Audit Guidance

NOTICE TO LSC GRANTEES AND INDEPENDENT PUBLIC ACCOUNTANTS

The 1996 Legal Services Corporation (LSC) appropriations act, P.L. 104-134 (1996 Act) established the current LSC audit regime, under which Independent Public Accountants (IPAs) are to conduct annual financial statement and compliance audits of LSC grant recipients.  That act requires that such audits shall be conducted in accordance with generally accepted government auditing standards and the guidance established by the LSC Office of Inspector General (OIG).  Guidance established by the LSC OIG includes the Audit Guide for Recipients and Auditors and Appendix A: Compliance Supplement for Audits of LSC Recipients (April 2016).  The LSC OIG has elected to adopt 2 CFR 200, Uniform Guidance (Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards) Subpart F for audits of LSC grant recipients, subject to modification in accordance with LSC OIG guidance.

The audit must indicate that the auditee is classified as “high-risk”.  The LSC OIG will not accept audit submissions classified as “low-risk” per the LSC OIG Audit Guide for Recipients and Auditors Appendix A: Compliance Supplement for Audits of LSC Recipients (April 2016).

The Compliance Supplement for Audits of LSC Recipients (April 2016) is effective for audits of fiscal years ending on or after April 30, 2016. These audits are to be performed under Office of Management and Budget (OMB) 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) Subpart F.

The Compliance Supplement for Audits of LSC Recipients (April 2016) supersedes the previous edition of the Compliance Supplement (issued in December 1998) contained in the Audit Guide for Recipients and Auditors (November 1996), and all previously issued Audit Bulletins relating to the Compliance Supplement.

For audits of financial statements of fiscal years ending prior to April 30, 2016 IPAs should follow past practices in conducting their annual financial statement audits of LSC grantees.  This includes a report on the Financial Statements; Reports on Internal Controls and Complaince with Laws and Regulations; and the Schedule of Expenditures of Federal Awards for the year ended as required under the former OMB Circular A-133. Please check this website for any additional announcements, updates or changes to the audit guidance and reporting requirements. The LSC OIG is currently in the process of revising and updating the Audit Guide for Recipients and Auditors (November 1996) and anticipates having it available for public comment by mid-2017.  (See the IPA FAQ's for additional audit guidance.)

All audited financial statements are to be submitted to the Office of Inspector General by email. Please email a pdf version of your entire audit report to audits@oig.lsc.gov. You are no longer required to mail a hard-bound copy of this report. The deadline for submission remains the same as previous years (120 days after the recipient’s fiscal year end). Please submit Summary Report Forms electronically here through the OIG website.  Please  be advised that an updated and revised SRF is now available.

IPAs are reminded that all audit findings are to be reported on the Summary Report Form. Please refer to the Summary Report Form instructions for guidance.


Audit Guidance for 4/30/2016 or later Fiscal Year End Audits is contained in:

If you have any questions that are not answered on our website please contact the Audit Help Line: 202.295.1671 or email: audits@oig.lsc.gov 

 

Report Fraud

quick links

CIGIE
Legal Services Corporation
Operating Status

stay connected

rss icon

RSS FEEDS

Recent Announcements
Recent Reports

 

email updates

email icon

Stay up to date on
the latest OIG LSC news