DHS Financial Reporting Requirements March 2001

SUBRECIPIENTS n Contractors classified as subrecipient and expending $300,000 or more in Federal Funds shall have a single audit or program specific audit performed(per Federal Single Audit Act and OMB A-133.)

SUBRECIPIENTS Government and Non-Profit subrecipients must submit: n To DHS: either a written notification or a reporting package pertaining to the Single Audit (unless complete audit report is requested). n To the State Auditor: the complete Single Audit report.

SUBRECIPIENTS Written Notification n Period covered by the audit AND n Name, amount, and CFDA number AND n Statement disclosing no audit findings AND n Statement of prior audit findings- with no findings related to DHS

SUBRECIPIENTS Reporting Package (as discussed in A-133) n Financial statements and schedule of expenditures of Federal Awards. AND n Summary schedule of prior audit findings. AND n Auditor’s reports AND n Corrective action plan

SUBRECIPIENTS n All subrecipients must also turn in a copy of auditor’s management’s letter to DHS. n For the State Auditor: only if there are findings in any report covered in the Audit!

SUBRECIPIENTS n Government and non-profit subrecipients must file the required reports within 9 months after fiscal year ending or 30 days after the audit is completed.

SERVICE PROVIDERS Those receiving $150,000 or more in total revenues: n Non-profit entities receiving 50% OR MORE of their revenue from Government sources and all Government Agencies shall submit to DHS and the State Auditor a copy of the entire audit report using GAS “yellowbook” standards.

SERVICE PROVIDERS Those receiving $50,000 or more but less than $150,000 in total revenues: Non Profit entities receiving 50% OR MORE of their revenues from Government Sources and all Government Agencies shall submit to DHS and the State Auditor : n 1. Unaudited CPA compilation or review n 2. Statement of functional expenses.

SERVICE PROVIDERS Non profit entities receiving $150,000 or more in total revenues BUT LESS THAN 50% of the revenues are from Government sources shall submit to DHS: n 1. Unaudited CPA compilation or review n 2. Statement of functional expenses. No reporting requirement to the State Auditor.

SERVICE PROVIDERS Non-profit entities receiving $50,000 or more BUT LESS THAN $150,000 in total revenues and less than $50% of the revenues are from government sources shall submit to DHS: n 1) Financial Statements (see Definition) n 2) Statement of Functional Expenses No reporting requirement to the State Auditor

A Basic Financial Statement Includes: n balance sheet, n income statement, n statement of cash flows, n notes to the financial statements.

SERVICE PROVIDERS Service Providers receiving LESS THAN $50,000 in Total Revenues : n Non Profit entities receiving 50% MORE THAN of their revenues from Government sources and all Government Agencies shall submit to the State Auditor unaudited financial information on a form approved by the State Auditor.

SERVICE PROVIDERS All service providers receiving LESS THAN $50,000 in total revenues shall submit to DHS unaudited financial information including at a minimum: n 1) Balance Sheet n 2) Income & Expense Statement

For -Profit Service Providers n Reporting requirements shall be the same requirements for non- profit contractors relating to DHS requirements. n There is no reporting requirement for the State Auditor.

SERVICE PROVIDERS n All Service Providers shall submit to DHS and the State Auditors Office the required audited or unaudited reports within 6 months after the end of their fiscal year