - - - - - - - 11060 Changes In Contingent Liability Balance - - - - - - - - - - - - 11070 Changes In Unrecognized Pension Transition - - - - - - - - - - - - 11080 Changes In Special Terms/Severance Benefits - - - - - - - - - - - - 11090 Changes In Allowance For Doubtful Accounts - - - - - - - - - - - - 11100 Changes In Allowance For Doubtful Accounts - - - - - - - - - - - - 33

Financial Data Sheet Combining Statement of Revenues, Expenses, and Changes in Fund net Assets-All Programs (Continued) HOUSING CHOICE SPC/ STATE & BLENDED BUSINESS AGENCY DISCRETE LINE PROJECT LOW RENT VOUCHER SNAP FSS LOCAL COMP UNIT ACTIVITY COCC ELIM TOTAL COMP UNIT TOTAL 14.850a 14.871 14.238 14.896 6.200 6.100 11170-001 Admin Fee Equity-Beginning Equity - 4,204,163 - - - - - - - 4,204,163-4,204,163 11170-010 Administrative Fee Revenue - 11,467,619 - - - - - - - 11,467,619-11,467,619 11170-020 Hard to House Fee Revenue - - - - - - - - - - - - 11170-021 FSS Coordinator Grant - - - - - - - - - - - - 11170-030 Audit Costs - - - - - - - - - - - - 11170-040 Investment Income - 1,040 - - - - - - - 1,040 116 1,156 11170-045 Fraud Recovery Revenue - 83,367 - - - - - - - 83,367-83,367 11170-050 Other Revenue - 10,506,929 - - - 9,153,866 - - - 19,660,795 73,313 19,734,108 11170-060 Total Admin Fee Revenues - 22,058,955 - - - 9,153,866 - - - 31,212,821 73,429 31,286,250 11170-080 Total Operating Expenses - 9,709,733 - - - 2,213,686 - - - 11,923,419 476,109 12,399,528 11170-090 Depreciation - 86,443 - - - 327,663 - - - 414,106 407,287 821,393 11170-095 Housing Assistance Payment Portability In - 9,912,883 - - - - - - - 9,912,883-9,912,883 11170-100 Other Expenses - - - - - - - - - - - - 11170-110 Total Expenses - 19,709,059 - - - 2,541,349 - - - 22,250,408 883,396 23,133,804 11170-002 Net Administrative Fee - 2,349,896 - - - 6,612,517 - - - 8,962,413 (809,967) 8,152,446 11170-003 Admin Fee Equity-Ending Balance - 6,554,059 - - - 6,612,517 - - - 13,166,576 (809,967) 12,356,609 11170-005 Pre-2004 Admin Fee Reserves - 1,205,366 - - - - - - - 1,205,366-1,205,366 11170-006 Post 2003 Admin Fee Reserves - 5,348,693 - - - - - - - 5,348,693-5,348,693 11170 Administrative Fee Equity - 6,554,059 - - - 6,612,517 - - - 19,720,635 (809,967) 18,910,668 11180-001 HAP Beginning Equity - - - - - - - - - - - - 11180-010 Housing Assistance Payment Revenues - 116,247,845 - - - - - - - 116,247,845-116,247,845 11180-015 Fraud Recovery Revenue - 83,367 - - - - - - - 83,367-83,367 11180-020 Other Revenue - 279,507 - - - - - - - 279,507-279,507 11180-025 Investment Income - - - - - - - - - - - - 11180-030 Total Housing Assistance Payments - 116,610,719 - - - - - - - 116,610,719-116,610,719 11180-080 Housing Assistance Payments - 116,610,719 - - - - - - - 116,610,719-116,610,719 11180-090 Other Expenses - - - - - - - - - - - - 11180-100 Total Housing Assistance Payments - 116,610,719 - - - - - - - 116,610,719-116,610,719 11180-002 Net Housing Assistance Payments - - - - - - - - - - - - 11180-003 Housing Assistance Payments Equity-Ending - - - - - - - - - - - - 11180 Housing Assistance Payment Equity - - - - - - - - - - - - 11190-210 Total ACC HCV Units 19,744 156,072 - - - 3,364 - - - 179,180 840 180,020 11190-220 Unfunded Units - - - - - - - - - - - - 11190-230 Other Adjustments - - - - - - - - - - - - 11190 Unit Months Available 19,744 156,072 - - - 3,364 - - - 179,180 840 180,020 11210 Unit Months Leased 18,355 154,473 - - - 2,419 - - - 175,247 800 176,047 34

Asset Management Projects Financial Data Schedule Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total Assets 111 Cash-Unrestricted 237,420 203,606 224,670 243,360 44,716 481,812 636,517-657,495-76,054 83,677 35,566 5,647 45,092 2,975,632 112 Cash-Restricted-Modernization And - - - - - - - - - - - - - - - - 113-010 HAP Funds - - - - - - - - - - - - - - - - 113-020 FSS Escrow Deposits - - - - - - - - - - - - - - - - 113-030 All Other Funds - - - - - 7 - - - - - - - - - 7 113 Cash-Other Restricted - - - - - 7 - - - - - - - - - 7 114 Cash-Tenant Security Deposits 16,124 21,429-14,158 36,890 37,538 17,351-43,068-13,936 7,580 13,512 - - 221,586 115-010 HAP Funds - - - - - - - - - - - - - - - - 115-020 FSS Escrow Deposits - - - - - - - - - - - - - - - - 115-030 All Other Funds - - - - - - - - - - - - - - - - 115 Cash-Restricted For Payment Of Current - - - - - - - - - - - - - - - - 100 Total Cash 253,544 225,035 224,670 257,518 81,606 519,357 653,868-700,563-89,990 91,257 49,078 5,647 45,092 3,197,225 121 Accounts Receivable-PHA Projects - - - - - - - - - - - - - - - - 122-010 A/R Hud-Operating Subsidy - - - - - - - - - - - - - - - - 122-020 A/R Hud-Capital Fund - - - - - - - - - - - - - - - - 122-030 A/R Hud-Other 25,271 15,230-23,508 15,538 18,274 22,348 - - - - 3,000 2,151 - - 125,320 122 A/R HUD Other Projects 25,271 15,230-23,508 15,538 18,274 22,348 - - - - 3,000 2,151 - - 125,320 124 Accounts Receivable-Other Government - - - - - - - - - - - - - - - - 125-010 AR-Miscellaneous-NFP - - - - - - - - - - - - - - - - 125-020 AR-Miscellaneous-Partnership - - - - - - - - - - - - - - - - 125-030 AR-Miscellaneous-Joint Venture - - - - - - - - - - - - - - - - 125-040 AR-Miscellaneous-Tax Credit - - - - - - 49,416 - - - - - - - - 49,416 125-050 AR-Miscellaneous-Other - 185 507 102 - - 10,997 - - - 2,774 - - - - 14,565 125 Total Accounts Receivable-Miscellaneous - 185 507 102 - - 60,413 - - - 2,774 - - - - 63,981 126 Accounts Receivable-Tenants 11,690 11,906-8,050 23,655 20,372 875-3,594-2,865 13,008 6,751 - - 102,766 126.1 Allowance For Doubtful Accounts-Dwelling (11,690) (4,012) - (7,952) (11,333) (11,279) (297) - (1,718) - (75) (8,240) (2,267) - - (58,863) 126.2 Allowance For Doubtful Accounts-Other - - - - - - - - - - - - - - - - 127 Notes- Loans- & Mortgages Receivable-Current - - - - - - - - - - - - - - - - 128 Fraud Recovery - - - - - - - - - - - - - - - - 128.1 Allowance For Doubtful Accounts-Fraud - - - - - - - - - - - - - - - - 129 Accrued Interest Receivable - - - - - - - - - - - - - - - - 120 Total Receivables- Net Of Allowances For Doubtful Accounts 25,271 23,309 507 23,708 27,860 27,367 83,339-1,876-5,564 7,768 6,635 - - 233,204 35

