Introduction: Materiality by Compliance Requirement Matrix Planning Federal Materiality by Compliance Requirement See Footnotes 1-6 the matrix table for further explanation, in particular, review note 6 which discusses tailoring the matrix assessments. (1) (2) (6) (6) (3) (4) (5) (5) (6) If Direct & monetary, Final Federal Applicable material to population Inherent control Detection Overall materiality by per Compl. program / Monetary or subject to risk (IR) risk (CR) risk of audit risk of compl. Suppl. entity nonmonetary require. assess. assess. noncompl. noncompl. requirement typically 5% of population subject to Compliance Requirement (Yes or No) (Yes or No) (M/N) (Dollars) (High/Low) (High/Low) (High/Low) (High/Low) requirement A Activities Allowed or Unallowed Yes M 5% B Allowable Costs/Cost Principles Yes M 5% C Cash Management Yes N 5% D RESERVED E Eligibility No F Equipment & Real Property Mgmt Yes M 5% G Matching, Level of Effort, Earmark Yes M 5% H Period of Availability (Performance) Yes M 5% I Procurement & Sus. & Debarment Yes N 5% J Program Income Yes M 5% K RESERVED L Reporting Yes N 5% M Subrecipient Monitoring No N Special Tests & Provisions - Wage Yes N 5% Rate Requirement N Special & Provisions Yes N 5% – Environmental Oversight N Special & Provisions Yes N 5% – Environmental Reviews Yes N N Special Tests & Provisions Citizen 5% – Participation N Special Tests & Provisions Yes N 5% – Rehabilitation Using NSP Funds
Introduction: Materiality by Compliance Requirement Matrix Planning Federal Materiality by Compliance Requirement See Footnotes 1-6 the matrix table for further explanation, in particular, review note 6 which discusses tailoring the matrix assessments. (1) (2) (6) (6) (3) (4) (5) (5) (6) Compliance Requirement Applicable per Compl. Suppl. Direct & material to program / entity Monetary or nonmonetary If monetary, population subject to require. Inherent risk (IR) assess. Final control risk (CR) assess. Detection risk of noncompl. Overall audit risk of noncompl. Federal materiality by compl. requirement (Yes or No) (Yes or No) (M/N) (Dollars) (High/Low) (High/Low) (High/Low) (High/Low) typically 5% of population subject to requirement A Activities Allowed or Unallowed Yes M 5% B Allowable Costs/Cost Principles Yes M 5% C Cash Management Yes N 5% D RESERVED E Eligibility No F Equipment & Real Property Mgmt Yes M 5% G Matching, Level of Effort, Earmark Yes M 5% H Period of Availability (Performance) Yes M 5% I Procurement & Sus. & Debarment Yes N 5% J Program Income Yes M 5% K RESERVED L Reporting Yes N 5% M Subrecipient Monitoring No N Special Tests & Provisions - Wage Rate Requirement Yes N 5% N Special & Provisions – Environmental Oversight Yes N 5% N Special & Provisions – Environmental Reviews Yes N 5% N Special Tests & Provisions – Citizen Participation Yes N 5% N Special Tests & Provisions – Rehabilitation Using NSP Funds Yes N 5%
UG%20FACCR_14228_CDBG_State_Program_2016_IPAv_Final_Mar2017.docx