Review Item Applicable Criteria Yes No N/A W/P Ref RS-5b Required High-Risk Type B programs, identified through either of the two options provided in A-133? A-133 .520 (e)(2)(i)(A); A-133 .520 (e)(2)(i)(B); Compliance Supplement App. VII RS-5c Programs that are requested by a Federal agency or pass-through entity to be audited as major? A-133 .215(c) RS-5d Such additional programs as may be necessary to comply with the percentage of coverage rule? A-133 .520(f) RS-6 If the auditors identified low-risk Type A programs, did the audit documentation support the auditor’s performance of required Type B program risk assessments? A-133 .520 (d)(e)(g), .525; Compliance Supplement App. VII RS-7 If the auditors deviated from the risk-based approach for selecting major programs, was the election for the deviation consistent with A-133? A-133 .520(i) RS-8 Does the audit documentation support that the auditor performed procedures to assess the reasonableness of the summary schedule of prior audit findings? A-133 .500(e) Review Item Applicable Criteria Yes No N/A W/P Ref Reporting
RS-9 Based on the audit work performed, did the Schedule of Findings and Questioned Costs include all (1) documented instances of significant deficiencies or material weaknesses, (2) all instances of fraud and illegal acts unless inconsequential, and (3) violations of provisions and contracts or grant agreements and abuse that could have a material effect on the financial statements or the major program? A-133 .505(d)(2); GAS 5.10- .17 RS-10 Did the auditor report all significant deficiencies, material weaknesses, instances of material noncompliance, circumstances that resulted in an other than unqualified opinion on compliance (unless otherwise reported), known fraud affecting a Federal award (unless otherwise reported), and known questioned costs greater than $10,000 (or the amount of known questioned costs when the amount of likely questioned costs are greater than $10,000) that could have a direct and material effect on compliance with the requirements of each major program? A-133 .510(a) RS-11 Does the audit documentation support an assessment of whether control deficiencies (either individually or in combination) rose to the level of significant deficiencies, and/or that significant deficiencies (either individually or in combination) rose to the level of material weaknesses? GAS 5.12; AU 325.08; AU 339.14 RS-12 If exceptions identified in the audit documentation were not reported, does the audit documentation support the basis for the auditor’s conclusion (“proper disposition of exceptions”)? AU 325.08; AU 339.14 RS-13 Did the auditor report all instances in which the results of audit follow-up procedures disclosed that the summary schedule of prior audit findings prepared by the auditee materially misrepresents the status of any prior audit finding? A-133 .510(a)(7) Review Item Applicable Criteria Yes No N/A W/P Ref
Questions FS-1 through FS-2 may be answered for either the entity as a whole or for any specific account balance or assertion considered material to the financial statements and that is of concern to the reviewer. Account Balance/Assertion Reviewed: FS-1 Did the auditor gain a sufficient understanding of the entity and its environment, including internal control, to assess the risk of a material misstatement of the financial statements (whether due to error or fraud), and to design the nature, timing, and extent of further audit procedures? GAS 4.03(b); AU 314 FS-2 Does the audit documentation support that the nature, timing, and extent of audit procedures are consistent with the auditor’s assessment of risk? [Note: If the auditors did not test internal controls because the risk was assessed at maximum, see question FS-3.] AU 314.103; AU Identification and Evaluation of Audit Findings FS-3 If the auditor assessed control risk at maximum because the controls were missing or the design of controls was not capable of preventing, detecting, or correcting material misstatements, did the auditor document the evaluation and disposition of control deficiencies for reporting purposes? AU FS-4 If the auditor identified control deficiencies or instances of noncompliance, did the audit documentation: GAS 3.38, 5.10-.14; AU 339.14
AT1-5c Planned the tests of key controls to (1) support a low assessed level of control risk for the assertions (audit objectives) relevant to each direct and material compliance requirement and (2) allow the auditor to reach a conclusion on the effectiveness of internal control for preventing or detecting noncompliance? A-133 .500 (c)(2)(i); AU 318.23-.49 AT1-5d Performed the planned testing of internal control? A-133 .500 (c)(2)(ii) AT1-5e Based on the results of procedures performed related to internal control, assessed the risk of material noncompliance and provided the basis for the assessment? AU 318.77; AU 801.40 AT1-6 If the auditor omitted testing of controls for any direct and material compliance requirement because the auditor concluded that internal controls over compliance were not implemented or were not likely to be effective, do the report and audit documentation include the following: A-133 .500(c)(3) AT1-6a A significant deficiency or material weakness as part of the audit findings? AT1-6b An assessment of control risk at maximum and a consideration of whether additional compliance tests were required? AT1-7 Did the auditor report all significant deficiencies and material weaknesses that are identified in the audit documentation? A-133 .510(a); AU 325.17
Attachment 1A Major Program Name: ____________________________________ CFDA NO: __________________________________ Requirement Question 2a Question 5a Questions 5b through 5d Question 12 Assessment of “Direct and Material” Understanding of Internal Controls Planning and Testing of Internal Controls Performed and Documented Compliance Testing DM, NDM, or NA W/P Ref Y/N W/P Ref Plann -ed Y/N Y/N W/P Ref Perform -ed Y/N W/P Ref A Activities Allowed or Unallowed B Allowable Costs and Cost Principles C Cash Management D Bacon E Eligibility F Equipment and Real Property G Matching Level of Effort Earmarking H Period of Availability I Procurement Suspension and Debarment J Program Income K Real Property Acquisition and Relocation Assistance L Reporting M Subrecipient Monitoring N Special Tests and Provisions DM = Compliance requirement direct and material to the program NDM = Compliance requirement not direct and material to the program N/A = Not applicable to the program, either based on Compliance Supplement matrix or auditor’s assessment. Reasonable = Does the audit documentation support the auditor's assessment of the compliance requirement (Yes or No)? Summary of Reviewer’s Assessment of Internal Control and Compliance Requirements – Tool