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 131 Investments-Unrestricted - - - - - - - - - - - - - - - - 132-010 HAP Funds - - - - - - - - - - - - - - - - 132-020 FSS Escrow Deposits - - - - - - - - - - - - - - - - 132-030 All Other Funds - - - - - - - - - - - - - - - - 132 Investments-Restricted - - - - - - - - - - - - - - - - 135-010 HAP Funds - - - - - - - - - - - - - - - - 135-020 FSS Escrow Deposits - - - - - - - - - - - - - - - - 135-030 All Other Funds - - - - - - - - - - - - - - - - 135 Investments-Restricted For Payment Of - - - - - - - - - - - - - - - - 142 Prepaid Expenses And Other Assets 13,564 19,272-14,662 26,159 27,584 15,737-26,752-13,120 6,576 6,987 - - 170,413 143 Inventories - - - - - - - - - - - - - - - - 143.1 Allowance For Obsolete Inventories - - - - - - - - - - - - - - - - 144 Interprogram-Due From - - - - - - - - - - - - - - - - 145 Assets Held For Sale - - - - - - - - - - - - - - - - 150 Total Current Assets 292,379 267,616 225,177 295,888 135,625 574,308 752,944-729,191-108,674 105,601 62,700 5,647 45,092 3,600,842 161 Land 45,250 283,955-193,790 118,960 330,473 198,540 129,725 393,500-905,000 318,500 30,380 - - 2,948,073 162 Buildings 8,903,414 9,535,664-10,692,420 14,904,070 17,052,944 4,696,982-9,176,353-7,110,277 3,197,726 9,263,767 - - 94,533,617 163 Furniture- Equipment And Machinery- 72,757 214,215-108,073 564,377 671,743 399,348-603,615-164,121 47,421 1,507 - - 2,847,177 164 Furniture- Equipment And Machinery- 54,963 39,887-22,987 72,071 75,911 119,478-52,310-21,309 10,914 3,720 - - 473,550 165 Leasehold Improvements - - - - - - - - - - - - - - - - 166 Accumulated Depreciation (6,093,060) (7,691,507) - (8,032,010) (10,318,301) (11,693,529) (4,891,695) - (9,071,721) - (6,617,721) (2,889,955) (1,442,610) - - (68,742,109) 167 Construction In Progress 4,945 8,807-10,437 991 3,145 - - - - - - - - - 28,325 168 Infrastructure - - - - - - - - - - - - - - - - 160 Total Fixed Assets- Net Of Accumulated Depreciation 2,988,269 2,391,021-2,995,697 5,342,168 6,440,687 522,653 129,725 1,154,057-1,582,986 684,606 7,856,764 - - 32,088,633 171-010 Notes, Loans, & Mortg Rec-NC-NFP - - - - - - - - - - - - - - - - 171-020 Notes, Loans, & Mortg Rec-NC-Part. - - - - - - - - - - - - - - - - 171-030 Notes, Loans, & Mortg Rec-NC-JV - - - - - - - - - - - - - - - - 171-040 Notes, Loans, & Mortg Rec-NC-TC - - - - - - - - - - - - - - - - 171-050 Notes, Loans, & Mortg Rec-NC-Other - - - - - - - - - - - - - - - - 171 Notes, loans, and mortgages receivable non-current - - - - - - - - - - - - - - - - 172-010 Notes, Loans, & Mortg Rec-NC-PD-NFP - - - - - - - - - - - - - - - - 172-020 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - - - - - 172-030 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - - - - - 172-040 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - - - - - 172-050 Notes, Loans, & Mortg Rec-NC-PD-NFP- - - - - - - - - - - - - - - - - 172 Notes, loans, and mortgages receiable - - - - - - - - - - - - - - - - non-current past due 173 Grants Receivable-NC - - - - - - - - - - - - - - - - 174-010 Other Assets-NFP - - - - - - - - - - - - - - - - 174-020 Other Assets-Partnership - - - - - - - - - - - - - - - - 174-030 Other Assets-Joint Venture - - - - - - - - - - - - - - - - 174-040 Other Assets-Tax Credit - - - - - - - - - - - - - - - - 174-050 Other Assets-Other - - - - - - - - - - - - - - - - 174 Other Assets - - - - - - - - - - - - - - - - 36

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 176-010 IJV-NFP - - - - - - - - - - - - - - - - 176-020 IJV-Partnership - - - - - - - - - - - - - - - - 176-030 IJV-Joint Venture - - - - - - - - - - - - - - - - 176-040 IJV-Tax Credit - - - - - - - - - - - - - - - - 176-050 IJV-Other - - - - - - - - - - - - - - - - 176 Total Investment in Joint Venture - - - - - - - - - - - - - - - - 180 Total Non-Current Assets 2,988,269 2,391,021-2,995,697 5,342,168 6,440,687 522,653 129,725 1,154,057-1,582,986 684,606 7,856,764 - - 32,088,633 190 Total Assets 3,280,648 2,658,637 225,177 3,291,585 5,477,793 7,014,995 1,275,597 129,725 1,883,248-1,691,660 790,207 7,919,464 5,647 45,092 35,689,475 200 Deferred Outflow of Resources - - - - - - - - - - - - - - - - 290 Total Assets and Deferred Outflow of 3,280,648 2,658,637 225,177 3,291,585 5,477,793 7,014,995 1,275,597 129,725 1,883,248-1,691,660 790,207 7,919,464 5,647 45,092 35,689,475 Resources Liabilities - 311 Bank Overdraft - - - - - - - - - - - - - - - - 312 Accounts Payable <= 90 Days 6,132 14,091 46 3,007 4,575 8,442 34,508 774 4,014-7,549 (6) 574 - - 83,706 313 Accounts Payable > 90 Days PD - - - - - - - - - - - - - - - - 321 Accrued Wage/payroll Taxes Payable 5,891 10,926 151 8,629 12,395 10,708 12,567 402 9,731-4,042 2,533 3,011 - - 80,986 322 Accrued Compensated Absences-Current 1,030 6,963-3,002 7,322 5,235 4,270-4,063-7,482 - - - - 39,367 324 Accrued Contingency Liability - - - - - - - - - - - - - - - - 325 Accrued Interest Payable - - - - 10,243 11,458 - - - - - - - - - 21,701 331-010 A/P HUD-operating Subsidy - - - - - - - - - - - - - - - - 331-020 A/P HUD-capital Fund - - - - - - - - - - - - - - - - 331-030 A/P HUD-Other - - - - - - - - - - - - - - - - 331 Total A/P-HUD PHA Programs - - - - - - - - - - - - - - - - 332 Accounts Payable-PHA Projects - - - - - - - - - - - - - - - - 333 Accounts Payable-Other Government - - - - - - - - - - - - - - - - 341 Tenant Security Deposits 16,124 21,429-14,158 36,890 37,538 17,351-43,068-13,936 7,580 13,512 - - 221,586 342-010 Deferred Revenue-Operating Subsidy - - - - - - - - - - - - - - - - 342-020 Deferred Revenue-Operating Capital - - - - - - - - - - - - - - - - 342-030 Deferred Revenue-Operating Other 10,426 16,479-9,033 14,174 15,385 1,601-22,824-8,150 1,536 277 - - 99,885 342 Unearned Revenue 10,426 16,479-9,033 14,174 15,385 1,601-22,824-8,150 1,536 277 - - 99,885 343-010 Current Portion LTD-CFFP - - - - 200,600 224,400 - - - - - - - - - 425,000 343-020 Current Portion LTD-Capital - - - - - - - - - - - - - - - - 343 Current portion of long term deb-capital projects/mortgage revenue bonds - - - - 200,600 224,400 - - - - - - - - - 425,000 344 Current Portion Of LTD-Operating Borrowings - - - - - - - - - - - - - - - - 345 Other Current Liabilities 5,880 10,950-4,347 5,594 11,295 5,814-7,727-660 600 3,054 - - 55,921 346 Accrued Liabilities-Other 28,802 35,019-61,585 69,598 80,873 88,071 374 86,854-43,982 37,145 28,527 - - 560,830 347 Interprogram-Due To - - - - - - - - - - - - - - - - 348-010 Loan Liability-Current-NFP - - - - - - - - - - - - - - - - 348-020 Loan Liability-Current-Partnership - - - - - - - - - - - - - - - - 348-030 Loan Liability-Current-Joint Venture - - - - - - - - - - - - - - - - 348-040 Loan Liability-Current-Tax Credit - - - - - - - - - - - - - - - - 348-050 Loan Liability-Current-Other - - - - - - - - - - - - - - - - 348 Total Loan Liability-Current - - - - - - - - - - - - - - - - 310 Total Current Liabilities 74,285 115,857 197 103,761 361,391 405,334 164,182 1,550 178,281-85,801 49,388 48,955 - - 1,588,982 37

