Okaloosa County BOCC — November 1, 2016 — EXHIBIT D Special Audit Requirement — reading text

EXHIBIT D Special Audit Requirement The administration of resources awarded by Okaloosa County or further referenced as “County” to the Okaloosa Community Development Corporation or further referenced as “Subrecipient” may be subject to audits and/or monitoring by Okaloosa County as described in this section. MONITORING In addition to reviews of audits conducted in accordance with OMB Circular A-133 and Section 215.97, F.S., as revised (see “AUDITS” below), monitoring procedures may include, but not be limited to, on-site visits by County staff, limited scope audits as defined by OMB Circular A-133, as revised, and/or other procedures. By entering into this agreement, the subrecipient agrees to comply and cooperate with any monitoring procedures/processes deemed appropriate by the County. In the event the County determines that a limited scope audit of the subrecipient is appropriate, the subrecipient agrees to comply with any additional instructions provided by the County staff to the subrecipient regarding such audit. The subrecipient further agrees to comply and cooperate with any inspections, reviews, investigations, or audits deemed necessary by the Chief Financial Officer (CFO) or Auditor General. AUDITS PART I: FEDERALLY FUNDED This part is applicable if the subrecipient is a State or local government or a non-profit organization as defined in OMB Circular A-133, as revised. 1. In the event that the subrecipient expends $500,000 or more in Federal awards in its fiscal year, the subrecipient must have a single or program-specific audit conducted in accordance with the provisions of OMB Circular A-133, as revised. EXHIBIT 1 to this agreement indicates Federal resources awarded through the County by this agreement. In determining the Federal awards expended in its fiscal year, the subrecipient shall consider all sources of Federal awards, including Federal resources received from the County. The determination of amounts of Federal awards expended should be in accordance with the guidelines established by OMB Circular A-133, as revised. An audit of the subrecipient conducted by the Auditor General in accordance with the provisions OMB Circular A-133, as revised, will meet the requirements of this part. 2. In connection with the audit requirements addressed in Part I, paragraph 1, the subrecipient shall fulfill the requirements relative to auditee responsibilities as provided in Subpart C of OMB Circular A-133, as revised. 3. If the subrecipient expends less than $500,000 in Federal awards in its fiscal year, an audit conducted in accordance with the provisions of OMB Circular A-133, as revised, is not required. In the event that the subrecipient expends less than $500,000 in Federal awards in its fiscal year and elects to have an audit conducted in accordance with the provisions of OMB Circular A-133, as revised, the cost of the audit must be paid from non-Federal resources (i.e., the cost of such an audit must be paid from subrecipient resources obtained from other than Federal entities). 4. The subrecipient may access information regarding the Catalog of Federal Domestic Assistance (CFDA) via the internet at http://12.46.245.173/cfda/cfda.html. PART II: STATE FUNDED This part is applicable if the subrecipient is a nonstate entity as defined by Section 215.97(2), Florida Statutes. 1. In the event that the subrecipient expends a total amount of state financial assistance equal to or in excess of $500,000 in any fiscal year of such subrecipient the subrecipient must have a State single or project-specific audit for such fiscal year in accordance with Section 215.97, Florida Statutes; applicable rules of the Department of Financial Services; and Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for-profit organizations), Rules of the Auditor General. EXHIBIT 1 to this agreement indicates state financial assistance awarded through the County by this agreement. In determining the state financial assistance expended in its fiscal year, the subrecipient shall consider all sources of state financial assistance, including state financial assistance received from the County, other state agencies, and other nonstate entities. State financial assistance does not include Federal direct or pass- through awards and resources received by a nonstate entity for Federal program matching requirements. 2. In connection with the audit requirements addressed in Part II, paragraph 1, the subrecipient shall ensure that the audit complies with the requirements of Section 215.97(8), Florida Statutes. This includes submission of a financial reporting package as defined by Section 215.97(2), Florida Statutes, and Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for-profit organizations), Rules of the Auditor General. 3. If the subrecipient expends less than $500,000 in state financial assistance in its fiscal year, an audit conducted in accordance with the provisions of Section 215.97, Florida Statutes, is not required. In the event that the subrecipient expends less than $500,000 in state financial assistance in its fiscal year and elects to have an audit conducted in accordance with the provisions of Section 215.97, Florida Statutes, the cost of the audit must be paid from the nonstate entity’s resources (i.e., the cost of such an audit must be paid from the subrecipient’s resources obtained from other than State entities). 