Name, Address, or Employer Identification Number Changes
Changes to your agency name, address, or employer identification number should be made through the program division that you receive funding from.
Funding from the California Department of Education
Child Care and Development
State and federal financial assistance received from the California Department of Education’s (CDE’s) Child Development Division.
Nutrition and Food Commodities
Federal financial assistance received from CDE’s Nutrition Services Division including:
- Food Commodities Federal Catalog Number 10.550
- School Breakfast Program Federal Catalog Number 10.553
- National School Lunch Program Federal Catalog Number 10.555
- Special Milk Program Federal Catalog Number 10.556
- Child Care Food Program Federal Catalog Number 10.558
- Adult Day Care Food Program Federal Catalog Number 10.558
- Summer Food Service Program Federal Catalog Number 10.559
Adult Education
Federal financial assistance received from CDE’s Adult Education Office includes:
- Adult Basic Education (ABE) Federal Catalog Number 84.002
- English as a Second Language (ESL) same as above
- Adult Secondary Education (ASE/GED) same as above
- Vocational Literacy (VESL/VABE) same as above
- Family Literacy (ABE/ESL) same as above
- ESL-Citizenship same as above
- English Literacy/Civics (El Civics Grant) same as above
No Child Left Behind
Any financial assistance under the No Child Left Behind Act.
Other
List any other sources of federal financial assistance.
Total Federal Financial Assistance
The term “federal financial assistance” means assistance provided by a federal agency in the form of grants, contracts, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance, or direct appropriations. On this form, federal financial assistance does not include federal cash assistance to individual persons.
To determine your organization’s annual total federal financial assistance, the following sources must be included (excluding Medicare, Medicaid, Medi-Cal, HUD, Section 8, and food stamps):
- Federal financial assistance from all funding sources during the fiscal year.
- Food Commodities received from CDE’s Food Distribution Division. The calculation of food commodities is determined according to the fair market value of all the commodities prepared on an organizational basis, not a site basis.
Audit Requirements
Your agency’s audit requirement is based on the funding you receive from CDE and your total annual federal and state financial assistance expended during the fiscal year. Completed audits should be sent to the Audits and Investigations Division (A&I). Agencies expending $500,000 or more of total federal financial assistance must submit their audits to the Federal Audit Clearinghouse and A&I. Use the tables below to find your audit requirement:
Total Federal and State Financial Assistance
Funding |
Nutrition and Commodities |
Child Care and Development |
Adult Education |
No Child Left Behind |
|---|---|---|---|---|
Less than $25,000 |
No CDE audit requirement |
Biennial Contractor Audit due on the 15th day of the 5th month following the agency's fiscal year end date |
No CDE audit requirement |
No CDE audit requirement |
$25,000 - $499,999 |
No CDE audit requirement |
Contractor Audit due on the 15th day of the 5th month following the agency's fiscal year end date |
No CDE audit requirement |
No CDE audit requirement |
Total Federal Financial Assistance
| Funding | Nutrition and Commodities |
Child Care and Development |
Adult Education |
No Child Left Behind |
|---|---|---|---|---|
| $500,000 or more | Single or Program-Specific Audit due 9 months following the agency’s fiscal year end date | Single Audit due on the 15th day of the 5th month following the agency's fiscal year end date |
Single or Program- Specific Audit due 6 months following the agency’s fiscal year end date |
Single or Program- Specific Audit due 9 months following the agency’s fiscal year end date |
Audit Types
Single Audit
An organization-wide audit of the entire legal entity including both the entity's financial statements and the federal awards, in accordance with Office of Management Budget (OMB) Circular A-133.
Program-Specific Audit
A financial and program compliance audit covering only one specific program, in accordance with OMB Circular A-133.
Contractor Audit
An independent financial and compliance audit of the organization, in accordance with Education Code, Section 8448 (g).
Additional Information
Additional information about audit requirements can be found on CDE’s Web site located at: cde.ca.gov/fg/au/pm/. Please send your Annual Audit Status Certification (AASC) form and audit report to:
California Department of Education
Audits & Investigations Division
1430 N Street, Suite 5319
Sacramento, CA 95814
Attention: Teresa Palomino
Instructions for submitting audits to the Federal Audit Clearinghouse are available on their Web site located at: http://harvester.census.gov/sac/ or by contacting them toll free at 800-253-0696.
