(b) Financial statements. (vii) Ensure the Federal awarding agency provides annual updates of the compliance supplement to OMB. WebThe single audit requirement applies to: A. This content is from the eCFR and may include recent changes applied to the CFR. Free rent received by itself is not considered a Federal award expended under this part. Web(b) Single audit. For specific questions and information concerning the submission process: HHS is committed to making its websites and documents accessible to the widest possible audience, This obligation will bring you to those results. (4) Type B programs with larger Federal awards expended would be of higher risk than programs with substantially smaller Federal awards expended. In procuring audit services, the auditee must follow the procurement standards prescribed by the Procurement Standards in 200.317 through 200.327 of subpart D of this part or the FAR (48 CFR part 42), as applicable. To allow for planning, such requests should be made at least 180 calendar days prior to the end of the fiscal year to be audited. (iii) Responsible for designating the Federal agency's key management single audit liaison. High levels of testing are required to establish that: The financial statements are not only presented fairly and accurately, but that they are in accordance with federal cost principles. Reduces compliance costs for non-federal entities. Pressing enter in the search box The following specific information must be included, as applicable, in audit findings: (1) Federal program and specific Federal award identification including the Assistance Listings title and number, Federal award identification number and year, name of Federal agency, and name of the applicable pass-through entity. WebThe single audit requirement applies to: Multiple Choice Most audits of state and local governments expending federal grant funds. The management decision should describe any appeal process available to the auditee. SEFA vs. SF-SAC), then non-federal entity burden will be reduced. Challenges by Federal agencies and pass-through entities must only be for clearly improper use of the requirements in this part. Federal award compliance requirements normally do not pass through to contractors. All audits of state and local government 2. WebAn auditee may simultaneously be a recipient, a subrecipient, and a contractor. With no significant (c) Reporting package. (b) Federal agency. All audits of state and local government reporting entities. Financial audits of all not-for-profit entities. WebThe single audit requirement applies to: Multiple Choice Most audits of state and local governments expending federal grant funds. (1) The auditee must submit required data elements described in Appendix X to Part 200, which state whether the audit was completed in accordance with this part and provides information about the auditee, its Federal programs, and the results of the audit. If the program is to be audited as a major program based upon this Federal awarding agency request, and the Federal awarding agency agrees to pay the full incremental costs, then the auditee must have the program audited as a major program. (a) Audit required. Total Federal awards expended times .0015. (iv) Advise the community of independent auditors of any noteworthy or important factual trends related to the quality of audits stemming from quality control reviews. This governmentwide audit quality project must be performed once every 6 years (or at such other interval as determined by OMB), and the results must be public. The data must include information available from the audit required by this part that is necessary for Federal agencies to use the audit to ensure integrity for Federal programs. WebThe single audit requirement applies to: a. 450b(l)) may opt not to authorize the FAC to make the reporting package publicly available on a Web site, by excluding the authorization for the FAC publication in the statement described in paragraph (b)(1) of this section. (2) The auditor is not expected to perform risk assessments on relatively small Federal programs. WebAccording to subpart F part 200 of the Office of Management and Budget (OMB) Uniform Guidance (aka CFR): A Non-Federal entity that expends $750,000 or more during the non-Federal entity's fiscal year in Federal awards must have a single or program-specific audit conducted for that year in accordance with the provisions of this part.. WebDiscussion of potential single audit implications and other related guidance expected from OMB 3. A listing of current program-specific audit guides can be found in the compliance supplement, Part 8, Appendix VI, Program-Specific Audit Guides, which includes a website where a copy of the guide can be obtained. DISCLAIMER: The contents of this database lack the force and effect of law, except as [78 FR 78608, Dec. 26, 2013, as amended at 79 FR 75887, Dec. 19, 2014; 85 FR 49574, Aug. 13, 2020; 86 FR 10440, Feb. 22, 2021]. The eCFR is displayed with paragraphs split and indented to follow (2) Notwithstanding paragraph (c)(1) of this section, OMB may approve a Federal awarding agency's request that a Type A program may not be considered low risk for a certain recipient. Navigate by entering citations or phrases We recommend you directly contact the