42 U.S.C. § 2996h — Audits
submitted 52 years ago by Pub. L. 88-452 to r/title-42-THE-PUBLIC-HEALTH-AND-WELFARE · 601 words · no verdicts yet
This section requires annual independent audits of the Corporation and permits additional audits by the Government Accountability Office. It also requires annual financial audits of recipients and protects records covered by attorney-client privilege.
(a) Annual audit. (1) The Corporation’s accounts must be audited every year. Independent certified public accountants must conduct the audits using generally accepted auditing standards and must be certified by the regulatory authority of the place where the audit occurs. (2) The audit must occur where the accounts are normally kept. The Corporation must provide the auditors all books, accounts, financial records, reports, files, and other papers or property belonging to or used by the Corporation that are needed for the audit. It must also provide full facilities for checking transactions against balances and securities held by depositories, fiscal agents, and custodians. (3) The annual audit report must be filed with the Government Accountability Office and made available for public inspection during business hours at the Corporation’s principal office.
(b) Government Accountability Office audit. (1) In addition to the annual audit, the Government Accountability Office may audit the Corporation’s financial transactions for any fiscal year in which Federal funds are available for any part of its operations, under rules set by the Comptroller General. (2) The audit must occur where the accounts are normally kept. Government Accountability Office representatives must have access to the needed books, accounts, financial records, reports, files, and other papers or property belonging to or used by the Corporation. The Corporation must provide full facilities for checking transactions against depository, fiscal-agent, and custodian balances and securities. The Corporation must keep these materials in its possession and custody from the date that possession or custody begins through three years after that date. The Government Accountability Office may require a longer period under section 3523(c) of title 31. (3) The Comptroller General must report the audit to Congress and the President, with recommendations the Comptroller General considers advisable.
(c) Recipient financial audits. (1) The Corporation must conduct, or require each financially assisted grantee, contractor, person, or entity to arrange, an annual financial audit. Each report must be kept at the Corporation’s principal office for at least five years. (2) On request, the Corporation must give copies to the Comptroller General. The Comptroller General may also inspect the recipient’s books, accounts, financial records, files, and other papers or property relating to the use of Corporation funds. The reports must be open to public inspection during regular business hours at the Corporation’s principal office.
(d) Attorney-client privilege. Despite this section and section 2996g, neither the Corporation nor the Comptroller General may access reports or records protected by attorney-client privilege.
The accounts of the Corporation shall be audited annually. Such audits shall be conducted in accordance with generally accepted auditing standards by independent certified public accountants who are certified by a regulatory authority of the jurisdiction in which the audit is undertaken.
The audits shall be conducted at the place or places where the accounts of the Corporation are normally kept. All books, accounts, financial records, reports, files, and other papers or property belonging to or in use by the Corporation and necessary to facilitate the audits shall be made available to the person or persons conducting the audits; and full facilities for verifying transactions with the balances and securities held by depositories, fiscal agents, and custodians shall be afforded to any such person.
The report of the annual audit shall be filed with the Government Accountability Office and shall be available for public inspection during business hours at the principal office of the Corporation.
In addition to the annual audit, the financial transactions of the Corporation for any fiscal year during which Federal funds are available to finance any portion of its operations may be audited by the Government Accountability Office in accordance with such rules and regulations as may be prescribed by the Comptroller General of the United States.
Any such audit shall be conducted at the place or places where accounts of the Corporation are normally kept. The representatives of the Government Accountability Office shall have access to all books, accounts, financial records, reports, files, and other papers or property belonging to or in use by the Corporation and necessary to facilitate the audit; and full facilities for verifying transactions with the balances and securities held by depositories, fiscal agents, and custodians shall be afforded to such representatives. All such books, accounts, financial records, reports, files, and other papers or property of the Corporation shall remain in the possession and custody of the Corporation throughout the period beginning on the date such possession or custody commences and ending three years after such date, but the Government Accountability Office may require the retention of such books, accounts, financial records, reports, files, papers, or property for a longer period under section 3523(c) of title 31.
A report of such audit shall be made by the Comptroller General to the Congress and to the President, together with such recommendations with respect thereto as he shall deem advisable.
The Corporation shall conduct, or require each grantee, contractor, or person or entity receiving financial assistance under this subchapter to provide for, an annual financial audit. The report of each such audit shall be maintained for a period of at least five years at the principal office of the Corporation.
Upon request, the Corporation shall submit to the Comptroller General of the United States copies of such reports, and the Comptroller General may, in addition, inspect the books, accounts, financial records, files, and other papers or property belonging to or in use by such grantee, contractor, or person or entity, which relate to the disposition or use of funds received from the Corporation. Such audit reports shall be available for public inspection, during regular business hours, at the principal office of the Corporation.
Notwithstanding the provisions of this section or section 2996g of this title, neither the Corporation nor the Comptroller General shall have access to any reports or records subject to the attorney-client privilege.
Source credit: (Pub. L. 88–452, title X, § 1009, as added Pub. L. 93–355, § 2, July 25, 1974, 88 Stat. 387; amended Pub. L. 95–222, § 14, Dec. 28, 1977, 91 Stat. 1623; Pub. L. 104–66, title II, § 2111, Dec. 21, 1995, 109 Stat. 730; Pub. L. 108–271, § 8(b), July 7, 2004, 118 Stat. 814.)
- 1974Enacted · Pub. L. 88-452 · 88 Stat. 387
- 1977Amended · Pub. L. 95-222 · 91 Stat. 1623
- 1995Amended · Pub. L. 104-66 · 109 Stat. 730
- 2004Amended · Pub. L. 108-271 · 118 Stat. 814
A history note hasn’t been published yet. The record shows enactment by Pub. L. 88-452 on 1974-07-25.
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