Guidance 201 - Growth of Federal Aid Programs

The number of federal assistance programs for health, education, employment and training, housing and community development, and transportation increased substantially in the mid-1960s, prompting interest in improved grants management and auditing. In response to disclosures of widespread deficiencies in audits of such federal programs, the Office of Management and Budget issued in 1965 Circular A-73, Audits of Federal Operations and Programs. The circular contained requirements for audits of all federal programs and activities, including reliance by federal awarding agencies on audits made at state and local levels. It also called for coordination among federal agencies of… Read More