Every year the Office of Management and Budget (OMB) releases one Compliance Supplement which is typically used by auditors to perform single audits. But for 2020, there were two. On Dec. 22, 2020, the OMB released the Addendum to the 2020 Compliance Supplement, which is effective for audits of fiscal years ending June 30, 2020, …
On May 29, I wrote an article on this topic, which was before official guidance had come out from the FASB. You may think the accounting for PPP funding would be straight forward, but unfortunately, it is not. Here are some questions a nonprofit organization should be asking. What options does a nonprofit organization have …
FASB has issued a proposed Accounting Standards Update intended to increase transparency regarding such contributed nonfinancial assets like gifts-in-kind. As many nonprofit organizations rely on these contributions to carry out their programs and related activities – the following is a brief overview of the changes, and how they may apply to your organization. ASU – …
This disclosure is easy to overlook but it’s important for proper financial reporting. A related party footnote disclosure is needed when transactions are recorded in the financials between the preparer and related parties. Understanding whom and what is considered a related party will help alleviate missed opportunities in disclosing related party transactions. Per ASC 850 …
The Arizona State Board for Charter Schools recently released the USFR Compliance Questionnaire for the fiscal year ended June 30, 2012. Although there were not many changes to the questionnaire from the previous year, there is one notable question that was added to the attendance section that related to the residency requirements that schools are …
Some of you may have heard that the Government Accountability Office (GAO) has recently updated the Government Auditing Standards for the Yellow Book this year. Some of you may be wondering how is this update going to affect me, or what is my auditor going to be asking for that I should be prepared for? …
How can you tell if you have passed federal funds on to a subrecipient or simply paid a vendor? The answer to this question may not always be easy. This is something many not-for-profits struggle with, and it’s extremely important as single audit requirements that an entity which passes federal funds on to a subrecipient …
Last fall 2011 I wrote a blog regarding auditor term limits that were slowly creeping their way into governmental audits in the State of Arizona. The legislature had passed Laws 2011, Chapter 344, sec. 5 and sec.16 of Arizona Revised Statutes §15-183 and §15-914, respectively, in July 2011 requiring Charter Schools to rotate their audit …
In these economically stressful times, pressure and incentive to perpetrate fraud are more plentiful. Employers must address fraud risk more rigorously than ever before. Annual communication with the entity’s auditor can help pinpoint areas of higher risk. Once identified, these areas can become the focus of management brainstorming sessions to develop processes to heighten awareness …
Imaging looking at your Schedule of Expenditures of Federal Awards (SEFA) and noting that the total is $502,000. Some of you might think, “Why couldn’t we have spent $3,000 less and save ourselves the cost of a single audit?” And you’re not alone. The United States OMB is working on reforming the Federal Grant process, …