Chapter 7 - Auditor Review of Monitoring Activities

Organizations that pass through funds to subrecipients need to provide assurance to their federal awarding agencies that they are properly monitoring their subrecipients’ use of federal funds and following up on any problems that are identified as a result of the monitoring. They also need to assure federal awarding agencies that they are properly monitoring the level of risk of their subrecipients (§200.332(c)). Therefore, the Office of Management and Budget (OMB) has included guidance in its annual Compliance Supplement to assist auditors in reviewing pass-through entities’ procedures for monitoring subrecipients as part of performing a single audit. Auditors will review… Read More