Responsibility for subrecipient audits.

§ 96.54 Responsibility for subrecipient audits. Recipients of Federal assistance from DOL are responsible for ensuring that subrecipient organizations who expend $300,000 or more in a fiscal year or $500,000 for fiscal years ending after December 31, 2003 are audited and that any audit findings are resolved in accordance with this part. The recipient shall: (a) Determine whether appropriate audit requirements outlined in subpart A have been met; (b) Determine whether the subrecipient spent Federal assistance funds provided in accordance with applicable laws and regulations; (c) Ensure that appropriate corrective action is taken within six months after receipt of the audit report in instances of non-compliance with Federal law and regulations; (d) Consider whether subrecipient audits necessitate adjustment of the recipient's own records; and (e) Require that each subrecipient permit independent auditors to have access to the records and financial statements necessary to comply with this part. [64 FR 14539, Mar. 25, 1999, as amended at 72 FR 37104, July 9, 2007]