Navigation Menu Link to Home Page link to Information on the Divison Link to Staff name, telephone and e-mail link to Topic Index Link to Frequently Asked Questions Link to Hot Topics Link to Training Calendar Link to Area Agencies on Aging Links to other Aging Sites Click to e-mail webmaster Link to the Department of Health and Human Services Disclaimer

Staff Contact

Aging Resource Management System (ARMS)

Administrative Letters

 

 

 

 

 

 

 

 

 

 

 

 

North Carolina Division of Aging and Adult Services

   

Frequently Asked Questions

Audits

  1. What is the audit period? Image of a question mark

    An audit period, is generally the organizationís fiscal year.

  2. How often is an audit required? 

    Audits are required annually for each fiscal year that the threshold is met.

  3. Who pays for the required audit?

    The auditee (organization) pays for the audit and the audit cannot be paid for with federal funds.

  4. Are there any requirements for awardees not meeting the threshold?

    Organizations with Health and Human Services expenditures which are less than the audit requirements threshold are exempt from being required to have an audit, however, records must be available and in orderly fashion for review by the Area Agency on Aging or other designated governing entity.

  5. How do you define expended?

    The determination of when an award or grant is expended is based on when activity related to the award occurs (i.e. use funds). The activity must comply with laws, regulations, and the provision of the contracts and/or service standards.

  6. OMB Circular A-133 says it does not apply to "for-profit organizations", so why do I have to have an audit?

    The Department of Health and Human Services has specified requirements for non-federal audits of for-profit organizations. Title 45, Code of Federal Regulations (CFR), Part 74.26, Non Federal-Audits provides the guidelines requiring for-profit awardees to be in accordance with Government Auditing Standards.

  7. What is the deadline for completion of the audit report?

    Audits shall be completed a maximum of nine months after the end of the organizationís fiscal year.

  8. How should I select an auditor?
    1. Determine if the auditor has experience in working with programs and organizations similar to yours.
    2. Consult your peers and get recommendations for potential audit firms.
    3. Verify that the auditor has training in General Accounting Office (GAO) Standards or is a Certified Public Accountant (CPA).
    4. Accept bids from at least 3 auditors and put the decision power with your board of directors.
    5. Ask questions and attempt to work with an auditor who can answer your questions completely.

 

Last updated November 18, 2013

 

Alerts  

New Audit Requirements

Best Practices

Frequently Asked Questions

Policies and Procedures

Terms / Definitions

Tools

image of paper