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 351-010 LTD Net Of Current-CFFP - - - - 2,245,412 2,511,817 - - - - - - - - - 4,757,229 351-020 LTD Net Of Current-capital - - - - - - - - - - - - - - - - 351 Long term debt, net of current capital projects/mortgage revenue bonds - - - - 2,245,412 2,511,817 - - - - - - - - - 4,757,229 352 LTD-Net Of Current-Operating Borrowings - - - - - - - - - - - - - - - - 353 NC Liabilities-Other - - - - - - - - - - - - - - - - 354 Accrued Compensated Absences-NC portion 9,094 6,422-4,406 16,812 1,625 7,708-8,851-1,562 7,798 5,624 - - 69,902 355-010 Loan Liability-NC-NFP - - - - - - - - - - - - - - - - 355-020 Loan Liability-NC-Partnership - - - - - - - - - - - - - - - - 355-030 Loan Liability-NC-Joint Venture - - - - - - - - - - - - - - - - 355-040 Loan Liability-NC-Tax Credit - - - - - - - - - - - - - - - - 355-050 Loan Liability-NC-Other - - - - - - - - - - - - - - - - 355 Loan liability-non current - - - - - - - - - - - - - - - - 356 Fasb 5 Liabilities - - - - - - - - - - - - - - - - 357-010 Pension Liability - - - - - - - - - - - - - - - - 357-020 OPEB Liability - - - - - - - - - - - - - - - - 357 Accrued Pension and OPEB Liabilities - - - - - - - - - - - - - - - - 350 Total Non-Current Liabilities 9,094 6,422-4,406 2,262,224 2,513,442 7,708-8,851-1,562 7,798 5,624 - - 4,827,131 300 Total Liabilities 83,379 122,279 197 108,167 2,623,615 2,918,776 171,890 1,550 187,132-87,363 57,186 54,579 - - 6,416,113 400 Deferred Inflow of Resources - - - - - - - - - - - - - - - - Equity - 508.3 Nonspendable Fund Balance - - - - - - - - - - - - - - - - 508.4 Net Investment in Capital Assets 2,988,269 2,391,021-2,995,697 2,896,156 3,704,470 522,653 129,725 1,154,057-1,582,986 684,606 7,856,764 - - 26,906,404 509.3 Restricted Fund Balance - - - - - - - - - - - - - - - - 510.3 Committed Fund Balance - - - - - - - - - - - - - - - - 511.3 Assigned Fund Balance - - - - - - - - - - - - - - - - 511.4 Restricted Net Position - - - - - - - - - - - - - - - - 512.3 Unassigned Fund Balance - - - - - - - - - - - - - - - - 512.4 Unrestricted Net Position 209,000 145,337 224,980 187,721 (41,978) 391,749 581,054 (1,550) 542,059-21,311 48,415 8,121 5,647 45,092 2,366,958 513 Total Equity-Net Assets/Position 3,197,269 2,536,358 224,980 3,183,418 2,854,178 4,096,219 1,103,707 128,175 1,696,116-1,604,297 733,021 7,864,885 5,647 45,092 29,273,362 600 Total Liabilities, Deferred Inflow of Resources, and Equity-Net Assets/Position 3,280,648 2,658,637 225,177 3,291,585 5,477,793 7,014,995 1,275,597 129,725 1,883,248-1,691,660 790,207 7,919,464 5,647 45,092 35,689,475 38

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total Income Statement - Revenue - 70300 Net Tenant Rental Revenue 110,926 148,343-73,867 505,708 570,173 492,141-634,267-399,251 176,405 225,884 - - 3,336,965 70400 Tenant Revenue-Other 833 1,300-967 1,250 1,050 40,589-2,375-18,314 - - - - 66,678 70500 Total Tenant Revenue 111,759 149,643-74,834 506,958 571,223 532,730-636,642-417,565 176,405 225,884 - - 3,403,643 70600-010 Housing Assistance Payments - - - - - - - - - - - - - - - - 70600-020 Ongoing Administrative Fees Earned - - - - - - - - - - - - - - - - 70600-030 Hard To House Fee Revenue - - - - - - - - - - - - - - - - 70600-031 FSS Coordinator - - - - - - - - - - - - - - - - 70600-040 Act Indep Public Accountant Audit Costs - - - - - - - - - - - - - - - - 70600-050 Total Preliminary Fees Earned - - - - - - - - - - - - - - - - 70600-060 All Other Fees 485,226 822,839 273,810 657,988 702,560 751,684 775,764-733,578 413,069 581,730 172,829 127,977 8,731 76,890 6,584,675 70600 Total Hud Pha Operating Grants 485,226 822,839 273,810 657,988 702,560 751,684 775,764-733,578 413,069 581,730 172,829 127,977 8,731 76,890 6,584,675 70610 Capital Grants - - - - - - - - - - - - - - - - 70710 Management Fee - - - - - - - - - - - - - - - - 70720 Asset Management Fee - - - - - - - - - - - - - - - - 70730 Book-keeping Fee - - - - - - - - - - - - - - - - 70740 Front Line Service Fee - - - - - - - - - - - - - - - - 70750-010 From PHA Administered Program - - - - - - - - - - - - - - - - 70750-020 From Third / Outside Party - - - - - - - - - - - - - - - - 70750 Other Fees - - - - - - - - - - - - - - - - 70700 Total Fee Revenue - - - - - - - - - - - - - - - - 70800 Other Government Grants 19,186 5,142-17,613 - - 16,000 - - - 58,400 - - - - 116,341 71100-010 Inv. Inc.-Unrestricted HAP - - - - - - - - - - - - - - - - 71100-020 Inv. Inc.-Unrestricted Admin Fee 37 66-43 291 743 230-448 - 373 25 23 - - 2,279 71100-030 Inv. Inc.-Unrestricted-Other - - - - - - - - - - - - - - - - 71100 Total Investment Income-Unrestricted 37 66-43 291 743 230-448 - 373 25 23 - - 2,279 71200 Mortgage Interest Income - - - - - - - - - - - - - - - - 71300 Proceeds From Disposition Of Assets Held For - - - - - - - - - - - - - - - - 71310 Cost Of Sale Of Assets - - - - - - - - - - - - - - - - 71400-010 Fraud Recovery Income-HAP - - - - - - - - - - - - - - - - 71400-020 Fraud Recovery Income-Admin Fee - - - - - - - - - - - - - - - - 71400-030 Fraud Recovery Income-Other - - - - - - - - - - - - - - - - 71400 Fraud Recovery - - - - - - - - - - - - - - - - 71500 Other Revenue 3,612 7,895-2,610 18,652 15,015 12,198-13,640-13,640-3,042 - - 90,304 71600 Gain Or Loss On Sale Of Fixed Assets - - - - - - (760,220) - - - (791,308) - - - - (1,551,528) 72000-010 Inv. Inc.-Restricted Hap - - - - - - - - - - - - - - - - 72000-020 Inv. Inc.-Restricted Admin Fee - - - - - - - - - - - - - - - - 72000-030 Inv. Inc.-Restricted Other - - - - - - - - - - - - - - - - 72000 Total Investment Income-Restricted - - - - - - - - - - - - - - - - 71599 Total Other Income 3,612 7,895-2,610 18,652 15,015 (748,022) - 13,640 - (777,668) - 3,042 - - (1,461,224) 70000 Total Revenue 619,820 985,585 273,810 753,088 1,228,461 1,338,665 576,702-1,384,308 413,069 280,400 349,259 356,926 8,731 76,890 8,645,714 39

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total Expenses - 91100 Administrative Salaries 34,877 85,359 6,977 41,411 103,591 73,714 78,844-109,351-72,123 24,555 26,595 - - 657,397 91200 Auditing Fees 2,252 3,872-2,608 5,021 5,244 5,094-5,742-4,347 1,309 1,353 - - 36,842 91310 Book-keeping Fee 8,010 13,088-8,220 18,998 19,599 17,573-21,578-14,588 4,801 5,310 - - 131,765 91300-010 To PHA Administered Program 71,999 119,423 22,317 75,055 170,766 177,076 161,002-194,743-130,648 42,575 47,623 - - 1,213,227 91300-020 To a Third Party / Outside Entity - - - - - - - - - - - - - - - - 91300 Management Fee Expense 71,999 119,423 22,317 75,055 170,766 177,076 161,002-194,743-130,648 42,575 47,623 - - 1,213,227 91400 Advertisting And Marketing 160 588-535 218 95 97-70 - 1,987 110 796-400 5,056 91500 Employee Benefit Contributions-Administrative 20,497 33,814 3,096 20,276 43,094 57,113 44,987-48,049-35,229 7,066 16,152 - - 329,373 91600 Office Expenses 76,271 105,608-168,721 103,371 104,735 69,750-75,261-56,697 12,185 25,235 7,421 65,357 870,612 91700 Legal Expense 24,528 70,390-13,937 43,357 73,426 334-16,660-3,692 178 1,158 - - 247,660 91800 Travel 39 352-895 1,119 230 1,648-1,382-848 183 299 - - 6,995 91810 Allocated Overhead - - - - - - - - - - - - - - - - 91900 Other 34,082 58,621-39,535 76,003 79,411 71,753-86,909-60,417 19,768 20,449 - - 546,948 91000 Total Administrative 272,715 491,115 32,390 371,193 565,538 590,643 451,082-559,745-380,576 112,730 144,970 7,421 65,757 4,045,875 92000 Asset Mgmt Fee - - - - - - - - - - - - - - - - 92100 Tenant Services-Salaries - - - - - - - - - - - - - - - - 92200 Relocation Costs 242 2,661-1,678 3,142 1,794 14,097-617 - 552 1,189 145 - - 26,117 92300 Employee Benefit Contributions-Tenant - - - - - - - - - - - - - - - - 92400 Tenant Services-Other 8,492 13,369-9,847 13,494 14,536 4,630-11,786-6,023 277 7,228 - - 89,682 92500 Total Tenant Services 8,734 16,030-11,525 16,636 16,330 18,727-12,403-6,575 1,466 7,373 - - 115,799 93100 Water 16,354 143,316-56,976 50,040 118,093 78,255-70,018-41,419 2,319 19,600 - - 596,390 93200 Electricity 9,513 11,411-26,082 54,470 74,214 45,331-50,417-42,909 3,941 31,496 - - 349,784 93300 Gas 3,249 7,841-19,598 68,334 60,960 43,060-55,399-38,719 482 7,505 - - 305,147 93400 Fuel - - - - - - - - - - - - - - - - 93500 Labor - - - - - - - - - - - - - - - - 93600 Sewer - - - - - - - - - - - - - - - - 93700 Employee Benefit Contributions-Utilities - - - - - - - - - - - - - - - - 93800 Other Utilities Expense - - - - - - - - - - - - - - - - 93000 Total Utilities 29,116 162,568-102,656 172,844 253,267 166,646-175,834-123,047 6,742 58,601 - - 1,251,321 40