Frequently Asked Questions
Must our organization complete and return the AASC form?
Yes. In accordance with Office of Management Budget (OMB) Circular A-133, the California Department of Education (CDE) is required to ensure that subrecipients expending $500,000 or more in total federal financial assistance during the subrecipients’ fiscal years have met the audit requirements for that fiscal year. Additionally, in accordance with California Education Code, Section 8448 (g), the CDE has the responsibility to obtain the required financial and compliance audits of subrecipients of child development funds. The AASC form assists the CDE in determining whether your organization must provide the Audits and Investigations Division (A&I) with a federal or state required audit report for the fiscal year.
Do I have to return this form if my organization no longer participates in Child Care and Development, Nutrition, Adult Education, or No Child Left Behind programs administered by CDE?
Yes. If your organization is no longer participating in the above CDE programs for reasons such as cancellation, termination, or voluntary discontinuation, you must still sign, date, and return the form with a notation stating the reason.
How do I complete the AASC form?
Instructions are included with the form to assist your organization in completing the form.
What does "federal and state financial assistance" mean?
"Federal and state financial assistance" is assistance provided by a federal and state agency in the form of grants, contracts, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance, or direct appropriations.
Are Women, Infants, and Children (WIC) program funds considered federal financial assistance?
Yes. Title 7 of the Code of Federal Regulations (CFR) Section 3016.3 defines a “subgrant” as “an award of financial assistance in the form of money, or property in lieu of money, made under a grant by a grantee to an eligible subgrantee.”
Are court-mandated funds paid to my agency for group home care considered federal financial assistance?
Yes. Court-mandated funds are considered federal financial assistance if paid to the agency but not if paid to a person.
Are Title IV-E Foster Care funds provided by the California Department of Health and Human Services (DHHS) considered federal financial assistance?
Yes. The DHHS determined that Title IV-E Foster Care funding is federal financial assistance. The California Department of Education will require agencies to include Title IV-E Foster Care funds in their calculation of total federal financial assistance expended when determining the type of annual audit that must be submitted to CDE.
How do I know what type of audit report I should submit to you?
The type of audit report you need to submit depends on the amount of federal and state financial assistance expenditures your agency received over the past fiscal year. For example, agencies expending $500,000 or more in federal financial assistance must submit an organization-wide audit (OWA) or a single audit report of the entire agency. Please see the Office of Management and Budget (OMB) Circular A-133, “Audits of States, Local Governments, and Non-Profit Organizations” or the Guide for Auditing Child Development, Nutrition, and Adult Education Programs for audit requirements.
What is the annual audit requirement for my agency?
Please see the Office of Management and Budget (OMB) Circular A-133, “Audits of States, Local Governments, and Non-Profit Organizations” or the Guide for Auditing Child Development, Nutrition, and Adult Education Programs for audit requirements.
Does a for-profit agency have to complete the AASC form and submit an audit report?
Yes. An AASC form must be completed and returned. An agency expending $500,000 or more in federal financial assistance during its fiscal year must submit an acceptable audit report to the A&I office. For-profit agencies receiving $25,000 or more in state funds must submit a contractor audit.
Can I submit a biennial audit?
For nutrition programs, a biennial audit is allowed only if the “auditee” had biennial audits for all biennial periods ending between July 1, 1992, and January 1, 1995. For child development programs, biennial audits may be submitted if your organization received federal or state child development funds of less than $25,000. For qualifying organizations, financial statements for both fiscal years must be included in the audit report.
If I submit my single audit to the Audits and Investigations Division, do I still have to submit an audit to the Federal Audit Clearinghouse?
Yes. According to OMB Circular A-133, all auditees must submit their audits to the Federal Audit Clearinghouse in addition to their pass-through entity (CDE). Instructions for submitting audits to the Federal Audit Clearinghouse are available on their Web site located at http://harvester.census.gov/sac/ or by contacting them toll free at
800-253-0696.
