The UW is subject to many different types of Audits, both internal and external.
Internal audits are managed and conducted by UW's Office of Internal Audit.
External audits are conducted by agencies outside the UW and fall into two broad categories.
Washington State Audits: As the UW is an entity of the State of Washington, UW is subject to any audits conducted by the State or conducted on the State.
Sponsor Audits: Any Sponsor who provides funding under a Sponsored Award has the right to conduct an audit of that Award. All Sponsored Award Audits are managed by the UW Office of Internal Audit. If a department is contacted directly by a Sponsor regarding an audit, the department should direct the Sponsor to Internal Audit.
The federal government requires per 2 CFR 200.501 Audit requirements that any entity that expends more than $750,000 in federal funds within the entity’s fiscal year must have what the federal government refers to as a “Single Audit” completed. As the UW is part of the State of Washington, the State of Washington is subject to this Single Audit requirement. Thus, the Single Audit of the UW is part of the overall federal audit of the State of Washington.
External sponsors may request a copy of the UW’s Single Audit. When such a request is made, Sponsors should be directed to the State of Washington website where Single Audits are maintained.
Note: The Single Audit used to be called the “A-133 Audit," named after the OMB circular which published the requirements. If a Sponsor requests a copy of the UW’s “A-133 Audit,” they should be directed to the same State of Washington website where Single Audits are maintained.
The following information should be used by departments to ensure they are ready for an audit:
- Create and maintain documented Internal Controls. Auditors want to see that you have procedures documented and that the project staff follows them.
- Ensure that all purchase receipts and supporting documentation are in one place and can be linked to expense transactions.
- Ensure that each expense transaction can stand alone. This means that anyone can read the documentation and confirm that it is reasonable, allowable, allocable, and consistently treated.
- Maintain organized and complete accounting, contract, and project files.
- Ensure that all Cost Transfers are documented; the information in MyFD should be complete and support the reason for the Cost Transfer.
- Ensure that bids and consultant contracts are on file in the appropriate place.
- Keep a list of personnel authorized to approve expenses.
- Resolve issues when they arise: do not wait for an audit or the Award end.
- Review Internal Audit's web page on the Audit Process.
In the event of an audit, the following best practices should be followed:
- Contact the UW Office of Internal Audit if you or your department are notified of an audit or contacted by an Auditor.
- Be prompt in responding.
- Keep original documentation onsite: Auditors can have copies if they want to retain any documentation.
- Only provide information that is asked for; do not elaborate.
- Do not include office politics or other departmental issues in the response.
- Only answer questions you know the answer to; do not hesitate to defer.
- Do not return any documentation to archive/off-site storage until the audit has been resolved.