Proposed Revisions to Accounting Guide for LSC Recipients, 5351-5353 [2010-2160]
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Federal Register / Vol. 75, No. 21 / Tuesday, February 2, 2010 / Notices
APPENDIX—TAA PETITIONS INSTITUTED BETWEEN 12/7/09 AND 12/11/09
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TRW Automotive (Wkrs) .......................................................
Faurecia Exhaust Systems, Inc. (Comp) .............................
Apex Systems (s) .................................................................
Bruckner Supply Company, Inc. (Wkrs) ...............................
JM Producs, Inc. (State) .......................................................
Fujifilm (State) ......................................................................
Alfs Manufacturing Company (State) ...................................
Brown Corporation of America (Wkrs) .................................
Assurant Specialty Property (State) .....................................
Top Fashion 947, Inc. (Wkrs) ...............................................
Vaquero Services, Inc. (Wkrs) .............................................
Oce North America (Wkrs) ...................................................
Thyssenkrupp Presta Steering Group (State) ......................
Pilkington, North America (USW) .........................................
American Express (Wkrs) .....................................................
I-Level Weyerhaeuser Trucking Operation (State) ..............
Avaya (Wkrs) ........................................................................
Techline USA (Wkrs) ............................................................
Quality Logic, Inc. (Wkrs) .....................................................
Keewatin Taconite Plant, U.S. Steel Corporation (State) ....
Mohawk Flush Door (UBC) ..................................................
Vertafore, Inc. (Rep) .............................................................
United Southern (Wkrs) ........................................................
Maco, Inc. (Comp) ................................................................
Fabric Processing Center (FPC) (Comp) .............................
Homes Servicing (Wkrs) .......................................................
Spririt AeroSystems, Inc. (SPEEA) ......................................
Nuart, Inc. (Comp) ................................................................
Curtiss-Wright (Comp) ..........................................................
Lamjen, Inc. (Wkrs) ..............................................................
Honeywell International, Inc. (Comp) ...................................
Honeywell International, Inc. (Comp) ...................................
Harly-Davidson Motor Company (Comp) .............................
Honeywell International, Inc. (Comp) ...................................
Maggy London (Wkrs) ..........................................................
Bank of America (Wkrs) .......................................................
Hoerbiger Drivetech USA, Inc. (Comp) ................................
Domtar Paper Company (Comp) .........................................
Nortel (Wkrs) ........................................................................
Slash Support (Comp) ..........................................................
Grede Foundries. Inc., Vassar Foundry (Wkrs) ...................
Allen Edmonds (Wkrs) ..........................................................
Oakley Industries (Union) .....................................................
Arvin Meritor (Union) ............................................................
Android Industries (Union) ....................................................
Ventra Belvidere, LLC (Union) .............................................
Johnson Controles (Union) ...................................................
ABB, Inc. (Wkrs) ...................................................................
TRI–DIM Filter Corp. (Union) ...............................................
Grupo Antolin (Union) ...........................................................
HSBC (Wkrs) ........................................................................
Leviton Manufacturing Company (Wkrs) ..............................
ATK Space Systems (Wkrs) .................................................
Paramount Pictures Corporation (Wkrs) ..............................
Galesville, WI ........................
Troy, OH ...............................
Denver, CO ...........................
Port Washington, NY ............
Little Rock, AR ......................
Valhalla, NY ..........................
Sioux City, IA ........................
Ionia, MI ................................
Orange, CA ...........................
Brooklyn, NY .........................
Godley, TX ............................
Trumbull, CT .........................
Ladson, SC ...........................
Lathrop, CA ...........................
Salt Lake City, UT .................
Albany, OR ............................
Coppell, TX ...........................
Waunakee, WI ......................
Boise, ID ...............................
Keewatin, MN ........................
South Bend, IN .....................
Bothell, WA ...........................
Forest City, NC .....................
Shelby, NC ............................
Florence, SC .........................
Boone, NC ............................
Wichita, KS ...........................
Bedford Park, IL ....................
Long Beach, CA ....................
Erie, PA .................................
Spring Valley, IL ....................
