I 

111TH CONGRESS 

2D SESSION H. R. 5018 

To amend title 31, United States Code, to direct the Director of the Office 

of Management and Budget to improve oversight of the single audit 

process, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 14, 2010 

Ms. BEAN (for herself and Mr. CONAWAY) introduced the following bill; which 

was referred to the Committee on Oversight and Government Reform 

A BILL 

To amend title 31, United States Code, to direct the Director 

of the Office of Management and Budget to improve 

oversight of the single audit process, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Government Audit Re5 form Act of 2010’’. 

6 SEC. 2. SENSE OF CONGRESS. 

7 It is the sense of Congress that the Director of the 

8 Office of Management and Budget should follow the recVerDate Nov 24 2008 16:10 Apr 15, 2010 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H5018.IH H5018

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1 ommendations of the Government Accountability Office 

2 report entitled ‘‘Single Audit: Opportunities Exist to Im3 prove the Single Audit Process and Oversight’’ (GAO–09– 

4 307R), issued March 13, 2009. 

5 SEC. 3. OVERSIGHT OF THE SINGLE AUDIT PROCESS. 

6 (a) AMENDMENT TO SINGLE AUDIT ACT.— 

7 (1) IN GENERAL.—Chapter 75 of title 31, 

8 United States Code, is amended by adding at the 

9 end the following new section: 

10 ‘‘§ 7508. Oversight and evaluation 

11 ‘‘(a) OVERSIGHT AND EVALUATION.—The Director, 

12 or the head of the office or entity designated by the Direc13 tor under subsection (c), shall monitor the risk, cost-ben14 efit, efficiency, and effectiveness of the implementation by 

15 Federal agencies of this chapter by— 

16 ‘‘(1) evaluating such implementation govern17 mentwide; and 

18 ‘‘(2) identifying additional guidance and re19 sources necessary to improve such implementation, 

20 including revisions to regulations, best practices, and 

21 processes. 

22 ‘‘(b) REPORT.—The Director, or the head of the of23 fice or entity designated by the Director under subsection 

24 (c), shall submit to the Committee on Homeland Security 

25 and Governmental Affairs of the Senate, the Committee 


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1 on Oversight and Government Reform of the House of 

2 Representatives, and the Comptroller General of the 

3 United States a report that includes the findings under 

4 subsection (a). The report shall be submitted not later 

5 than September 30 of each year and shall cover the pre6 vious year. 

7 ‘‘(c) DESIGNATION OF OVERSIGHT ENTITY.—The 

8 Director of the Office of Management and Budget shall 

9 designate an office in the Office of Management and 

10 Budget or another Federal entity to act on behalf of the 

11 Director under subsection (a) and submit to the Com12 mittee on Homeland Security and Governmental Affairs 

13 of the Senate, the Committee on Oversight and Govern14 ment Reform of the House of Representatives, and the 

15 Comptroller General of the United States a report that 

16 describes such office or entity and the resources made 

17 available to such office or entity to adequately implement 

18 the provisions of this section.’’. 

19 (2) CLERICAL AMENDMENT.—The table of sec20 tions at the beginning of chapter 75 of title 31, 

21 United States Code, is amended by inserting after 

22 the item relating to section 7507 the following new 

23 item: 

‘‘7508. Oversight and evaluation.’’. 

24 (b) SIMPLIFIED AUDIT PROCESS.— 


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1 (1) EVALUATION.—The Director, or the head of 

2 the office or entity designated by the Director under 

3 section 7508(c) of title 31, United States Code, shall 

4 evaluate the process for the single audit and the pro5 gram-specific audit under chapter 75 of title 31, 

6 United States Code, to identify simplified alter7 natives for achieving the purposes of the Single 

8 Audit Act of 1984 (Public Law 98–502; 98 Stat. 

9 2327; 31 U.S.C. 7501 note) and the Single Audit 

10 Act Amendments of 1996 (Public Law 104–156; 

11 110 Stat. 1396; 31 U.S.C. 7501 note) for the audits 

12 of small recipients that also achieve the proper bal13 ance between risk and cost-effective accountability 

14 for small and large recipients. 

15 (2) REPORT.—Not later than 6 months after 

16 the date of the enactment of this Act, the Director, 

17 or the head of the office or entity designated by the 

18 Director under section 7508(c) of title 31, United 

19 States Code, shall submit to the Committee on 

20 Homeland Security and Governmental Affairs of the 

21 Senate, the Committee on Oversight and Govern22 ment Reform of the House of Representatives, and 

23 the Comptroller General of the United States, a re24 port on the results of the evaluation under para25 graph (1). 


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1 (3) DEFINITIONS.—In this subsection: 

2 (A) DIRECTOR.—The term ‘‘Director’’ 

3 means the Director of the Office of Manage4 ment and Budget. 

5 (B) LARGE RECIPIENT.—The term ‘‘large 

6 recipient’’ means a non-Federal entity that ex7 pends a total amount of Federal awards equal 

8 to or in excess of $300,000 or such other 

9 amount specified by the Director under section 

10 7502(a)(3) of title 31, United States Code, in 

11 any fiscal year. 

12 (C) NON-FEDERAL ENTITY.—The term 

13 ‘‘non-Federal entity’’ has the meaning given 

14 that term under section 7501 of title 31, 

15 United States Code. 

16 (D) SMALL RECIPIENT.—The term ‘‘small 

17 recipient’’ means a non-Federal entity that ex18 pends a total amount of Federal awards of less 

19 than $300,000 or such other amount specified 

20 by the Director under section 7502(a)(3) of 

21 title 31, United States Code, in any fiscal year. 

22 (c) IMPLEMENTATION OF RECOMMENDATIONS TO

23 IMPROVE AUDIT QUALITY.— 

24 (1) EVALUATION.—The Director of the Office 

25 of Management and Budget shall evaluate the impleVerDate Nov 24 2008 16:10 Apr 15, 2010 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H5018.IH H5018

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1 mentation of the recommendations made to the Of2 fice of Management and Budget by the President’s 

3 Council on Integrity and Efficiency in the report en4 titled ‘‘Report on National Single Audit Sampling 

5 Project,’’ dated June 2007. 

6 (2) REPORT.—Not later than 6 months after 

7 the date of the enactment of this Act, the Director 

8 of the Office of Management and Budget shall sub9 mit to the Committee on Homeland Security and 

10 Governmental Affairs of the Senate, the Committee 

11 on Oversight and Government Reform of the House 

12 of Representatives, and the Comptroller General of 

13 the United States a report on the results of the eval14 uation under paragraph (1). 

15 (d) DEADLINE FOR DESIGNATION OF OVERSIGHT

16 ENTITY.—Not later than 60 days after the date of the 

17 enactment of this Act, the Director of the Office of Man18 agement and Budget shall designate an office in the Office 

19 of Management and Budget or another Federal entity 

20 under section 7508(c) of title 31, United States Code. 

Æ 


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