10110 Audit Program - A-133 Audit

Master Document – Audit Program Activity Code 10110 A-133 Audit Version 2.1, dated May 2004 B-1 Planning Considerations Purpose and Scope 1. This audit program should be used for single audits conducted under OMB Circular A-133, “Audits of States, Local Governments, and Non-Profit Organizations". It is intended to provide a logical sequence to the audit effort and to reflect a mutual understanding between the auditor and supervisor as to the scope required to meet auditing standards, the audit and reporting requirements of Circular A-133, and DCAA objectives for the current assignment. The program contains general guidance within modules listed at the index. The suggested audit procedures should be expanded or eliminated as necessary to fit the current audit. 2. An OMB Circular A-133 audit, otherwise known as a single audit, is an entity-wide audit consisting of two main parts: an audit of the basic financial statements and an audit of the entity’s major Federal award programs. The audit of the major programs includes (a) gaining an understanding of and testing the internal controls and (b) a compliance audit governing laws and regulations and the provisions of contracts and grants of the Federal award programs. Circular A-133 requires the auditor to provide an opinion on whether the auditee complied with laws, regulations and the provisions of contracts or grants that have a direct and material effect on each of its major programs. 3. When ...