Common use of Fiscal Requirements Clause in Contracts

Fiscal Requirements. 23.1. The Contractor is required to comply with Generally Accepted Accounting Principles (GAAP) or Governmental Generally Accepted Accounting Principles (GGAAP) that meet the financial management systems requirements of this Contract. The requirement in this section may be met either by submission of an annual independent auditor’s report or by the submission of semi-annual financial reports based upon the mid-point and end of the Contractor’s fiscal year, if an annual audit is not performed. 23.2. The Contractor shall comply with applicable requirements of 2 C.F.R. Part 200, including any future amendments, and any successor or replacement Office of Management and Budget (OMB) Circular or regulation. 23.3. The Contractor shall prepare a Schedule of Expenditures of Federal Awards (SEFA) in accordance with 2 C.F.R §200.508, if the Contractor (1) expends $750,000 or more in federal awards during the Contractor’s fiscal year, or (2) the Contractor is a State Auditor’s Office BARS user, regardless of expenditure level. 23.4. If the Contractor expends $750,000 or more in federal funds during the fiscal year, an independent audit report is required. A copy of the audit report shall be submitted to the County. Copies of other financial records may also be required. 23.4.1. Non-Profit Contractors and Public Entities - The audit report shall meet Title 2 C.F.R Part 200 requirements with assurances of financial record keeping that will enable identification of all federal funds received and expended by the OMB Catalog of Federal Domestic Assistance number. Title 2 C.F.R Part 200 audits for fiscal years that include this Contract shall be completed and submitted to the County within nine (9) months from the end of the Contractor’s fiscal year unless otherwise approved by the County in writing. 23.4.2. For Profit Contractors - An independent audit, an independent limited scope audit, or other evidence negotiated with and approved by the County that provides positive assurance of meeting GAAP or GGAAP shall be submitted. Independent audits for fiscal years that include this Contract shall be completed and submitted to the County within nine (9) months from the end of the Contractor’s fiscal year unless otherwise approved by the County in writing. 23.5. The Contractor shall provide to the County a corrective action plan for any audit findings within thirty (30) days of having received the auditor’s report. Failure to fulfill this requirement may result in corrective action, including withholding payment until the financial information or audit is received by the County. 23.6. If there is no audit requirement, the Contractor shall submit to the County semi- annual financial reports based upon the mid-point and end of the Contractor’s fiscal year. These reports shall be submitted within forty-five days of the mid-point and end of the Contractor’s fiscal year. The financial reports shall include: