1. Emily Sobczak, CPA Partner Greene Finney, LLP
2019 SINGLE AUDIT UPDATE
Emily Sobczak, CPA
Partner Greene Finney, LLP

2. What is new for 2019? No significant changes from prior year
Refer to Uniform Guidance and most current compliance supplement when questions arise
2019 Compliance Supplement is expected to be issued in June 2019
Continue to focus on improved documentation of internal controls
Communicate with program directors to ensure they are staying informed of any changes to compliance requirements

3. Internal Controls
Internal controls are required to be clearly documented in writing and must address each of the applicable compliance requirements.
Internal controls should be reviewed and assessed regularly (at least annually) to determine that all components of internal control are present (properly designed and implemented) and functioning (operating effectively).
Consider referencing the COSO requirements as part of internal control documentation.
Grantees are required to ensure all assets are properly safeguarded and used solely for authorized purposes (including assets that do not meet the threshold for capitalization).
The non-federal entity must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award

4. Internal Controls (Continued)
Limitations on Internal Controls
Potential for flawed human judgment in decision- making
Management’s consideration of the relative costs and benefits in responding to risk and establishing controls
Possibility that controls can be circumvented by collusion of two or more people
Ability of management to override internal control functions and decisions
These limitations preclude the Board and management from ever having absolute assurance of the achievement of the entity’s objectives; internal controls provide reasonable but not absolute assurance.

5. Single Audit and Reporting
Single Audit threshold is $750,000
Disbursements to subrecipients must be reported on the SEFA
Repeat findings are required to be identified in the schedule of findings and questioned costs
Summary Schedule of Prior Audit Findings must include both GAGAS and Uniform Guidance findings
Corrective Action Plan must be included in the Compliance Section (should be printed on auditee’s letterhead and include the name of the contact person responsible for the corrective action, the corrective action planned, and the anticipated completion date)

6. Questions?