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 94100 Ordinary Maintenance And Operations-Labor 114,704 119,148 10,018 97,095 164,162 169,774 80,880 20,972 100,086-75,461 27,141 52,501 - - 1,031,942 94200 Ordinary Maintenance And Operations- 35,096 41,918-28,458 56,042 50,353 18,190-38,831-17,551 15,685 13,705 - - 315,829 94300-010 Garbage And Trash Removal Contracts 35,073 35,995-51,547 36,070 34,740 23,395-14,068-16,571 3,675 5,396 - - 256,530 94300-020 Heating & Cooling Contracts - - - - 25,900 22,956 14,572-29,303-17,637 13,973 13,587 - - 137,928 94300-030 Snow Removal Contracts - - - - - - - - - - - - - - - - 94300-040 Elevator Maintenance Contracts - - - - 29,096 32,118 21,764-30,333-11,026-5,509 - - 129,846 94300-050 Landscape & Grounds Contracts 11,730 24,491-29,289 14,723 12,497 16,132 5,623 11,566-12,315 63,949 5,099 - - 207,414 94300-060 Unit Turnaround Contracts - - - - - - - - - - - 1,738 - - - 1,738 94300-070 Electrical Contracts 1,763 1,698-530 21,176 10,195 7,433-5,883-4,683-5,271 - - 58,632 94300-080 Plumbing Contracts - - - 2,840 3,710 3,985 20,865-11,045-1,990 10,535 5,300 - - 60,270 94300-090 Extermination Contracts 5,433 10,358-7,862 12,187 20,527 6,436-8,653-3,731 4,049 2,030 - - 81,266 94300-100 Janitorial Contracts - - - - 2,284 7,100 - - 990 - - 1,410 - - - 11,784 94300-110 Routine Maintenance Contracts 2,447 - - 2,360 215 520 198-1,840-569 5,556 90 - - 13,795 94300-120 Misc Contracts 20,522 47,426-8,790 13,698 8,784 1,137-2,710-2,402 3,931 110 - - 109,510 94300 Ordinary Maintenance and Op controls 76,968 119,968-103,218 159,059 153,422 111,932 5,623 116,391-70,924 108,816 42,392 - - 1,068,713 94500 Employee Benefit Contributions-Ordinary 52,052 30,910 4,168 37,506 63,255 79,159 48,961 8,309 40,033-31,513 10,663 8,165 - - 414,694 94000 Total Maintenance 278,820 311,944 14,186 266,277 442,518 452,708 259,963 34,904 295,341-195,449 162,305 116,763 - - 2,831,178 95100 Protective Services-Labor - - - - - - - - - - - - - - - - 95200 Protective Services-Other Contract Costs 1,411 3,465-25,025 24,231 27,724 9,919-44,811-9,871 1,127 4,530 - - 152,114 95300 Protective Services-Other - - - - - - - - - - - - - - - - 95500 Employee Benefit Contributions-Protective - - - - - - - - - - - - - - - - 95000 Total Protective Services 1,411 3,465-25,025 24,231 27,724 9,919-44,811-9,871 1,127 4,530 - - 152,114 96110 Property Insurance - - - - - - - - - - - - - - - - 96120 Liability Insurance - - - - - - - - - - - - - - - - 96130 Workmens Compensation 9,593 13,731-11,047 16,260 17,034 11,236 6,616 14,087-11,386 3,486 5,965 - - 120,441 96140 All Other Insurance 32,447 54,212-37,792 68,796 72,361 60,704 4,078 74,942-52,255 19,039 19,471 - - 496,097 96100 Total Insurance Premiums 42,040 67,943-48,839 85,056 89,395 71,940 10,694 89,029-63,641 22,525 25,436 - - 616,538 96200 Other General Expenses - - - - - - - - - - - - - - - - 96210 Compensated Absences 17,626 - - 19,743 20,036 17,892 9,136-11,494-3,180 11,425 2,460 - - 112,992 96300 Payments In Lieu Of Taxes 11,075 3,225-1,412 32,943 31,487 36,523-45,899-29,012 17,653 16,631 - - 225,860 96400 Bad Debt-Tenant Rents 24,329 18,076-12,680 28,119 30,550 2,565-3,552-9,456 8,547 3,900 - - 141,774 96500 Bad Debt-Mortgages - - - - - - - - - - - - - - - - 96600 Bad Debt-Other - - - - - - - - - - - - - - - - 96800 Severance Expense - - - - - - - - - - - - - - - - 96000 Total Other General Expenses 53,030 21,301-33,835 81,098 79,929 48,224-60,945-41,648 37,625 22,991 - - 480,626 96710 Interest On Mortgage (or Bonds) Payable - - - - 2,571 2,877 - - - - - - - - - 5,448 96720 Interest On Notes Payable (ST & LT) - - - - - - - - - - - - - - - - 96730 Amortization Of Bond Issue Costs - - - - - - - - - - - - - - - - 96700 Total Interest Expense And Amortization - - - - 2,571 2,877 - - - - - - - - - 5,448 96900 Total Operating Expenses 685,866 1,074,366 46,576 859,350 1,390,492 1,512,873 1,026,501 45,598 1,238,108-820,807 344,520 380,664 7,421 65,757 9,498,899 97000 Excess Revenue Over Operating Expenses (Difference between 96900 and 70000) (66,046) (88,781) 227,234 (106,262) (162,031) (174,208) (449,799) (45,598) 146,200 413,069 (540,407) 4,739 (23,738) 1,310 11,133 (853,185) 41

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 97100 Extraordinary Maintenance - - - - - - - - - - - - - - - - 97200 Casualty Losses-Noncapitalized - - - - - - - - - - - - - - - - 97300-010 Mainstream 1 - - - - - - - - - - - - - - - - 97300-020 Home-ownership - - - - - - - - - - - - - - - - 97300-025 Litigation - - - - - - - - - - - - - - - - 97300-030 Hope Iv - - - - - - - - - - - - - - - - 97300-040 Tenant Protection - - - - - - - - - - - - - - - - 97300-041 Portability-Out - - - - - - - - - - - - - - - - 97300-045 Family Self Sufficiency (FSS) Escrow - - - - - - - - - - - - - - - - 97300-049 All Other "Special" Vouchers - - - - - - - - - - - - - - - - 97300-050 All Other - - - - - - 57,013 - - 413,069 - - - - - 470,082 97300 Housing Assistance Payments - - - - - - 57,013 - - 413,069 - - - - - 470,082 97350 HAP Portability-In - - - - - - - - - - - - - - - - 97400 Depreciation Expense 296,850 272,035-269,973 388,760 485,627 314,977-131,483-242,622 48,475 315,249 - - 2,766,051 97500 Fraud Losses - - - - - - - - - - - - - - - - 97800 Dwelling Units Rent Expense - - - - - - - - - - - - - - - - 98000 Total Other Non-operating Expenses 296,850 272,035-269,973 388,760 485,627 371,990-131,483 413,069 242,622 48,475 315,249 - - 3,236,133 90000 Total Expenses 982,716 1,346,401 46,576 1,129,323 1,779,252 1,998,500 1,398,491 45,598 1,369,591 413,069 1,063,429 392,995 695,913 7,421 65,757 12,735,032 10010 Operating Transfers In 122,302 73,707-113,774 287,605 332,984 194,252 - - - 182,015-10,409 - - 1,317,048 10020 Operating Transfers Out - - - - - - - - - - - - - - - - 10030-010 NFP - - - - - - - - - - - - - - - - 10030-020 Partnership - - - - - - - - - - - - - - - - 10030-030 Joint Venture - - - - - - - - - - - - - - - - 10030-040 Tax Credit - - - - - - - - - - - - - - - - 10030-050 Other - - - - - - - - - - - - - - - - 10030 Total Operating Transfers From/to - - - - - - - - - - - - - - - - 10040 Operating Transfers From/to Component Unit - - - - - - - - - - - - - - - - 10070 Extraordinary Items- Net Gain/loss - - - - - - - - - - - - - - - - 10080 Special Items- Net Gain/loss - - - - - - - - - - - - - - - - 10091 Inter-project Excess Cash Transfer In - - - - - - - 38,844 - - - - - - - 38,844 10092 Inter-project Excess Cash Transfer Out - - - - - - (38,844) - - - - - - - - (38,844) 10093 Transfers Between Programs and Projects-In - - - - 375,451 419,997 - - - - - - - - - 795,448 10094 Transfers Between Programs and Projects-Out - - - - - - - - - - - - - - - - 10100 Total Other Financing Sources(uses) 122,302 73,707-113,774 663,056 752,981 155,408 38,844 - - 182,015-10,409 - - 2,112,496 10000 Total End Excess (deficiency) Of Total Revenue Over (under) Total Expenses (240,594) (287,109) 227,234 (262,461) 112,265 93,146 (666,381) (6,754) 14,717 - (601,014) (43,736) (328,578) 1,310 11,133 (1,976,822) 42

