2130 - External Audits

Document purpose

To establish responsibility for the coordination of external audits, reviews, inquiries, and investigations of sponsored projects

effective

December 1986

revised

May 2017

Reviewed

May 2020

Responsible Office

Research Services

Approval

Research Services

The Policy

  1. Requests from an outside agency to conduct a financial or programmatic audit, review, inquiry, or investigation (“review”) of a sponsored project must be directed, in writing, to Research Services

  2. Research Services will notify the Office of Audit and Compliance and the responsible department and/or school business administrator of any pending “review.”

  3. An entrance and exit conference will be a required part of the “review” process.

  4. During the “review,” every effort must be made by the responsible business administrator and Research Services to provide sufficient documentation and/or an adequate explanation to written requests for information, in order to preclude cost disallowances or other deficiency findings.

  5. On visits to any other administrative areas of the University, auditors/investigators must be accompanied by Research Services personnel at all times.

  6. Cost disallowances cited in an audit/review report which cannot be refuted must be transferred immediately from the sponsored project account to the unrestricted operating account or other appropriate non-sponsored project account of the school or center.

Roles and Responsibilities

Principal Investigator

  • Directs request for an external audit of sponsored projects to ORS
  • Provides explanation or documentation for any request made by auditors
  • Attends interview meetings with auditors, as required

Office of Research Services

  • Notifies PI, BA, and OACP if a review, inquiry, audit or an investigation is scheduled
  • Schedules meetings with auditors including entrance, exit and interview meetings
  • Provides space, as necessary during the site visit
  • Provides documentation, reports and approvals to auditors as necessary
  • Coordinates responses to audit findings and recommendations with responsible department, PI, OACP, the Office of General Counsel and the Comptroller’s Office, as necessary
  • Accompanies auditors when visiting other administrative offices
  • Maintains copies of all documentation requests, communication, approvals findings, management responses and recommendations
  • Ensures that cost disallowances are resolved accordingly
  • Prepares revised financial reports, as required
  • Prepares charge-back entries, as necessary, for disallowances
  • Maintains copies of the audit files in accordance with the record retention policy

 

The source of this document is Research Services