    [Public Papers of the Presidents of the United States: William J. Clinton (1996, Book II)]
    [July 5, 1996]
    [Page 1079]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Statement on Signing the Single Audit Act Amendments of 1996
    July 5, 1996

        Today I have signed into law S. 1579, the ``Single Audit Act
    Amendments of 1996.'' This Act will help make Government work better by
    reducing the burden and cost of Federal audit requirements on State and
    local governments and nonprofit organizations.
        The Single Audit Act of 1984 replaced multiple grant-by-grant audits
    with a single annual or biennial audit process for State and local
    governments that receive Federal assistance. S. 1579 builds on and
    improves upon the 1984 Act in several ways.
        First, it will help save millions of dollars by reducing the need
    for costly audits without reducing essential Federal oversight. The
    threshold that triggers an audit requirement will be raised from $25,000
    to $300,000. This preserves audit coverage for 95 percent of Federal
    assistance.
        Second, the bill will reduce the audit burden for well-managed
    entities. Nonprofits and State and local governments that have put into
    operation management controls that assure the proper use of Federal
    assistance will be subject to less burdensome audit requirements.
        Third, S. 1579 will improve the oversight of Federal assistance
    programs, totaling over $250 billion annually, by focusing on the
    programs presenting the greatest financial risks to Government. Placing
    greater emphasis on program risks will ensure that Federal assistance is
    being used properly, while also ensuring the most effective use of
    Federal audit resources.
        My Administration was actively involved in the development of this
    legislation, and strongly supported its passage. I am pleased to sign
    this important legislation.

                                                          William J. Clinton

    The White House,

    July 5, 1996.

    Note: S. 1579, approved July 5, was assigned Public Law No. 104-156.