Pawtucket, RI ........................
York, PA ................................
Springfield, IL ........................
New York, NY .......................
Concord, CA .........................
Auburn, AL ............................
Plymouth, NC ........................
Research Triangle Park, NC
South Jordan, UT ..................
Vassar, MI .............................
Lewiston, ME ........................
Belvidere, IL ..........................
Belvidere, IL ..........................
Belvidere, IL ..........................
Belvidere, IL ..........................
Sycamore, IL .........................
Auburn Hills, MI ....................
Belvidere, IL ..........................
Belvidere, IL ..........................
Elmhurst, IL ...........................
West Jefferson, NC ...............
Corinne, UT ...........................
Hollywood, CA ......................
[FR Doc. 2010–2099 Filed 2–1–10; 8:45 am]
mstockstill on DSKH9S0YB1PROD with NOTICES
BILLING CODE 4510–FN–P
LEGAL SERVICES CORPORATION
Proposed Revisions to Accounting
Guide for LSC Recipients
Legal Services Corporation.
Notice and Request for
Comments.
AGENCY:
ACTION:
VerDate Nov<24>2008
Date of
institution
Subject firm (petitioners)
16:52 Feb 01, 2010
Jkt 220001
SUMMARY: The Legal Services
Corporation (‘‘LSC’’) intends to revise
the Accounting Guide for LSC
Recipients to reflect changes that have
occurred since the last publication of
the Accounting Guide in 1997 and is
soliciting public comment on the
proposed changes. The proposed
revisions incorporate: (1) New internal
control provisions for electronic
banking transactions; (2) financial
oversight concepts from the Sarbanes
PO 00000
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Date of
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Oxley Act of 2002; (3) references to the
accounting standards codification by the
Financial Standards Accounting Board
(FASB) released on July 1, 2009; (4) key
practices to enhance fraud prevention;
(5) provisions in other LSC policies,
including the LSC Property Acquisition
and Management Manual and LSC
Program Letters; (6) revisions to
accounting procedures and internal
controls to reflect current best practices;
(7) updated and new references to other
E:\FR\FM\02FEN1.SGM
02FEN1
mstockstill on DSKH9S0YB1PROD with NOTICES
5352
Federal Register / Vol. 75, No. 21 / Tuesday, February 2, 2010 / Notices
sources of information; and (8) other
changes to clarify existing provisions.
The proposed revisions to the
Accounting Guide for LSC Recipients
(2010 edition), in redline format
indicating the proposed changes to the
current Accounting Guide (1997), can be
located by accessing LSC’s Web site at
https://www.lsc.gov/pdfs/
proposed_revisions_to_accounting
_guide_for_lsc_recipients.pdf.
DATES: Please submit comments by
March 19, 2010.
ADDRESSES: Interested persons are
invited to submit written comments on
the proposed revisions to the
Accounting Guide for LSC Recipients
(2010 edition) by mail, fax or e-mail to
Chuck Greenfield, Program Counsel,
Legal Services Corporation, 3333 K St.,
NW., Washington, DC 20007; 202–295–
1549 (phone); 202–337–6813 (fax); or
AccountingGuide@lsc.gov (e-mail).
FOR FURTHER INFORMATION CONTACT:
Chuck Greenfield, Program Counsel,
Legal Services Corporation, 3333 K St.,
NW., Washington, DC 20007;
greenfieldc@lsc.gov (e-mail), (212) 295–
1549 (phone) or (212) 337–6813 (fax).
SUPPLEMENTARY INFORMATION: Under the
Legal Services Corporation Act, as
amended, LSC ‘‘is authorized to require
such reports as it deems necessary from
any recipient, contractor or person or
entity receiving assistance’’ 42 U.S.C.
2996g(a). LSC is also ‘‘authorized to
prescribe the keeping of records with
respect to funds provided by grant or
contract and shall have access to such
records’’ 42 U.S.C. 2996g(b). Further,
LSC ‘‘shall conduct or require each
recipient, contractor, person or entity
receiving financial assistance * * * to
provide for an annual financial audit.’’