agency responsible for the content in question. At the completion of the audit, the auditee must prepare, in a document separate from the auditor's findings described in 200.516, a corrective action plan to address each audit finding included in the current year auditor's reports. Notably, OMB also released guidance earlier this year allowing counties that received less than $10 million in Recovery Funds and spent less than $750,000 of non-ARPA federal in a single fiscal year to opt for attestation instead of audit under the Single Audit Act. What is a single audit? A nonprofit or governmental organization with federal expenditures in excess of $750,000 is required by law to have a single audit performed, which includes an audit of both the financial statements and the federal awards. For a Type A program to be considered low-risk, it must have been audited as a major program in at least one of the two most recent audit periods (in the most recent audit period in the case of a biennial audit), and, in the most recent audit period, the program must have not had: (i) Internal control deficiencies which were identified as material weaknesses in the auditor's report on internal control for major programs as required under 200.515(c); (ii) A modified opinion on the program in the auditor's report on major programs as required under 200.515(c); or. The requirements for a Single Audit are described in OMB 2 CFR 200 subpart F Audit Requirements. Where practical, audit findings should be organized by Federal agency or pass-through entity. Where appropriate, instances identified must be related to the universe and the number of cases examined and be quantified in terms of dollar value. When a Federal program providing loans exceeds four times the largest non-loan program it is considered a large loan program, and the auditor must consider this Federal program as a Type A program and exclude its values in determining other Type A programs. All audits of state and local government reporting entities. A statement of the effect or potential effect should provide a clear, logical link to establish the impact or potential impact of the difference between the condition and the criteria. Significant problems or quality issues consistently identified through quality control reviews of audit reports must be referred to appropriate state licensing agencies and professional bodies. The summary schedule of prior audit findings must report the status of all audit findings included in the prior audit's schedule of findings and questioned costs. (iv) A schedule of findings and questioned costs for the Federal program that includes a summary of the auditor's results relative to the Federal program in a format consistent with 200.515(d)(1) and findings and questioned costs consistent with the requirements of 200.515(d)(3). At a minimum, the schedule must: (1) List individual Federal programs by Federal agency. (3) Known questioned costs that are greater than $25,000 for a type of compliance requirement for a major program. (viii) Support the Federal awarding agency's single audit accountable official's mission. Auditees must keep one copy of the data collection form described in paragraph (b) of this section and one copy of the reporting package described in paragraph (c) of this section on file for three years from the date of submission to the FAC. The auditee, after consultation with its auditor, should promptly respond to such a request by informing the Federal awarding agency whether the program would otherwise be audited as a major program using the risk-based audit approach described in 200.518 and, if not, the estimated incremental cost. "Published Edition". A non-Federal entity that expends $750,000 or more during the non-Federal entity's fiscal year in Federal awards must have a single audit conducted in accordance with 200.514 except when it elects to have a program-specific audit conducted in accordance with paragraph (c) of this section. (1) When audit findings were fully corrected, the summary schedule need only list the audit findings and state that corrective action was taken. (a) Procure or otherwise arrange for the audit required by this part in accordance with 200.509, and ensure it is properly performed and submitted when due in accordance with 200.512. Discussion: Present the draft expanded Single Audit form and allow participants to comment upon the SF-SAC changes in a live setting. The Act provides that grantees are subject to one audit of all of their federal programs versus separate audits of each federal program, hence the term single audit.. Subscribe to: Changes in Title 2 :: Subtitle A :: Chapter II :: Part 200 :: Subpart F. View the most recent official publication: These links go to the official, published CFR, which is updated annually. The auditor's determination should be based on an overall evaluation of the risk of noncompliance occurring that could be material to the Federal program. (e) None of the Federal programs had audit findings from any of the following in either of the preceding two audit periods in which they were classified as Type A programs: (1) Internal control deficiencies that were identified as material weaknesses in the auditor's report on internal control for major programs as required under 200.515(c); (2) A