YES | NO | N/A | Notes Reference | |
Subgrants: (FEDERAL FUNDS) | ||||
1. Does the Department award grants or subgrants to other Departments of the State, to local governments or not-for-profit entities? If not, please mark no and proceed to Student Financial Assistance Programs Section. | ______ | ______ | ______ | ______ |
2. Does the Department award grants (or subgrants) to other governmental units and other organizations only on the basis of properly completed and approved grant applications filed in a timely manner? | ______ | ______ | ______ | ______ |
3. Do procedures exist to ensure that grant funds passed through the Department are distributed throughout the State in an equitable manner? | ______ | ______ | ______ | ______ |
4. Do written grant agreements include requirements that the subgrantees comply with grant conditions set by the initial grantor and the grantee Department? | ______ | ______ | ______ | ______ |
5. Have policies been developed and issued, which regulate the use and reporting of grant funds awarded to other governmental units and other organizations? | ______ | ______ | ______ | ______ |
6. Are adequate procedures in place to monitor subgrantees for compliance with the grant terms established by the Department? | ______ | ______ | ______ | ______ |
7. Where grant funds are being distributed to various recipients, do procedures exist to determine that recipients meet all eligibility requirements? | ______ | ______ | ______ | ______ |
8. Is the monitoring of subrecipients for all major Federal assistance programs under divisions separate from the internal audit function? | ______ | ______ | ______ | ______ |
9. Do the monitors periodically evaluate the performance of contractors and subrecipients in relation to: | ||||
a. Adherence to written agreements? | ______ | ______ | ______ | ______ |
b. Achievement of overall grant objectives? | ______ | ______ | ______ | ______ |
c. Program administration? | ______ | ______ | ______ | ______ |
d. Fiscal operations? | ______ | ______ | ______ | ______ |
e. Internal controls? | ______ | ______ | ______ | ______ |
f. Compliance with general compliance requirements? | ______ | ______ | ______ | ______ |
g. Compliance with specific program compliance requirements? | ______ | ______ | ______ | ______ |
10. | ||||
a. Is the monitoring of subgrantees sufficient to detect material problems and abuses prior to the final payment of grant funds? | ______ | ______ | ______ | ______ |
b. In recent years, has the Department ever had to withhold payment from subgrantees? | ______ | ______ | ______ | ______ |
11. Are the financial operations of subgrantees subjected to periodic and timely audits? | ______ | ______ | ______ | ______ |
12. Do procedures include the following: | ||||
a. An audit of subrecipients which complies with OMB Circular A-128, A-110 or A-133 and other compliance requirements? | ______ | ______ | ______ | ______ |
b. A review of independent audit reports of subrecipients for compliance with OMB Circular A-128, OMB Circular A-110 or OMB Circular A-133 and other compliance requirements? | ______ | ______ | ______ | ______ |
c. Follow-up procedures on findings and weaknesses identified in subrecipients' audit reports? | ______ | ______ | ______ | ______ |
d. Resolution of questioned costs identified in subrecipients' audit reports? | ______ | ______ | ______ | ______ |
13. Are subrecipients required to distribute management letters as well as audit reports? | ______ | ______ | ______ | ______ |
14. If independent audit firms are used are they selected to audit subrecipients by a request for proposal or bid procedures? | ______ | ______ | ______ | ______ |
15. Does the Department require all audits to be performed in accordance with the following standards: | ||||
a. GAAS? (Generally Accepted Auditing Standards) | ______ | ______ | ______ | ______ |
b. GAGAS? (Generally Accepted Government Auditing Standards) | ______ | ______ | ______ | ______ |
c. OMB Circular A-128? | ______ | ______ | ______ | ______ |
d. OMB Circular A-110 or A-133? | ______ | ______ | ______ | ______ |
e. AICPA Audit and Accounting Guide, Audits of State and Local Governmental Units? | ______ | ______ | ______ | ______ |
f. Other? | ______ | ______ | ______ | ______ |
Please identify | ||||
16. Are the audit requirements communicated in writing to the independent audit firms? | ______ | ______ | ______ | ______ |
17. Does the Department review the independent audit firm's compliance with the audit requirements? | ______ | ______ | ______ | ______ |
18. Does the Department monitor the subrecipient audits in progress? | ______ | ______ | ______ | ______ |
19. Are all subrecipients audited at least every two years? | ______ | ______ | ______ | ______ |
20. Are the audit report distribution requirements under OMB Circular A-128 communicated in writing to the subrecipients? (Distribution requirements include the Bureau of the Census, grantees and every Federal grantor from which the subrecipient receives Federal funds.) | ______ | ______ | ______ | ______ |
21. | ||||
a. Are disbursements to subgrantees approved by upper management? | ______ | ______ | ______ | ______ |
b. Are they based only on properly completed reports submitted in a timely manner? | ______ | ______ | ______ | ______ |
22. Is failure by subgrantees to meet reporting requirements investigated in a timely manner? | ______ | ______ | ______ | ______ |
23. Are subgrantees required to provide evidence that previously detected deficiencies have been corrected prior to approval of grant payments or grant renewals? | ______ | ______ | ______ | ______ |
24. | ||||
a. Are reports received from subgrantees reviewed on a timely basis? | ______ | ______ | ______ | ______ |
b. Are all unusual items fully investigated? | ______ | ______ | ______ | ______ |
25. Are refunds due from subgrantees billed and collected in a timely manner? | ______ | ______ | ______ | ______ |
26. Have procedures been established to govern how subgrantees are to account for program income? | ______ | ______ | ______ | ______ |
27. Do procedures exist to ensure that subgrantee matching requirements have been met? | ______ | ______ | ______ | ______ |
28. Are subgrantees required to maintain adequate internal accounting controls including proper books and records? | ______ | ______ | ______ | ______ |
29. | ||||
a. Have procedures been established to monitor property purchased by the subgrantees? | ______ | ______ | ______ | ______ |
b. Do the procedures require that property be properly accounted for? | ______ | ______ | ______ | ______ |
c. Do the procedures require that the property be used for grant related purposes? | ______ | ______ | ______ | ______ |
DO NOT WRITE IN THIS BOX --AUDITORS USE ONLY
Preliminary opinion on the above Internal Control matters: Federal Grant Accounting Good Fair Poor |