42 U.S.C. 2996h(c)(1). In addition,
‘‘funds received by any recipient from a
source other than the Corporation * * *
shall be accounted for and reported as
receipts and disbursements separate and
district from Federal funds’’ 42 U.S.C.
2996i(c).
Under authority of the Legal Services
Corporation Act, LSC published the
Accounting Guide for LSC Recipients.
The Guide sets forth LSC’s accounting,
financial management and reporting
guidelines. In general, LSC requires
recipients and subrecipients of its
funding to: (1) manage LSC and nonLSC funds in a stewardship manner and
pursuant to the cost standards and
procedures of 45 CFR 1630; and (2)
record transactions in accounting
records and prepare annual financial
statements in accordance with generally
accepted accounting principles (GAAP).
The current version of the Accounting
Guide was last updated in 1997.
VerDate Nov<24>2008
16:52 Feb 01, 2010
Jkt 220001
In an effort to update the Accounting
Guide to reflect more current accounting
and financial oversight practices, as
well as to respond to grantee financial
issues mentioned in a Government
Accountability Office (GAO) report, and
as a result of the recommendations of
the LSC Fiscal Advisory Group, LSC
developed a number of proposed
revisions to the Guide. The revisions are
in the following eight categories:
(1) New internal control provisions for
electronic banking transactions. The
current Accounting Guide does not
discuss in detail electronic banking.
Electronic banking arrangements and
transactions are now common. Many
recipients of LSC funding conduct a
significant portion of their financial
transactions electronically. LSC itself
transmits funds electronically to all
recipients. The proposed revisions add
a new section on electronic banking to
the Fundamental Criteria and include
sections on the authorization process for
electronic banking activities, the
authorization process for employees that
initiate and transmit electronic fund
transactions, review and approval
procedures for electronic banking
transactions, supporting documentation
for electronic banking transactions,
recording electronic banking
transactions in the general ledger, bank
reconciliations and safeguards. Section
3–5.15. New sections on electronic
transactions have also been added to the
Accounting Procedures and Internal
Control Checklist in Appendix VII.
Sections G2, G3, and M of Appendix
VII.
(2) Financial oversight concepts from
the Sarbanes Oxley Act of 2002. While
only limited provisions of the Sarbanes
Oxley Act of 2002 are required of non
profit corporations, LSC has determined
that certain financial oversight concepts
found in Sarbanes Oxley are appropriate
for recipients of LSC funds. An example
is the current Accounting Guide
requirement that recipients of LSC
funds have a financial oversight
committee of their board of directors,
but not a separate audit committee. The
proposed revisions require that
recipients must have a financial
oversight committee that engages in all
the activities of an audit committee,
including: hiring the auditor; setting the
auditor’s compensation; overseeing the
auditor’s activities; setting rules and
processes for complaints about
accounting practices and internal
control practices; reviewing the annual
IRS Form 990 for completeness,
accuracy, and on-time filing; providing
assurances of compliance to the full
board; risk assessment; governance; and
ethics reviews. Section 1–7. In addition,
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the proposed revisions consider it a best
practice for the board of directors to
have an audit committee separate from
the finance committee and for the board
to have at least one member who is a
financial expert or for the board to have
access to a financial expert. Section 1–
7. It should be noted the LSC Board of
Directors at its January 30, 2010 meeting
will consider the possibility of engaging
in rulemaking to require recipients to
have separate audit committees on their
board of directors. Should there be a
regulatory change requiring recipients to
have a separate audit committee, there
would be a subsequent change to
section 1–7 (Responsibilities of the
Financial Oversight Committee or
Committees) of the Accounting Guide
(2010 edition.)
(3) References to the accounting
standards codification by the Financial
Standards Accounting Board (FASB).
FASB released a new codification of its
accounting standards on July 1, 2009.
The standards, an authoritative listing of
generally accepted accounting
principles (GAAP), are referred to in
numerous sections of the Accounting
Guide. All references to the accounting
standards in the Accounting Guide have
been updated and new references have
been inserted to reflect new section
numbers in the FASB accounting
standards codification.
