May 9, 2013

Proposed OMB Circular A-133 Auditing Changes

New reforms have been proposed by the Office of Management and Budget (OMB) that could drastically change the way audits are performed under OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. The proposal aims to combine all various regulations that must be followed when administering grant programs into a single, comprehensive guide.

The biggest proposed change is increasing the threshold for single-audit requirements from $500,000 to $750,000. This means that entities spending less than $750,000 in federal awards in one year will not be subject to audits performed under OMB Circular A-133. These organizations will not be completely off the hook, as they will still need to have their records available for review by governmental agencies, various pass-through entities, and the U.S. Government Accountability Office.

Also included in the proposal is a reduction in the number of compliance requirements from 14 to 6. In addition, the proposal includes a number of other proposed changes to improve reporting and oversight. The proposal was published February 1, 2013 and the comment period just closed May 2, 2013.

All Insights

Keep up with Anders

Want to keep up with all the latest insights from Anders? Subscribe and receive the information that matters to you.

  • This field is for validation purposes and should be left unchanged.