modified opinion on a major program in the auditor's report on major programs as required under 200.515(c); or. (c) Reference numbers. (i) A Federal program administered under multiple internal control structures may have higher risk. (a) Retention of audit documentation. For example, the National Institutes of Health is a major subdivision in the Department of Health and Human Services. If you have comments or suggestions on how to improve the www.ecfr.gov website or have questions about using www.ecfr.gov, please choose the 'Website Feedback' button below. user convenience only and is not intended to alter agency intent The summary schedule of prior audit findings and the corrective action plan must include the reference numbers the auditor assigns to audit findings under 200.516(c). Any additional audits must be planned and performed in such a way as to build upon work performed, including the audit documentation, sampling, and testing already performed, by other auditors. (g) Valuing non-cash assistance. Federal programs primarily involving staff payroll costs may have high risk for noncompliance with requirements of 200.430, but otherwise be at low risk. (2) Federal agencies, with the concurrence of OMB, may identify Federal programs that are higher risk. What Is a Single Audit? A single audit, previously known as the OMB Circular A-133 audit, is required for any organization that accepts $750,000 or more in federal funds during the fiscal year. A non-Federal entity expending more than $50 million a year in Federal awards must have a cognizant agency for audit. U.S. Department of Health & Human Services The auditor should report whether the sampling was a statistically valid sample. 78 FR 78608, Dec. 26, 2013, unless otherwise noted. (5) For loan or loan guarantee programs described in 200.502(b), identify in the notes to the schedule the balances outstanding at the end of the audit period. Known questioned costs must be identified by applicable Assistance Listings number(s) and applicable Federal award identification number(s). This is in addition to including the total Federal awards expended for loan or loan guarantee programs in the schedule. > Single Audit. Toll Free Call Center: 1-877-696-6775, Content created by DATA Act Program Management Office (DAP), U.S. Department of Health & Human Services, Office of the Assistant Secretary for Financial Resources (ASFR), has sub items, about Office of the Assistant Secretary for Financial Resources (ASFR), has sub items, about Office of Finance (OF), Chief Financial Officers and Services Contacts, has sub items, about Office of Grants (OG), Division of Policy, Oversight, and Evaluation (DPOE), has sub items, about Office of Acquisitions (OA), The Office of Small and Disadvantaged Business Utilization (OSDBU), Grants Quality Service Management Office (QSMO), Common Data Element Repository (CDER) Library, Consolidated Federal Financial Reporting (FFR), Notice of Award Proof Concept (NOA-POC). WebSingle Audit Determination. The cumulative balance of Federal awards for endowment funds that are federally restricted are considered Federal awards expended in each audit period in which the funds are still restricted. See also 200.332. (b) Oversight agency for audit responsibilities. A non-Federal entity that has biennial audits does not qualify as a low-risk auditee. This part sets forth standards for obtaining consistency and uniformity among Federal agencies for the audit of non-Federal entities expending Federal awards. (e) Step four. The cognizant agency for audit must: (i) Provide technical audit advice and liaison assistance to auditees and auditors. (Your Answer) D. Financial and performance audits, and attestation engagements. A non-Federal entity that expends $750,000 or more during the non-Federal entity's fiscal year in Federal awards must have a single audit conducted in accordance with 200.514 except when it elects to have a program-specific audit conducted in accordance with paragraph (c) of this section. Please do not provide confidential (b) Access to audit documentation. If the auditee does not agree with the audit findings or believes corrective action is not required, then the corrective action plan must include an explanation and specific reasons. When assessing risk in a large single audit, the auditor must consider whether weaknesses are isolated in a single operating unit (e.g., one college campus) or pervasive throughout the entity. Total Federal awards expended times .003. The Code of Federal Regulations (CFR) is the official legal print publication containing the codification of the general and permanent rules published in the Federal Register by the departments and agencies of the Federal Government. While not required, the Federal agency or pass-through entity may also issue a management decision on findings relating to the financial statements which are required to be reported in accordance with GAGAS. To the extent that such audit provides a Federal agency with the information it requires to carry out its responsibilities under Federal statute or regulation, a Federal agency must rely upon and use that information. (f) Report retention requirements. (f) Subrecipients and contractors. (2) Provide technical advice and counsel to auditees and auditors as requested.