(4) Key practices to enhance fraud
prevention. While the current
Accounting Guide lists the elements of
an adequate accounting and financial
reporting system, including the use of
specific internal controls and risk
assessment, there is no separate section
on fraud prevention. The proposed
revisions add a fraud prevention section
that details key practices to help prevent
fraud. Section 3–6.
(5) Provisions in other LSC policies,
including the LSC Property Acquisition
and Management Manual and LSC
Program Letters. Subsequent to the
publication of the Accounting Guide in
1997, LSC issued other guidelines for
recipients of LSC funds that impact on
the Accounting Guide. For example, the
LSC Property Acquisition and
Management Manual (PAMM), issued in
2001, requires recipients to capitalize
and depreciate all nonexpendable
property with a cost in excess of $5,000
and a useful life of more than one year.
However, the current Accounting Guide
uses $1,000 as the capitalization and
depreciation threshold. The proposed
revisions to the Accounting Guide
change the threshold to $5,000 to be
consistent with the PAAM. Appendix
IV, Section 1. In addition, LSC has
issued Program Letters 08–2 (March 20,
2008), 08–3 (December 18, 2008) and
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Federal Register / Vol. 75, No. 21 / Tuesday, February 2, 2010 / Notices
09–3 (December 17, 2009) that contain
guidance to recipients on compliance
and fiscal management issues. Those
Program Letters have been referenced in
the proposed revisions to the
Accounting Guide. Section 2–3.1. Also,
the LSC Board of Directors at its January
30, 2010 meeting will consider the
possibility of engaging in rulemaking to
modify or eliminate 45 CFR Part 1642
(attorneys’ fees) to reflect changes
contained in the Consolidated
Appropriations Act of 2010, P.L. 111–
117. Should there be a regulatory
change to 45 CFR Part 1642 there would
be a subsequent change to section 2–2.6
(Court-Awarded Attorney Fees) of the
Accounting Guide (2010 edition.)
(6) Revisions to accounting
procedures and internal controls to
reflect current best practices. Appendix
VII of the current Accounting Guide
(1997) contains a checklist of
accounting procedures and internal
controls. The proposed revisions update
the checklist to reflect current best
practices.
(7) Updated and new references to
other sources of information. The
Accounting Guide (1997) contains
numerous references to other sources of
information. The proposed revisions
update and make new references where
appropriate.
(8) Other changes to clarify existing
provisions. The proposed revisions
clarify existing sections to make the
provisions easier to understand.
LSC invites public comment on the
proposed revisions to the Accounting
Guide. Interested parties may submit
comments to LSC by March 19, 2010.
The proposed revisions to the
Accounting Guide for LSC Recipients
(2010 edition), in redline format
indicating the proposed changes to the
current Accounting Guide (1997), can be
located by accessing LSC’s Web site at
https://www.lsc.gov/pdfs/
proposed_revisions_to_accounting
_guide_for_lsc_recipients.pdf.
Dated: January 27, 2010.
Mattie Cohan,
Senior Assistant General Counsel, Legal
Services Corporation.
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Sunshine Act Meeting
mstockstill on DSKH9S0YB1PROD with NOTICES
NATIONAL SCIENCE FOUNDATION
Proposal Review Panel for Chemistry;
Notice of Meeting
In accordance with the Federal
Advisory Committee Act (Pub. L. 92–
463 as amended), the National Science
Foundation announces the following
meeting:
16:52 Feb 01, 2010
Jkt 220001
Dated: January 28, 2010.
Susanne Bolton,
Committee Management Officer.
[FR Doc. 2010–2113 Filed 2–1–10; 8:45 am]
[FR Doc. 2010–2160 Filed 2–1–10; 8:45 am]
VerDate Nov<24>2008
Name: Site visit of the Centers for
Chemical Innovation (CCI) at The Georgia
Institute of Technology and The University of
Massachusetts, Proposal Review Panel for
Chemistry (#1191).
Dates and Times:
March 8, 2010; 6 p.m.–9 p.m.
March 9, 2010; 8 a.m.–3:30 p.m.
March 10, 2010; 8 a.m.–8 p.m.
