School Audit Information

School Audit News

9-0300.00 Single Audit Act -- OMB Circular A-133

9-0300.10 Introduction
Most school districts receiving Federal assistance shall have financial and compliance audits on an annual basis. The Single Audit Act (OMB Circular A-133) provides for a uniform approach to the audit of all federal aid programs by establishing policies, procedures and guidelines. The single audits under the law must be performed using generally accepted government auditing standards by independent auditors using due professional care and accountability.

9-0300.20 Features
For years beginning FY04, The Single Audit Act requires that:

1. School districts that spend more than $500,000 per year in Federal financial assistance must have annual financial and compliance audits unless they perform such examinations on a biennial basis as required under State or local law; they may then continue that schedule.
2. School districts that spend less than $500,000 of Federal financial assistance per year are not required by Federal regulations to have audits performed under a Federal requirement but are expected to retain accounting records so that Federal auditors can conduct audits if warranted.

9-0300.30 Montana Audit requirements
Montana's audit requirements meet the requirements of the Single Audit Act.

Who is required to have an audit? Beginning with audits of FY98 , each district with over $500,000 of total revenues (all funds) in a year is required to have an audit.

For those elementary and high school districts which are audited together, the revenues of both districts are combined to apply the criteria.

A district that spends $500,000 or more of Federal financial assistance must have a single audit.

Districts with less than $500,000 total revenue will have a review (not audit) approximately every four years as requested by OPI and the Department of Administration. [Section 2-7-503,MCA, 2007 Amendment]

9-0300.40 Audit Requirements Matrix
Who is required to have an Audit: