There’s an old saying that To a Hammer, Everything Looks Like a Nail. To an auditor, everything can look like an audit—even when it’s not an audit, but a subrecipient monitoring review.
For example, one state’s Single Audit found that the pass-through entity improperly determined that subrecipients were low risk despite negative publicity and significant leadership turnover. Auditors disagreed with the pass-through entity that only subrecipients who distribute grants are high risk.
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February 2020
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