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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 4716 Enrolled Bill (ENR)]

        S.4716

                     One Hundred Eighteenth Congress

                                 of the

                        United States of America

                          AT THE SECOND SESSION

         Begun and held at the City of Washington on Wednesday,
         the third day of January, two thousand and twenty four

                                 An Act

 
 To amend section 7504 of title 31, United States Code, to improve the 
                       single audit requirements.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
    This Act may be cited as the ``Financial Management Risk Reduction 
Act''.
SEC. 2. SINGLE AUDIT IMPROVEMENTS.
    Section 7504 of title 31, United States Code, is amended--
        (1) in subsection (a)--
            (A) in paragraph (1), by striking ``, and'' and inserting a 
        semicolon;
            (B) in paragraph (2), by striking the period at the end and 
        inserting a semicolon; and
            (C) by adding at the end the following:
        ``(3) participate in and furnish information for the review 
    under subsection (e); and
        ``(4) identify recipients that expend $300,000 or more in 
    Federal awards or such other amount specified by the Director under 
    section 7502(a)(3) during the recipient's fiscal year but did not 
    undergo an audit in accordance with this chapter.'';
        (2) in subsection (c)--
            (A) in paragraph (1), by adding ``and'' at the end;
            (B) by striking paragraph (2); and
            (C) by redesignating paragraph (3) as paragraph (2); and
        (3) by adding at the end the following:
    ``(d) Not later than 2 years after the date of enactment of this 
subsection, and every 2 years thereafter, the Director shall submit to 
the Committee on Homeland Security and Governmental Affairs of the 
Senate and the Committee on Oversight and Accountability of the House 
of Representatives a report listing the recipients identified under 
subsection (a)(4).
    ``(e)(1) The Director shall designate 1 or more Federal agencies to 
conduct a Government-wide analysis of single audit quality, which may 
include a consideration of the results of reviews of single audit 
quality by--
        ``(A) Federal agencies;
        ``(B) inspectors general of Federal agencies;
        ``(C) State auditors; and
        ``(D) external peer reviews conducted in accordance with 
    generally accepted government auditing standards.
    ``(2) Not later than 3 years after the date of enactment of this 
subsection, and every 6 years thereafter, the Federal agencies 
designated under paragraph (1) shall complete a Government-wide 
analysis of single audit quality.
    ``(3) The Director shall submit to the Committee on Homeland 
Security and Governmental Affairs of the Senate and the Committee on 
Oversight and Accountability of the House of Representatives and make 
publicly available a summary of the results of each review under 
paragraph (2).
    ``(f) Not later than 2 years after the date of enactment of this 
subsection--
        ``(1) the Administrator of General Services, in coordination 
    with the Director, the Council on Federal Financial Assistance (or 
    any successor thereto), and key management single audit liaisons of 
    Federal agencies designated as described in section 200.513 of 
    title 2, Code of Federal Regulations (or any successor thereto), 
    shall develop analytic tools to use audit data in the Federal 
    clearinghouse to identify cross-Governmental risks to Federal award 
    funds; and
        ``(2) the Director, in coordination with the Administrator of 
    General Services, the Council on Federal Financial Assistance (or 
    any successor thereto), and key management single audit liaisons of 
    Federal agencies designated as described in section 200.513 of 
    title 2, Code of Federal Regulations (or any successor thereto), 
    shall develop a strategy to use audit data in the Federal 
    clearinghouse to identify cross-Governmental risks to Federal award 
    funds.
    ``(g) Not later than 4 years after the date of enactment of this 
subsection, the Comptroller General of the United States shall complete 
an evaluation of--
        ``(1) the effectiveness of the strategy and analytic tools 
    developed under subsection (f);
        ``(2) reporting burdens for auditors and audited entities and 
    the capacity of auditors and audited entities to fulfill the 
    requirements under this chapter; and
        ``(3) the responsiveness of Federal agencies to repeat single 
    audit findings and corrective action plans.''.
SEC. 3. NO ADDITIONAL FUNDS.
    No additional funds are authorized to be appropriated to carry out 
this Act or the amendments made by this Act.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
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