Federal Awards Accountability

Each year, California receives billions of federal funds for numerous programs. As a condition of receiving these federal funds, the state must annually have an independent audit of California's financial statements as well as an independent audit of California's compliance with federal regulations for the programs the federal government provides funding for. The State Auditor plays a critical role in oversight for the federal funds received each year. State statutes mandate that the California State Auditor annually conduct—in accordance government and industry auditing standards—California's Single Audit, which is a combination of an audit of California's financial statement and the state's compliance with federal program requirements. Further, this comprehensive annual audit fulfills the provisions of the federal Single Audit Act of 1984 and the Single Audit Act Amendments of 1996.