New Audit Announcements

For fiscal year 2019, the Department of Transportation (DOT) awarded approximately $62 billion in financial assistance to States, local and tribal Governments, universities, and other organizations. Under the Single Audit Act of 1984, as amended, DOT has oversight responsibilities for these funds. A single audit is an audit of an award recipient’s financial statements and expenditures of Federal awards totaling $750,000 or more.

 

The Office of Management and Budget’s Uniform Guidance on Federal awards requires each Federal awarding agency to establish a process that provides reasonable assurance that its recipients correct findings identified in single audit reports. Such a process should call for the agency to evaluate a recipient’s single audit findings and issue a management decision that documents whether the recipient has (1) appropriately corrected the findings and (2) developed a proposed plan of action and timeline for any uncorrected findings.

 

We are initiating an audit of DOT’s compliance with the Uniform Guidance provisions on single audits during calendar year 2019. Our audit objectives will be to evaluate DOT’s processes for (1) verifying that single audits are completed and reports are submitted to the Federal Audit Clearinghouse in the time frame required by the Uniform Guidance, (2) issuing timely management decisions on single audit findings, and (3) performing follow-up on findings and recommendations, including high priority findings and recommendations we identify in our quarterly reports.