I
104TH CONGRESS
2D SESSION
H. R. 3184
To streamline and improve the effectiveness of chapter 75 of title 31, United
States Code (commonly referred to as the ‘‘Single Audit Act’’).
IN THE HOUSE OF REPRESENTATIVES
MARCH 28, 1996
Mr. HORN (for himself, Mr. CLINGER, Mr. DAVIS, Mrs. MALONEY, and Mr.
PETERSON of Minnesota) introduced the following bill; which was referred
to the Committee on Government Reform and Oversight
A BILL
To streamline and improve the effectiveness of chapter 75
of title 31, United States Code (commonly referred to
as the ‘‘Single Audit Act’’).
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; PURPOSES.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Single Audit Act Amendments of 1996’’.
(b) PURPOSES.—The purposes of this Act are to—
(1) promote sound financial management, in-
cluding effective internal controls, with respect to
Federal awards administered by non-Federal enti-
ties;
(2) establish uniform requirements for audits of
Federal awards administered by non-Federal enti-
ties;
(3) promote the efficient and effective use of
audit resources;
(4) reduce burdens on State and local govern-
ments, Indian tribes, and nonprofit organizations;
and
(5) ensure that Federal departments and agen-
cies, to the maximum extent practicable, rely upon
and use audit work done pursuant to chapter 75 of
title 31, United States Code (as amended by this
Act).
SEC. 2. AMENDMENT TO TITLE 31, UNITED STATES CODE.
Chapter 75 of title 31, United States Code, is amend-
ed to read as follows:
‘‘CHAPTER 75—REQUIREMENTS FOR
SINGLE AUDITS
‘‘Sec.
‘‘7501. Definitions.
‘‘7502. Audit requirements; exemptions.
‘‘7503. Relation to other audit requirements.
‘‘7504. Federal agency responsibilities and relations with non-Federal entities.
‘‘7505. Regulations.
‘‘7506. Monitoring responsibilities of the Comptroller General.
‘‘7507. Effective date.
‘‘§ 7501. Definitions
‘‘(a) As used in this chapter, the term—
‘‘(1) ‘Comptroller General’ means the Comptrol-
ler General of the United States;
‘‘(2) ‘Director’ means the Director of the Office
of Management and Budget;
‘‘(3) ‘Federal agency’ has the same meaning as
the term ‘agency’ in section 551(1) of title 5;
‘‘(4) ‘Federal awards’ means Federal financial
assistance and Federal cost-reimbursement contracts
that non-Federal entities receive directly from Fed-
eral awarding agencies or indirectly from pass-
through entities;
‘‘(5) ‘Federal financial assistance’ means assist-
ance that non-Federal entities receive or administer
in the form of grants, loans, loan guarantees, prop-
erty, cooperative agreements, interest subsidies, in-
surance, donated surplus property, food commod-
ities, direct appropriations, or other assistance, but
does not include amounts received as reimbursement
for services rendered to individuals in accordance
with guidance issued by the Director;
‘‘(6) ‘Federal program’ means all Federal
awards to a non-Federal entity assigned a single
number in the Catalog of Federal Domestic Assist-
ance or encompassed in a group of numbers or other
category as defined by the Director;
‘‘(7) ‘generally accepted government auditing
standards’ means the government auditing stand-
ards issued by the Comptroller General;
‘‘(8) ‘independent auditor’ means—
‘‘(A) an external State or local government
auditor who meets the independence standards
included in generally accepted government au-
diting standards; or
‘‘(B) a public accountant who meets such
independence standards;
‘‘(9) ‘Indian tribe’ means any Indian tribe,
band, nation, or other organized group or commu-
nity, including any Alaskan Native village or re-
gional or village corporation (as defined in, or estab-
lished under, the Alaskan Native Claims Settlement
Act) that is recognized by the United States as eligi-
ble for the special programs and services provided by
the United States to Indians because of their status
as Indians;
‘‘(10) ‘internal controls’ means a process, ef-
fected by an entity’s management and other person-
nel, designed to provide reasonable assurance re-