4. For information regarding the Florida Catalog of State Financial Assistance (CSFA), a subrecipient should access the Florida Single Audit Act website located at http://www.leg.state.fl.us/Welcom/index.cfm, State of Florida’s website at http://www.myflorida.com/, Department of Financial Services’ Website at http://fldfs.com/ and the Auditor General’s Website at http://www.stte.fl.us/audgen. PART III: OTHER AUDIT REQUIREMENTS (NOTE: This part would be used to specify any additional audit requirements imposed by the State awarding entity that are solely a matter of that State awarding entity’s policy (i.e., the audit is not required by Federal or State laws and is not in conflict with other Federal or State audit requirements). Pursuant to Section 215.97(8), Florida Statutes, State agencies may conduct or arrange for audits of state financial assistance that are in addition to audits conducted in accordance with Section 215.97, Florida Statutes. In such an event, the State awarding agency must arrange for funding the full cost of such additional audits.) PART IV: REPORT SUBMISSION 1. Copies of reporting packages for audits conducted in accordance with OMB Circular A-133, as revised, and required by PART I of this agreement shall be submitted, when required by Section .320 (d), OMB Circular A-133, as revised, by or on behalf of the subrecipient directly to each of the following: A. The County at the following address: Contracts and Grants Manager Okaloosa County Clerk of Circuit Court 302 N Wilson Street, Suite 203 Crestview, FL 32536-3474 B. The Federal Audit Clearinghouse designated in OMB Circular A-133, as revised (the number of copies required by Sections .320 (d)(1) and (2), OMB Circular A-133, as revised, should be submitted to the Federal Audit Clearinghouse), at the following address: Federal Audit Clearinghouse Bureau of the Census 1201 East 10th Street Jeffersonville, IN 47132 C. Other Federal agencies and pass-through entities in accordance with Sections .320 (e) and (f), OMB Circular A-133, as revised. 2. Pursuant to Section .320 (f), OMB Circular A-133, as revised, the subrecipient shall submit a copy of the reporting package described in Section .320 (c), OMB Circular A-133, as revised, and any management letter issued by the auditor, to the County at each of the following addresses: Abra McGill, Grant Specialist DFS-A2-CL 2 July 2005 Rule 69I-5.006, FAC  Okaloosa County Growth Management Department 1250 N Eglin Pkwy, Suite 301 Shalimar, FL 32579 Contracts and Grants Manager Okaloosa County Clerk of Circuit Court 302 N Wilson Street, Suite 203 Crestview, FL 32536-3474 3. Copies of financial reporting packages required by PART II of this agreement shall be submitted by or on behalf of the subrecipient directly to each of the following: A. The Auditor General’s Office at the following address: Auditor General’s Office Room 401, Pepper Building 111 West Madison Street Tallahassee, Florida 32399-1450 4. Copies of reports or the management letter required by PART III of this agreement shall be submitted by or on behalf of the subrecipient directly to: A. The County at each of the following addresses: Abra McGill, Grant Specialist Okaloosa County Growth Management Department 1250 N Eglin Pkwy, Suite 301 Shalimar, FL 32579 Contracts and Grants Manager Okaloosa County Clerk of Circuit Court 302 N Wilson Street, Suite 203 Crestview, FL 32536-3474 5. Any reports, management letter, or other information required to be submitted to the County pursuant to this agreement shall be submitted timely in accordance with OMB Circular A-133, Florida Statutes, and Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for-profit organizations), Rules of the Auditor General, as applicable. 6. Subrecipients, when submitting financial reporting packages to the County for audits done in accordance with OMB Circular A-133 or Chapters 10.550 (local governmental entities) or 10.650 (nonprofit and for-profit organizations), Rules of the Auditor General, should indicate the date that the reporting package was delivered to the subrecipient in correspondence accompanying the reporting package. PART V: RECORD RETENTION 1. The subrecipient shall retain sufficient records demonstrating its compliance with the terms of this agreement for a period five (5) years from the date the audit report is issued, and shall allow the County or its designee, CFO, or Auditor General access to such records upon request. The subrecipient shall ensure that audit working papers are made available to the County or its designee, CFO, or Auditor General upon request for a period five (5) years from the date the audit report is issued, unless extended in writing by the County. DFS-A2-CL 3 July 2005 Rule 69I-5.006, FAC  EXHIBIT – 1 FEDERAL RESOURCES AWARDED TO THE SUBSUBRECIPIENT PURSUANT TO THIS AGREEMENT CONSIST OF THE FOLLOWING: NOTE: If the resources awarded to the subrecipient represent more than one Federal program,