[Government Audit] The Single Audit Act, 2 CFR 200

■ Under the Single Audit Act, the auditor’s determination of whether a deficiency in internal control is a significant deficiency or material weakness is in relation to a type of compliance requirement for a major program or an audit objective identified in the OMB Audit Requirements for Federal Awards (2 CFR 200) Compliance Supplement. The auditor also should identify all significant deficiencies and weaknesses.

 

■ The Single Audit Act establishes audit requirements for recipients of federal financial assistance.

○ The act requires that audits of such entities be in accordance with Government Auditing Standards issued by the GAO. OMB Audit Requirements for Federal Awards (2 CFR 200) and the related Compliance Supplement also apply.

○ The act and the circular state certain requirements that exceed those of the GAO.

 

■ OMB Audit Requirements for Federal Awards (2 CFR 200) defines a subrecipient as a nonfederal entity that expends federal awards received from another entity, often another governmental body, to carry out a federal program.