Question

Since grants do require audits, how do the organizations handle the fact they will have single audits for every grant? For some organizations, this could be costly in the amount of time resources dedicated to the audits as well as the cost.

Answer 1

Everyone wants to know more about how well Federal grants are managed and performed. The audit of grant programs and awards provides a mechanism for program officials, inspectors general, Congress, and the public to ensure that grantees meet financial and performance goals and objectives.The audit holds nonprofits, government entities and educational institutions accountable for spending and programmatic performance.It is a serious matter that every grant should have seperate audit and it is true that small organisations cant afford single audits on each grant.

To avoid single audits and still be efficient organisations should focus on internal efficiency.

They should prepare a detailed lists of

• Project timelines, deliverables and milestones.
• Program income and budgets
• Sub-recipient activities.
• Status of funds spent.
• Financial expenditures and budget narratives.
• Once internal controls are set higher it will not be necessary for all organisations to run single audits and still the efficiency will be higher