Asset Management Projects Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 11020 Required Annual Debt Principal Payments - - - - 214,760 240,240 - - - - - - - - - 455,000 11030 Beginning Equity 3,424,448 2,265,065 (2,254) 3,427,379 2,454,570 3,997,206 1,747,740 134,929 1,681,399-2,205,311 768,765 8,193,463 4,337 33,959 30,336,317 11040 Prior Period Adjustments - - - - - - - - - - - - - - - - 11050 Changes In Compensated Absence Balance - - - - - - - - - - - - - - - - 11060 Changes In Contingent Liability Balance - - - - - - - - - - - - - - - - 11070 Changes In Unrecognized Pension Transition - - - - - - - - - - - - - - - - 11080 Changes In Special Terms/Severance Benefits - - - - - - - - - - - - - - - - 11090 Changes In Allowance For Doubtful Accounts - - - - - - - - - - - - - - - - 11100 Changes In Allowance For Doubtful Accounts - - - - - - - - - - - - - - - - 11190-210 Total ACC HCV Units 1,200 2,064-1,396 2,676 2,796 2,540-3,060-2,140 696 720 36 420 19,744 11190-220 Unfunded Units - - - - - - - - - - - - - - - - 11190-230 Other Adjustments - - - - - - - - - - - - - - - - 11190 Unit Months Available 1,200 2,064-1,396 2,676 2,796 2,540-3,060-2,140 696 720 36 420 19,744 11210 Unit Months Leased 1,084 1,798-1,130 2,571 2,666 2,424-2,932-1,967 641 717 30 395 18,355 11270 Excess Cash 204,530 132,487 224,980 177,465 (251,925) 141,383 573,025 (1,550) 524,158-9,753 49,637 6,758 5,647 45,092 1,841,440 11610 Land Purchase - - - - - - - - - - - - - - - - 11620 Building Purchases 6,266 2,600 - - - - - - - - - - - - - 8,866 11630 Furniture and Equipment Dwelling Purchase - - - - - - - - - - - - - - - - 11640 Furniture and Equipment Administrative - - - - - - - - - - - - - - - - 11650 Leasehold Improvement Purchases - - - - - - - - - - - - - - - - 11660 Infrastructure Purchases - - - - - - - - - - - - - - - - 13510 CFFP Debt Service Payments - - - - - - - - - - - - - - - - 13901 Replacement Housing Factor Funds - - - - - - - - - - - - - - - - 43

Capital Funds Financial Data Schedule Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total Revenue 70300 Net Tenant Rental Revenue - - - - - - - - - - - - - - - - 70400 Tenant Revenue-Other - - - - - - - - - - - - - - - - 70500 Total Tenant Revenue - - - - - - - - - - - - - - - - 70600-010 Housing Assistance Payments - - - - - - - - - - - - - - - - 70600-020 Ongoing Administrative Fees Earned - - - - - - - - - - - - - - - - 70600-030 Hard To House Fee Revenue - - - - - - - - - - - - - - - - 70600-031 FSS Coordinator - - - - - - - - - - - - - - - - 70600-040 Act Indep Public Accountant Audit Costs - - - - - - - - - - - - - - - - 70600-050 Total Preliminary Fees Earned - - - - - - - - - - - - - - - - 70600-060 All Other Fees 151,161 110,017-147,368 451,647 531,067 239,924-58,613 42,873 221,767 12,771 25,183 - - 1,992,391 70600 Total Hud Pha Operating Grants 151,161 110,017-147,368 451,647 531,067 239,924-58,613 42,873 221,767 12,771 25,183 - - 1,992,391 70610 Capital Grants 13,415 558,402-18,500 282,097-22,348 - - - - 7,992 - - - 902,754 70710 Management Fee - - - - - - - - - - - - - - - - 70720 Asset Management Fee - - - - - - - - - - - - - - - - 70730 Book-keeping Fee - - - - - - - - - - - - - - - - 70740 Front Line Service Fee - - - - - - - - - - - - - - - - 70750-010 From PHA Administered Program - - - - - - - - - - - - - - - - 70750-020 From Third / Outside Party - - - - - - - - - - - - - - - - 70750 Other Fees - - - - - - - - - - - - - - - - 70700 Total Fee Revenue - - - - - - - - - - - - - - - - 70800 Other Government Grants - - - - - - - - - - - - - - - - 71100-010 Inv. Inc.-Unrestricted HAP - - - - - - - - - - - - - - - - 71100-020 Inv. Inc.-Unrestricted Admin Fee - - - - - - - - - - - - - - - - 71100-030 Inv. Inc.-Unrestricted-Other - - - - - - - - - - - - - - - - 71100 Total Investment Income-Unrestricted - - - - - - - - - - - - - - - - 71200 Mortgage Interest Income - - - - - - - - - - - - - - - - 71300 Proceeds From Disposition Of Assets Held For - - - - - - - - - - - - - - - - 71310 Cost Of Sale Of Assets - - - - - - - - - - - - - - - - 71400-010 Fraud Recovery Income-HAP - - - - - - - - - - - - - - - - 71400-020 Fraud Recovery Income-Admin Fee - - - - - - - - - - - - - - - - 71400-030 Fraud Recovery Income-Other - - - - - - - - - - - - - - - - 71400 Fraud Recovery - - - - - - - - - - - - - - - - 71500 Other Revenue - - - - - - - - - - - - - - - - 71600 Gain Or Loss On Sale Of Fixed Assets - - - - - - - - - - - - - - - - 72000-010 Inv. Inc.-Restricted Hap - - - - - - - - - - - - - - - - 72000-020 Inv. Inc.-Restricted Admin Fee - - - - - - - - - - - - - - - - 72000-030 Inv. Inc.-Restricted Other - - - - - - - - - - - - - - - - 72000 Total Investment Income-Restricted - - - - - - - - - - - - - - - - 71599 Total Other Income - - - - - - - - - - - - - - - - 70000 Total Revenue 164,576 668,419-165,868 733,744 531,067 262,272-58,613 42,873 221,767 20,763 25,183 - - 2,895,145 44

Capital Funds Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total Expenses - 91100 Administrative Salaries - - - - - - - - - - - - - - - - 91200 Auditing Fees - - - - - - - - - - - - - - - - 91310 Book-keeping Fee - - - - - - - - - - - - - - - - 91300-010 To PHA Administered Program 16,847 28,976-19,542 37,568 39,254 34,925-42,959-29,462 9,771 10,108 - - 269,412 91300-020 To a Third Party / Outside Entity - - - - - - - - - - - - - - - - 91300 Management Fee Expense 16,847 28,976-19,542 37,568 39,254 34,925-42,959-29,462 9,771 10,108 - - 269,412 91400 Advertisting And Marketing - - - - - - - - - - - - - - - - 91500 Employee Benefit Contributions- - - - - - - - - - - - - - - - - 91600 Office Expenses 1,012 7,334-9,033 2,710 - - - - - - 3,000 - - - 23,089 91700 Legal Expense - - - - - - - - - - - - - - - - 91800 Travel - - - - - - - - - - - - - - - - 91810 Allocated Overhead - - - - - - - - - - - - - - - - 91900 Other - - - - - - - - - - - - - - - - 91000 Total Administrative 17,859 36,310-28,575 40,278 39,254 34,925-42,959-29,462 12,771 10,108 - - 292,501 92000 Asset Mgmt Fee - - - - - - - - - - - - - - - - 92100 Tenant Services-Salaries - - - - - - - - - - - - - - - - 92200 Relocation Costs - - - - - - - - - - - - - - - - 92300 Employee Benefit Contributions-Tenant - - - - - - - - - - - - - - - - 92400 Tenant Services-Other - - - - - - - - - - - - - - - - 92500 Total Tenant Services - - - - - - - - - - - - - - - - 93100 Water - - - - - - - - - - - - - - - - 93200 Electricity - - - - - - - - - - - - - - - - 93300 Gas - - - - - - - - - - - - - - - - 93400 Fuel - - - - - - - - - - - - - - - - 93500 Labor - - - - - - - - - - - - - - - - 93600 Sewer - - - - - - - - - - - - - - - - 93700 Employee Benefit Contributions-Utilities - - - - - - - - - - - - - - - - 93800 Other Utilities Expense - - - - - - - - - - - - - - - - 93000 Total Utilities - - - - - - - - - - - - - - - - 45

Capital Funds Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 94100 Ordinary Maintenance And Operations-Labor - - - - - - - - - - - - - - - - 94200 Ordinary Maintenance And Operations- - - - - - - - - - - - - 4,666 - - 4,666 94300-010 Garbage And Trash Removal Contracts - - - - - - - - - - - - - - - - 94300-020 Heating & Cooling Contracts - - - - - 22,060 7,698-7,699-10,290 - - - - 47,747 94300-030 Snow Removal Contracts - - - - - - - - - - - - - - - - 94300-040 Elevator Maintenance Contracts - - - - - - - - - - - - - - - - 94300-050 Landscape & Grounds Contracts - - - - - - - - - - - - - - - - 94300-060 Unit Turnaround Contracts - - - - - - - - - - - - - - - - 94300-070 Electrical Contracts 11,000 - - - - - - - - - - - - - - 11,000 94300-080 Plumbing Contracts - - - - 1,500 - - - - - - - - - - 1,500 94300-090 Extermination Contracts - - - - - - - - - - - - - - - - 94300-100 Janitorial Contracts - - - - - - - - - - - - - - - - 94300-110 Routine Maintenance Contracts - - - 5,019 - - - - 7,955 - - - - - - 12,974 94300-120 Misc Contracts - - - - - - - - - - - - - - - - 94300 Ordinary Maintenance and Op controls 11,000 - - 5,019 1,500 22,060 7,698-15,654-10,290 - - - - 73,221 94500 Employee Benefit Contributions-Ordinary - - - - - - - - - - - - - - - - 94000 Total Maintenance 11,000 - - 5,019 1,500 22,060 7,698-15,654-10,290-4,666 - - 77,887 95100 Protective Services-Labor - - - - - - - - - - - - - - - - 95200 Protective Services-Other Contract Costs - - - - - - - - - - - - - - - - 95300 Protective Services-Other - - - - - - - - - - - - - - - - 95500 Employee Benefit Contributions-Protective - - - - - - - - - - - - - - - - 95000 Total Protective Services - - - - - - - - - - - - - - - - 96110 Property Insurance - - - - - - - - - - - - - - - - 96120 Liability Insurance - - - - - - - - - - - - - - - - 96130 Workmens Compensation - - - - - - - - - - - - - - - - 96140 All Other Insurance - - - - - - - - - - - - - - - - 96100 Total Insurance Premiums - - - - - - - - - - - - - - - - 96200 Other General Expenses - - - - - - - - - - - - - - - - 96210 Compensated Absences - - - - - - - - - - - - - - - - 96300 Payments In Lieu Of Taxes - - - - - - - - - - - - - - - - 96400 Bad Debt-Tenant Rents - - - - - - - - - - - - - - - - 96500 Bad Debt-Mortgages - - - - - - - - - - - - - - - - 96600 Bad Debt-Other - - - - - - - - - - - - - - - - 96800 Severance Expense - - - - - - - - - - - - - - - - 96000 Total Other General Expenses - - - - - - - - - - - - - - - - 96710 Interest On Mortgage (or Bonds) Payable - - - - 117,018 130,902 - - - - - - - - - 247,920 96720 Interest On Notes Payable (ST & LT) - - - - - - - - - - - - - - - - 96730 Amortization Of Bond Issue Costs - - - - - - - - - - - - - - - - 96700 Total Interest Expense And Amortization - - - - 117,018 130,902 - - - - - - - - - 247,920 96900 Total Operating Expenses 28,859 36,310-33,594 158,796 192,216 42,623-58,613-39,752 12,771 14,774 - - 618,308 97000 Excess Revenue Over Operating Expenses (Difference between 96900 and 70000) 135,717 632,109-132,274 574,948 338,851 219,649 - - 42,873 182,015 7,992 10,409 - - 2,276,837 46

Capital Funds Financial Data Schedule (Continued) Item # IL025000004 IL025000005 IL025000006 IL025000007 IL025000008 IL025000009 IL025000011 IL025000012 IL025000018 IL025000019 IL025000023 IL025000029 IL025000051 IL025000052 IL025000100 Total 97100 Extraordinary Maintenance - - - - - - - - - - - - - - - - 97200 Casualty Losses-Noncapitalized - - - - - - - - - - - - - - - - 97300-010 Long term debt, net of current capital - - - - - - - - - - - - - - - - 97300-020 Home-ownership - - - - - - - - - - - - - - - - 97300-025 Litigation - - - - - - - - - - - - - - - - 97300-030 Hope Iv - - - - - - - - - - - - - - - - 97300-040 Tenant Protection - - - - - - - - - - - - - - - - 97300-041 Portability-Out - - - - - - - - - - - - - - - - 97300-045 Family Self Sufficiency (FSS) Escrow - - - - - - - - - - - - - - - - 97300-049 All Other "Special" Vouchers - - - - - - - - - - - - - - - - 97300-050 All Other - - - - - - 3,049 - - 42,873 - - - - - 45,922 97300 Housing Assistance Payments - - - - - - 3,049 - - 42,873 - - - - - 45,922 97350 HAP Portability-In - - - - - - - - - - - - - - - - 97400 Depreciation Expense - - - - - - - - - - - - - - - - 97500 Fraud Losses - - - - - - - - - - - - - - - - 97800 Dwelling Units Rent Expense - - - - - - - - - - - - - - - - 98000 Total Other Non-operating Expenses - - - - - - 3,049 - - 42,873 - - - - - 45,922 90000 Total Expenses 28,859 36,310-33,594 158,796 192,216 45,672-58,613 42,873 39,752 12,771 14,774 - - 664,230 10010 Operating Transfers In - - - - - - - - - - - - - - - - 10020 Operating Transfers Out (122,302) (73,707) - (113,774) (287,605) (332,984) (194,252) - - - (182,015) - (10,409) - - (1,317,048) 10030-010 NFP - - - - - - - - - - - - - - - - 10030-020 Partnership - - - - - - - - - - - - - - - - 10030-030 Joint Venture - - - - - - - - - - - - - - - - 10030-040 Tax Credit - - - - - - - - - - - - - - - - 10030-050 Other - - - - - - - - - - - - - - - - 10030 Total Operating Transfers From/to - - - - - - - - - - - - - - - - 10040 Operating Transfers From/to Component Unit - - - - - - - - - - - - - - - - 10070 Extraordinary Items- Net Gain/loss - - - - - - - - - - - - - - - - 10080 Special Items- Net Gain/loss - - - - - - - - - - - - - - - - 10091 Inter-project Excess Cash Transfer In - - - - - - - - - - - - - - - - 10092 Inter-project Excess Cash Transfer Out - - - - - - - - - - - - - - - - 10093 Transfers Between Programs and Projects-In - - - - - - - - - - - - - - - - 10094 Transfers Between Programs and Projects-Out - - - - - - - - - - - - - - - - 10100 Total Other Financing Sources(uses) (122,302) (73,707) - (113,774) (287,605) (332,984) (194,252) - - - (182,015) - (10,409) - - (1,317,048) 10000 Total End Excess (deficiency) Of Total Revenue Over (under) Total Expenses 13,415 558,402-18,500 287,343 5,867 22,348 - - - - 7,992 - - - 913,867 11610 Land Purchase - - - - - - - - - - - - - - - - 11620 Building Purchases 13,415 558,402-18,500 282,097-22,348 - - - - 7,992 - - - 902,754 11630 Furniture and Equipment Dwelling Purchase - - - - - - - - - - - - - - - - 11640 Furniture and Equipment Administrative - - - - - - - - - - - - - - - - 11650 Leasehold Improvement Purchases - - - - - - - - - - - - - - - - 11660 Infrastructure Purchases - - - - - - - - - - - - - - - - 13510 CFFP Debt Service Payments - - - - - - - - - - - - - - - - 13901 Replacement Housing Factor Funds - - - - - - 376,267 - - - - - - - - 376,267 47

Statement and Certification of Program Costs Shelter Care Plus Program/Special Needs Assistance Program IL0270L5T111306 Funds approved $ 378,180 Funds disbursed 223,267 Excess funds approved $ 154,913 Funds advanced $ 223,267 Funds disbursed 223,267 Excess funds (deficiency) $ - 1. The distribution of costs as shown on the Financial Status Report submitted to HUD for approval is in agreement with the Housing Authority's records. 2. All program costs have been paid and all related liabilities have been discharged through payment. 48

Statement and Certification of Program Costs Capital Fund Program IL06P025501-12 Funds approved $ 2,737,611 Funds disbursed 2,737,611 Excess funds approved $ - Funds advanced $ 2,737,611 Funds disbursed 2,737,611 Excess funds (deficiency) $ - 1. The distribution of costs as shown on the Financial Status Report submitted to HUD for approval is in agreement with the Housing Authority's records. 2. All program costs have been paid and all related liabilities have been discharged through payment. 49

Statement and Certification of Program Costs Capital Fund Program IL06P025501-13 Funds approved $ 2,425,872 Funds disbursed 2,425,872 Excess funds approved $ - Funds advanced $ 2,425,872 Funds disbursed 2,425,872 Excess funds (deficiency) $ - 1. The distribution of costs as shown on the Financial Status Report submitted to HUD for approval is in agreement with the Housing Authority's records. 2. All program costs have been paid and all related liabilities have been discharged through payment. 50

Housing Authority of the County of Cook Statement and Certification of Program Costs Capital Fund Program - Replacement Housing Factor IL06R025502-15 Funds approved $ 161,839 Funds disbursed 161,839 Excess funds approved $ - Funds advanced $ 161,839 Funds disbursed 161,839 Excess funds (deficiency) $ - 1. The distribution of costs as shown on the Financial Status Report submitted to HUD for approval is in agreement with the Housing Authority's records. 2. All program costs have been paid and all related liabilities have been discharged through payment. 51

