[Code of Federal Regulations]
[Title 38, Volume 2]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 38CFR41.1]

[Page 732]
 
            TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF
 
          CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS (CONTINUED)
 
PART 41--AUDITING REQUIREMENTS--Table of Contents
 
Sec. 41.1  Purpose.

    These regulations (38 CFR 41.1 through 41.20) are issued pursuant to 
the Single Audit Act of 1984, Pub. L. 98-502. The act establishes audit 
requirements for State and local governments that receive Federal aid, 
and defines Federal responsibilities for implementing and monitoring 
those requirements. The Single Audit act requires the following:
    (a) State or local governments that receive $100,000 or more a year 
in Federal financial assistance shall have an audit made in accordance 
with these regulations.
    (b) State or local governments that receive between $25,000 and 
$100,000 a year shall have an audit made in accordance with these 
regulations, or in accordance with Federal laws and regulations 
governing the programs they participate in.
    (c) State or local governments that receive less than $25,000 a year 
shall be exempt from compliance with the Act and other Federal audit 
requirements. These State and local governments shall be governed by 
audit requirements prescribed by State or local law or regulation.
    (d) Nothing in this section exempts State or local governments from 
maintaining records of Federal financial assistance or from providing 
access to such records to Federal agencies, as provided for in Federal 
law or in Circular A-102, ``Uniform requirements for grants to State or 
local governments.''

(Authority: Pub. L. 98-502)