Code of Federal Regulations Title 29. Labor § 29.96.54 Responsibility for subrecipient audits

(a) Determine whether appropriate audit requirements outlined in subpart A have been met;

(b) Determine whether the subrecipient spent Federal assistance funds provided in accordance with applicable laws and regulations;

(c) Ensure that appropriate corrective action is taken within six months after receipt of the audit report in instances of non-compliance with Federal law and regulations;

(d) Consider whether subrecipient audits necessitate adjustment of the recipient's own records;  and

(e) Require that each subrecipient permit independent auditors to have access to the records and financial statements necessary to comply with this part.