Housing Authority of the County of Cook Statement and Certification of Program Costs Capital Fund Program - Replacement Housing Factor IL06R025501-15 Funds approved $ 214,428 Funds disbursed 214,428 Excess funds approved $ - Funds advanced $ 214,428 Funds disbursed 214,428 Excess funds (deficiency) $ - 1. The distribution of costs as shown on the Financial Status Report submitted to HUD for approval is in agreement with the Housing Authority's records. 2. All program costs have been paid and all related liabilities have been discharged through payment. 52

Blended Presented Component Units Combining Statement of Net Position North Evanston Suburban Senior Assets Housing Redevelopment Total Current Assets Cash and cash equivalents $ 19,791 $ 276,735 $ 296,526 Accounts receivable - grants 174,913 183,136 358,049 Accounts receivable - other, net 6,007-6,007 Tenant accounts receivable, net 2,251 14,958 17,209 Prepaid expenses - 7,828 7,828 Restricted assets - cash and cash equivalents 2,171,463 36,000 2,207,463 Restricted Assets Total current assets 2,374,425 518,657 2,893,082 Cash and cash equivalents 392,297-392,297 Capital Assets Land - 277,500 277,500 Buildings and improvements 5,100,000 13,751,329 18,851,329 Furniture and equipment 8,104 129,238 137,342 Construction in process 4,576,050 9,248,063 13,824,113 9,684,154 23,406,130 33,090,284 Less: Accumulated depreciation (25,118) (319,363) (344,481) Other Assets Net capital assets 9,659,036 23,086,767 32,745,803 Investments in joint ventures - tax credit - 1,333,275 1,333,275 Total Assets $ 12,425,758 $ 24,938,699 $ 37,364,457 See accompanying Notes to the Financial Statements. 53

Blended Presented Component Units Combining Statement of Net Position (Continued) North Evanston Suburban Senior Liabilities and Net Position Housing Redevelopment Total Liabilities Current liabilities Accounts payable $ 513,331 $ 2,208,790 $ 2,722,121 Accrued wages and payroll taxes 3,619-3,619 Interest payable - 24,613 24,613 Accrued PILOT and expenses - 77,884 77,884 Tenant security deposits 28,220 36,000 64,220 Unearned revenues 2,894 2,949 5,843 Current portion of long-term liabilities - 9,316,030 9,316,030 Other current liabilities 252,032 529,766 781,798 Total current liabilities 800,096 12,196,032 12,996,128 Long-term liabilities, net of current portion Loan and notes payable 3,329,465 4,497,560 7,827,025 Other - 8,000 8,000 Total long-term liabilities 3,329,465 4,505,560 7,835,025 Total liabilities 4,129,561 16,701,592 20,831,153 Net Position Investment in capital assets, net of related debt 6,329,571 9,273,177 15,602,748 Unrestricted 1,966,626 (1,036,070) 930,556 Total net position 8,296,197 8,237,107 16,533,304 Total Liabilities and Net Position $ 12,425,758 $ 24,938,699 $ 37,364,457 See accompanying Notes to the Financial Statements. 54

Blended Presented Component Units Combining Statement of Revenues, Expenses and Changes in Net Position North Suburban Evanston Senior Housing Redevelopment Total Operating revenues Dwelling rent $ 158,673 $ 462,797 $ 621,470 Operating grants 234,975 652,117 887,092 Other revenue 9,130,884 22,982 9,153,866 Total operating revenues 9,524,532 1,137,896 10,662,428 Operating expenses Administrative 777,585 469,909 1,247,494 Tenant services 212,069 6,438 218,507 Utilities 92,503 156,198 248,701 Maintenance and operations 91,394 274,968 366,362 Protective services 1,206 19,756 20,962 General expense 28,610 49,406 78,016 Depreciation expense 25,118 302,545 327,663 Total operating expenses 1,228,485 1,279,220 2,507,705 Operating income (loss) 8,296,047 (141,324) 8,154,723 Nonoperating revenues (expenses) Investment income 150-150 Interest expense - (24,613) (24,613) Total nonperating revenues (expenses) 150 (24,613) (24,463) Increase (decrease) in net position 8,296,197 (165,937) 8,130,260 Net position - beginning - 8,403,044 8,403,044 Net position - ending $ 8,296,197 $ 8,237,107 $ 16,533,304 See accompanying Notes to the Financial Statements. 55

Discretely Presented Component Units Combining Statement of Net Position Riverdale Summit Senior Assets Senior, LLC Housing, LLC Total Current Assets Cash and cash equivalents $ 66,058 $ 27,283 $ 93,341 Accounts receivable - other, net 122 1,550 1,672 Tenant accounts receivable, net 10,971 3,207 14,178 Prepaid expenses 601 101 702 Restricted assets - cash and cash equivalents - 6,000 6,000 Restricted Assets Total current assets 77,752 38,141 115,893 Cash and cash equivalents 45,806 1 45,807 Capital Assets Land 47,250-47,250 Buildings and improvements 6,976,351 3,532,788 10,509,139 Furniture and equipment 136,047 99,819 235,866 7,159,648 3,632,607 10,792,255 Less: Accumulated depreciation (1,452,535) (603,896) (2,056,431) Net capital assets 5,707,113 3,028,711 8,735,824 Total Assets $ 5,830,671 $ 3,066,853 $ 8,897,524 See accompanying Notes to the Financial Statements. 56

Discretely Presented Component Units Combining Statement of Net Position (Continued) Riverdale Summit Senior Liabilities and Net Position Senior, LLC Housing, LLC Total Liabilities Current liabilities Accounts payable $ 212,017 $ 20,293 $ 232,310 Accrued wages and payroll taxes 1,607 584 2,191 Interest payable 22,612 222,569 245,181 Accrued PILOT and expenses - 7,711 7,711 Tenant security deposits - 4,750 4,750 Unearned revenues 2,054 32,401 34,455 Current portion of long-term liabilities 90,279 48,993 139,272 Other current liabilities - 28,099 28,099 Total current liabilities 328,569 365,400 693,969 Long-term liabilities, net of current portion Loan and notes payable 1,865,051 2,711,602 4,576,653 Other - 183,895 183,895 Total long-term liabilities 1,865,051 2,895,497 4,760,548 Total liabilities 2,193,620 3,260,897 5,454,517 Net Position Investment in capital assets, net of related debt 3,751,783 268,116 4,019,899 Restricted - - - Unrestricted (114,732) (462,160) (576,892) Total net position 3,637,051 (194,044) 3,443,007 Total Liabilities and Net Position $ 5,830,671 $ 3,066,853 $ 8,897,524 See accompanying Notes to the Financial Statements. 57

Discretely Presented Component Units Combining Statement of Revenues, Expenses and Changes in Net Position Riverdale Summit Senior Senior, LLC Housing, LLC Total Operating revenues Dwelling rent $ 315,579 $ 139,842 $ 455,421 Other revenue 28,106 45,207 73,313 Total operating revenues 343,685 185,049 528,734 Operating expenses Administrative 105,372 48,753 154,125 Tenant services 409-409 Utilities 43,590 12,186 55,776 Maintenance and operations 101,232 25,247 126,479 Protective services 4,820 2,066 6,886 General expense 24,095 9,629 33,724 Depreciation expense 260,259 147,028 407,287 Total operating expenses 539,777 244,909 784,686 Operating loss (196,092) (59,860) (255,952) Nonoperating revenues (expenses) Investment income 116-116 Interest expense (21,164) (71,529) (92,693) Total nonperating revenues (expenses) (21,048) (71,529) (92,577) Decrease in net position (217,140) (131,389) (348,529) Net position - beginning 3,854,191 (62,655) 3,791,536 Net position - ending $ 3,637,051 $ (194,044) $ 3,443,007 See accompanying Notes to the Financial Statements. 58

Single Audit Section

Independent Auditor s Report On Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards To the Board of Commissioners Housing Authority of Cook County, Illinois We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States the business-type activities and the aggregate discretely presented component units of the Housing Authority of Cook County, Illinois (Authority), as of and for the year ended, and the related notes to the financial statements, which collectively comprise the Authority s basic financial statements, and have issued our report thereon dated December 5, 2016. Internal Control over Financial Reporting In planning and performing our audit of the financial statements, we considered the Authority's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Authority s internal control. Accordingly, we do not express an opinion on the effectiveness of the Authority s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. 59

Compliance and Other Matters As part of obtaining reasonable assurance about whether the Authority's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. December 5, 2016 60

Independent Auditor s Report on Compliance for Each Major Federal Program; and Report on Internal Control Over Compliance; Required by the Uniform Guidance To the Board of Commissioners Housing Authority of Cook County, Illinois Report on Compliance for Each Major Federal Program We have audited the Housing Authority of Cook County, Illinois (Authority) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of the Authority s major federal programs for the year ended. The Authority s major federal programs are identified in the summary of auditor s results section of the accompanying schedule of findings and questioned costs. Management s Responsibility Management is responsible for compliance with federal statutes, regulations, and the terms and conditions of its federal awards applicable to its federal programs. Auditor s Responsibility Our responsibility is to express an opinion on compliance for each of the Authority s major federal programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the audit 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). Those standards and the Uniform Guidance require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the Authority s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion on compliance for each major federal program. However, our audit does not provide a legal determination of the Authority s compliance. Opinion on Each Major Federal Program In our opinion, the Authority complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended. 61

