Fall 2010 issue of Horizons

contractor’s certified payroll reports to verify compliance with Davis Bacon requirements. • Organizations using ARRA funds for construction and repairs must adhere to the “Buy American” provisions of ARRA. These provisions require that all iron, steel, and manufactured goods used in these projects come from the United States. • As discussed earlier, organizations must complete and file quarterly Section 1512 reports. Auditors must review the Section 1512 reports and test the financial information included in them. Auditors are not, however, required to test the accuracy of the reported number of jobs created. Organizations should also be aware that OMB has advised federal agencies to deny all requests for extension of the single audit filing deadline for the 2009, 2010, and 2011 fiscal years. Accordingly, the single audit report must be filed within nine months after the organization’s fiscal year end, or the organization will automatically be

deemed high risk, resulting in the mandatory 50 percent coverage of federal expenditures during the subsequent year’s single audit.

Conclusion The 2010 Compliance Supplement introduces a host of new procedures governing how ARRA- funded projects are presented on the SEFA and selected for auditing, and enumerates various new requirements that organizations must follow and auditors must test. All of these requirements are effective for audits of fiscal years ending June 30, 2010 and thereafter. Organizations are advised to familiarize themselves with these requirements and to implement these requirements as soon as possible, in order to permit a smooth single audit process for both the auditor and auditee. For more information on ways RubinBrown can assist you and your organization, please contact us.

RubinBrown’s Public Sector Services Group

Kaleb Lilly, CPA Partner

Jeff Winter, CPA Partner-In-Charge

Public Sector Services Group jeff.winter@rubinbrown.com 314.290.3408

Public Sector Services Group kaleb.lilly@rubinbrown.com 913.499.4417

Rodney Rice, CPA Partner Public Sector Services Group rodney.rice@rubinbrown.com 303.698.1883

Ted Williamson, CPA Manager Public Sector Services Group ted.williamson@rubinbrown.com 314.290.3534

www.rubinbrown.com

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