Places: Department of Chemistry, Georgia
Institute of Technology, Atlanta, GA 30332.
Department of Chemistry, The University
of Massachusetts, Amherst, MA 01002.
Type of Meeting: Part-open.
Contact Person: Dr. William Brittain,
Program Director, Chemistry Centers
Program, Division of Materials Research,
Room 1055, National Science Foundation,
4201 Wilson Boulevard, Arlington, VA
22230, Telephone (703) 292–5039.
Purpose of Meeting: To provide advice and
recommendations concerning Phase II
funding.
Agenda: Monday, March 8, 2010 (Atlanta,
GA).
6 p.m.–7 p.m. Closed—Panel Briefing.
7 p.m.–9 p.m. Open—Dinner.
Tuesday, March 9, 2010 (Atlanta, GA).
8:30 a.m.–12 p.m. Open—CCI Presentation.
12 p.m.–1:30 p.m. Closed—Executive
Session/Lunch.
1:30 p.m.–2:30 p.m. Open—CCI Presentation.
2:30 p.m.–3:30 p.m. Closed—Executive
Session.
Wednesday, March 10, 2010 (Amherst,
MA).
8:30 a.m.–12 p.m. Open—CCI Presentation.
12 p.m.–1:30 p.m. Closed—Executive
Session/Lunch.
1:30 p.m.–2:30 p.m. Open—CCI Presentation.
2:30 p.m.–3:30 p.m. Closed—Executive
Session.
4:30 p.m.–8:30 p.m. Closed—Executive
Session.
Reason for Closing: The work being
reviewed may include information of a
proprietary or confidential nature, including
technical information; financial data, such as
salaries and personal information concerning
individuals associated with the proposals.
These matters are exempt under 5 U.S.C. 552
b(c), (4) and (6) of the Government in the
Sunshine Act.
TIME AND DATE: 9:30 a.m., Thursday,
February 18, 2010.
PLACE: NTSB Conference Center, 429
L’Enfant Plaza, SW., Washington, DC
20594.
STATUS: The One item is open to the
public.
MATTER TO BE CONSIDERED:
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Individuals requesting specific
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Friday, February 12, 2010.
The public may view the meeting via
a live or archived webcast by accessing
a link under ‘‘News & Events’’ on the
NTSB home page at https://
www.ntsb.gov.
FOR FURTHER INFORMATION CONTACT:
Candi Bing, (202) 314–6403.
Dated: January 29, 2010.
Candi R. Bing,
Federal Register Liaison Officer.
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E:\FR\FM\02FEN1.SGM
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Agencies
[Federal Register Volume 75, Number 21 (Tuesday, February 2, 2010)]
[Notices]
[Pages 5351-5353]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-2160]
=======================================================================
-----------------------------------------------------------------------
LEGAL SERVICES CORPORATION
Proposed Revisions to Accounting Guide for LSC Recipients
AGENCY: Legal Services Corporation.
ACTION: Notice and Request for Comments.
-----------------------------------------------------------------------
SUMMARY: The Legal Services Corporation (``LSC'') intends to revise the
Accounting Guide for LSC Recipients to reflect changes that have
occurred since the last publication of the Accounting Guide in 1997 and
is soliciting public comment on the proposed changes. The proposed
revisions incorporate: (1) New internal control provisions for
electronic banking transactions; (2) financial oversight concepts from
the Sarbanes Oxley Act of 2002; (3) references to the accounting
standards codification by the Financial Standards Accounting Board
(FASB) released on July 1, 2009; (4) key practices to enhance fraud
prevention; (5) provisions in other LSC policies, including the LSC
Property Acquisition and Management Manual and LSC Program Letters; (6)
revisions to accounting procedures and internal controls to reflect
current best practices; (7) updated and new references to other
[[Page 5352]]
sources of information; and (8) other changes to clarify existing
provisions. The proposed revisions to the Accounting Guide for LSC
Recipients (2010 edition), in redline format indicating the proposed
changes to the current Accounting Guide (1997), can be located by
accessing LSC's Web site at https://www.lsc.gov/pdfs/proposed_revisions_to_accounting_guide_for_lsc_recipients.pdf.