Other Matters The results of our auditing procedures disclosed an instance of noncompliance, which is required to be reported in accordance with the Uniform Guidance and which is described in the accompanying schedule of findings and questioned costs as item 2016-001. Our opinion on each major federal program is not modified with respect to this matter. The Authority s response to the noncompliance finding identified in our audit is described in the accompanying schedule of findings and questioned costs. The Authority s response was not subjected to the auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. Report on Internal Control Over Compliance Management of the Authority is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the Authority s internal control over compliance with the types of requirements that could have a direct and material effect on each major federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the Authority s internal control over compliance. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, we identified a deficiency in internal control over compliance, as described in the accompanying schedule of findings and questioned costs as finding 2016-001 that we consider to be a significant deficiency. The Authority s response to the internal control over compliance finding identified in our audit is described in the accompanying schedule of findings and questioned costs. The Authority s response was not subjected to the auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. December 5, 2016 62

Schedule of Expenditures of Federal Awards Year Ended Federal CFDA Total Passthrough to Federal Grantor Agency and Grant Description Number Expenditures Subrecipients U.S. Department of Housing and Urban Development (HUD): Low Rent Public Housing 14.850a Housing Authority of Cook County $ 6,584,675 $ - Blended Component Unit - RAD 887,092 - Subtotal: Low Rent Public Housing 7,471,767 - Shelter Care Plus 14.238 622,091 177,308 Public Housing Capital Fund Program 14.872 2,895,145 - Section 8 Housing Choice Vouchers 14.871 127,715,464 - Family Self-Sufficiency Program 14.896 178,381 - Total HUD / Federal Expenditures $ 138,882,848 $ 177,308 See Notes to Schedule of Expenditures of Federal Awards. 63

Notes to Schedule of Expenditures of Federal Awards Note 1. Significant Accounting Policies The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Housing Authority of Cook County and 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) except for activity, if any, of the discretely presented component unit (Riverdale Senior, LLC and Summit Senior Housing, LLC). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. There were no federal awards expended for noncash assistance, insurance or any loans or loan guarantees outstanding at year-end. Note 2. Basis of Accounting The schedule has been prepared using the accrual basis of accounting which is the same basis used in preparing the basic financial statements of the Authority. Expenditures are recognized following the cost principles in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. 64

Schedule of Findings and Questioned Costs Year Ended I. SUMMARY OF INDEPENDENT AUDITOR'S RESULTS Financial Statements Type of auditor's report issued: Unmodified Internal control over financial reporting: Material weakness(es) identified? Yes X No Significant deficiency(ies) identified that are not considered to be material weaknesses? Yes X None Reported Noncompliance material to financial statements noted? Yes X No Federal Awards Internal control over major programs: Material weakness(es) identified? Yes X No Significant deficiency(ies) identified that are not considered to be material weaknesses? X Yes None Reported Type of auditor's report issued on compliance for major programs: Unmodified Any audit findings disclosed that are required to be reported in accordance with section 2 CFR 200.516a? X Yes _ No Identification of major programs: CFDA Number Name of Federal Program Amount Expended 14.850a Low Rent Public Housing $7,471,767 14.871 Section 8 Housing Choice Vouchers $127,715,464 Dollar threshold used to distinguish between type A and type B programs $4,166,485 Auditee qualified as low-risk auditee? X Yes No 65

Schedule of Findings and Questioned Costs Year Ended II. FINANCIAL STATEMENT FINDINGS None. 66

Schedule of Findings and Questioned Costs Year Ended III. FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS Finding 2016-001: Eligibility Determination and Documentation Federal Agency: U.S. Department of Housing and Urban Development CFDA 14.871 Section 8 Housing Choice Vouchers Criteria or specific requirement: Under the Code of Federal Regulations (CFR) Title 24: Housing and Urban Development, the Authority (as a PHA) is required to obtain, verify, and/or maintain the documents listed below to document participants eligibility: a. Certification of Application/Renewal b. Certificate of Income c. General Authority of Release of Information d. Declaration of Citizenship or Eligible Immigration Status (such as birth certificate, social security card, etc.) Condition: The Authority failed to obtain, verify, and/or maintain required documentation to indicate participants eligibility under the Housing Choice Voucher program / HUD-Veterans Affairs Supportive Housing Program in tenants files as required under CFR Title 24: Housing and Urban Development. Questioned Costs: None noted. Context: Out of a total sample size of 60 program participants, the following exceptions were noted: In the Annual Reexamination of 4 program participants, income and asset supporting documents were not found in the tenant file. In the Annual Reexamination of 3 program participants, asset calculation was incorrectly reported on the Family Report (HUD-50058). In the Annual Reexamination of 3 program participants, assets disclosed by tenants were not reported on the Family Report (HUD-50058). In the Annual Reexamination of 6 program participants, income was improperly calculated and reported on the Family Report (HUD-50058). In the Annual Reexamination of 2 program participants, unreimbursed medical expense were miscalculated and reported on the Family Report (HUD-50058). In the Annual Reexamination of 1 program participant, possible assets noted from a disclosed bank account were unverified. In the Annual Reexamination of 1 program participant, tenant authorization to release information was not on file. HACC was not able to locate the tenant file of one sample selected for testing. Effect: Not maintaining appropriate documentation in the files limits the Authority s ability to demonstrate compliance with eligibility requirements. 67

Schedule of Findings and Questioned Costs Year Ended III. FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS Finding 2016-001: Eligibility Determination and Documentation (Continued) Cause: Checklists that have been implemented over the past year were not in all of the files selected for review. The checklists are being phased in as work is being completed. There are of 600+ clients which may lead to errors in documentation and calculations until all files have been reviewed and the checklist added. Supervisors review only one percent of staff files. Issues found are notated, but all files do not get reviewed. Recommendation: We recommend the Authority establish a checklist to be included in each participant s file detailing all required documents to be completed and/or received from program participants. This checklist should be reviewed and signed by management to indicate completeness and adequacy of the eligibility determination process, as well as approval. We also recommend the Authority to properly maintain supporting documents for every Annual and Interim Reexaminations in order to ensure the accuracy and consistency of the information collected on the Family Report (HUD-50058) submitted to HUD. Per Form HUD-50058 Instruction Booklet, the data collected on the form provides HUD with a picture of the people who participate in subsidized housing programs. Public Housing Agencies (PHAs) collect and electronically submit information contained on the Form HUD-50058 to HUD. The Public and Indian Housing Information Center (PIC) system then captures this information and creates reports used to: analyze the subsidized housing programs, monitor PHAs detect fraud, and provide information to Congress and other interested parties. 68

Summary Schedule of Prior Year Audit Findings Year Ended I. FINANCIAL STATEMENT FINDINGS None. 69

Summary Schedule of Prior Year Audit Findings Year Ended II. FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS Finding 2015-002: Eligibility Determination and Documentation (CFDA 14.850a) Context: Out of a total sample size of 60 participants tested in fiscal year 2015, we noted: The HUD-50058 Family Reports stated income and/or asset balance amounts that were different from the supporting documentation for 10 participants. The HUD-50058 Family Reports did not state income amounts that were reported by third party verification for 3 participants. The HUD-50058 Family Reports had asset balances that were not supported by third party verification for 2 participants. Lease agreements between the Authority and the participant were not signed by either party upon execution for 3 participants. Status: This finding is not being repeated. Out of 60 participants tested in fiscal year 2016, no significant exceptions were noted. 70

Building Communities. Creating Partnerships. Shaping Futures..since 1946 175 W. Jackson Blvd., Suite 350 Chicago, IL 60604 (312) 663-5447 Hipolito Paul Roldan Chair Wendy Walker Williams Vice Chair Polly Kuehl Commissioner Deniece Jordan-Walker Commissioner Nilda Soler Commissioner Saul H. Klibanow Commissioner Richard J. Monocchio Executive Director Corrective Action Plan Year Ended Finding 2016-001: Eligibility Determination and Documentation Condition: The Authority failed to obtain, verify, and/or maintain required documentation to indicate participants eligibility under the Housing Choice Voucher Program / HUD- Veterans Affairs Supportive Housing Program in tenants files as required under CFR Title 24: Housing and Urban Development. Plan: The Authority will conduct refresher training for Housing Choice Voucher staff emphasizing the necessary documents required and the importance of a complete file. The Authority will continue to implement and revise the checklist to be included in all participant files. Supervisors will conduct quality reviews on one percent of the files processed by staff each month. Progressive discipline of staff who fails to maintain or correctly process eligibility certifications, annual recertification s and moves to new units would be implemented as part of the corrective action plan. Employee Responsible for the CAP: Sheryl Seiling, Director of Rental Assistance Planned Completion Dates for CAP: March 31, 2017