[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: 38CFR41.7] [Page 733-734] TITLE 38--PENSIONS, BONUSES, AND VETERANS' RELIEF CHAPTER I--DEPARTMENT OF VETERANS AFFAIRS (CONTINUED) PART 41--AUDITING REQUIREMENTS--Table of Contents Sec. 41.7 Frequency of audit. Audits shall be made annually unless the State or local government has, by January 1, 1987, a constitutional or statutory requirement for less frequent audits. For those governments, the cognizant agency shall permit biennial audits, covering both years, if the government so requests. It shall also honor requests for biennial audits by [[Page 734]] governments that have an administrative policy calling for audits less frequent than annual, but only for fiscal years beginning before January 1, 1987. (Authority: Pub. L. 98-502)