DATES: Please submit comments by March 19, 2010.
ADDRESSES: Interested persons are invited to submit written comments on
the proposed revisions to the Accounting Guide for LSC Recipients (2010
edition) by mail, fax or e-mail to Chuck Greenfield, Program Counsel,
Legal Services Corporation, 3333 K St., NW., Washington, DC 20007; 202-
295-1549 (phone); 202-337-6813 (fax); or AccountingGuide@lsc.gov (e-
mail).
FOR FURTHER INFORMATION CONTACT: Chuck Greenfield, Program Counsel,
Legal Services Corporation, 3333 K St., NW., Washington, DC 20007;
greenfieldc@lsc.gov (e-mail), (212) 295-1549 (phone) or (212) 337-6813
(fax).
SUPPLEMENTARY INFORMATION: Under the Legal Services Corporation Act, as
amended, LSC ``is authorized to require such reports as it deems
necessary from any recipient, contractor or person or entity receiving
assistance'' 42 U.S.C. 2996g(a). LSC is also ``authorized to prescribe
the keeping of records with respect to funds provided by grant or
contract and shall have access to such records'' 42 U.S.C. 2996g(b).
Further, LSC ``shall conduct or require each recipient, contractor,
person or entity receiving financial assistance * * * to provide for an
annual financial audit.'' 42 U.S.C. 2996h(c)(1). In addition, ``funds
received by any recipient from a source other than the Corporation * *
* shall be accounted for and reported as receipts and disbursements
separate and district from Federal funds'' 42 U.S.C. 2996i(c).
Under authority of the Legal Services Corporation Act, LSC
published the Accounting Guide for LSC Recipients. The Guide sets forth
LSC's accounting, financial management and reporting guidelines. In
general, LSC requires recipients and subrecipients of its funding to:
(1) manage LSC and non-LSC funds in a stewardship manner and pursuant
to the cost standards and procedures of 45 CFR 1630; and (2) record
transactions in accounting records and prepare annual financial
statements in accordance with generally accepted accounting principles
(GAAP). The current version of the Accounting Guide was last updated in
1997.
In an effort to update the Accounting Guide to reflect more current
accounting and financial oversight practices, as well as to respond to
grantee financial issues mentioned in a Government Accountability
Office (GAO) report, and as a result of the recommendations of the LSC
Fiscal Advisory Group, LSC developed a number of proposed revisions to
the Guide. The revisions are in the following eight categories:
(1) New internal control provisions for electronic banking
transactions. The current Accounting Guide does not discuss in detail
electronic banking. Electronic banking arrangements and transactions
are now common. Many recipients of LSC funding conduct a significant
portion of their financial transactions electronically. LSC itself
transmits funds electronically to all recipients. The proposed
revisions add a new section on electronic banking to the Fundamental
Criteria and include sections on the authorization process for
electronic banking activities, the authorization process for employees
that initiate and transmit electronic fund transactions, review and
approval procedures for electronic banking transactions, supporting
documentation for electronic banking transactions, recording electronic
banking transactions in the general ledger, bank reconciliations and
safeguards. Section 3-5.15. New sections on electronic transactions
have also been added to the Accounting Procedures and Internal Control
Checklist in Appendix VII. Sections G2, G3, and M of Appendix VII.
(2) Financial oversight concepts from the Sarbanes Oxley Act of
2002. While only limited provisions of the Sarbanes Oxley Act of 2002
are required of non profit corporations, LSC has determined that
certain financial oversight concepts found in Sarbanes Oxley are
appropriate for recipients of LSC funds. An example is the current
Accounting Guide requirement that recipients of LSC funds have a
financial oversight committee of their board of directors, but not a
separate audit committee. The proposed revisions require that
recipients must have a financial oversight committee that engages in
all the activities of an audit committee, including: hiring the
auditor; setting the auditor's compensation; overseeing the auditor's
activities; setting rules and processes for complaints about accounting
practices and internal control practices; reviewing the annual IRS Form
990 for completeness, accuracy, and on-time filing; providing
assurances of compliance to the full board; risk assessment;
governance; and ethics reviews. Section 1-7. In addition, the proposed
revisions consider it a best practice for the board of directors to
have an audit committee separate from the finance committee and for the
board to have at least one member who is a financial expert or for the
board to have access to a financial expert. Section 1-7. It should be
noted the LSC Board of Directors at its January 30, 2010 meeting will
consider the possibility of engaging in rulemaking to require
recipients to have separate audit committees on their board of
directors. Should there be a regulatory change requiring recipients to
have a separate audit committee, there would be a subsequent change to
section 1-7 (Responsibilities of the Financial Oversight Committee or
Committees) of the Accounting Guide (2010 edition.)
(3) References to the accounting standards codification by the
Financial Standards Accounting Board (FASB). FASB released a new
codification of its accounting standards on July 1, 2009. The
standards, an authoritative listing of generally accepted accounting
principles (GAAP), are referred to in numerous sections of the
Accounting Guide. All references to the accounting standards in the
Accounting Guide have been updated and new references have been
inserted to reflect new section numbers in the FASB accounting
standards codification.
(4) Key practices to enhance fraud prevention. While the current
Accounting Guide lists the elements of an adequate accounting and
financial reporting system, including the use of specific internal
controls and risk assessment, there is no separate section on fraud
prevention. The proposed revisions add a fraud prevention section that
details key practices to help prevent fraud. Section 3-6.
(5) Provisions in other LSC policies, including the LSC Property
Acquisition and Management Manual and LSC Program Letters. Subsequent
to the publication of the Accounting Guide in 1997, LSC issued other
guidelines for recipients of LSC funds that impact on the Accounting
Guide. For example, the LSC Property Acquisition and Management Manual
(PAMM), issued in 2001, requires recipients to capitalize and
depreciate all nonexpendable property with a cost in excess of $5,000
and a useful life of more than one year. However, the current
Accounting Guide uses $1,000 as the capitalization and depreciation
threshold. The proposed revisions to the Accounting Guide change the
threshold to $5,000 to be consistent with the PAAM. Appendix IV,
Section 1. In addition, LSC has issued Program Letters 08-2 (March 20,
2008), 08-3 (December 18, 2008) and
[[Page 5353]]
09-3 (December 17, 2009) that contain guidance to recipients on
compliance and fiscal management issues. Those Program Letters have
been referenced in the proposed revisions to the Accounting Guide.
Section 2-3.1. Also, the LSC Board of Directors at its January 30, 2010
meeting will consider the possibility of engaging in rulemaking to
modify or eliminate 45 CFR Part 1642 (attorneys' fees) to reflect
changes contained in the Consolidated Appropriations Act of 2010, P.L.
111-117. Should there be a regulatory change to 45 CFR Part 1642 there
would be a subsequent change to section 2-2.6 (Court-Awarded Attorney
Fees) of the Accounting Guide (2010 edition.)
(6) Revisions to accounting procedures and internal controls to
reflect current best practices. Appendix VII of the current Accounting
Guide (1997) contains a checklist of accounting procedures and internal
controls. The proposed revisions update the checklist to reflect
current best practices.
(7) Updated and new references to other sources of information. The
Accounting Guide (1997) contains numerous references to other sources
of information. The proposed revisions update and make new references
where appropriate.
(8) Other changes to clarify existing provisions. The proposed
revisions clarify existing sections to make the provisions easier to
understand.
LSC invites public comment on the proposed revisions to the
Accounting Guide. Interested parties may submit comments to LSC by
March 19, 2010. The proposed revisions to the Accounting Guide for LSC
Recipients (2010 edition), in redline format indicating the proposed
changes to the current Accounting Guide (1997), can be located by
accessing LSC's Web site at https://www.lsc.gov/pdfs/proposed_revisions_to_accounting_guide_for_lsc_recipients.pdf.
Dated: January 27, 2010.
Mattie Cohan,
Senior Assistant General Counsel, Legal Services Corporation.
[FR Doc. 2010-2160 Filed 2-1-10; 8:45 am]
BILLING CODE 7050-01-P