Page:United States Statutes at Large Volume 96 Part 1.djvu/1071

 PUBLIC LAW 97-258—SEPT. 13, 1982

96 STAT. 1029

(b) The Secretary shall file with the court a record of the proceeding on which the Secretary based the action. The court may consider only objections to the action of the Secretary that were presented before the Secretary. (c) The court may affirm, change, or set aside any part of the action of the Secretary. The findings of fact by the Secretary are conclusive if supported by substantial evidence in the record. When a finding is not supported by substantial evidence in the record, the court may remand the case to the Secretary to take additional evidence. The Secretary may make new or modified findings and shall certify additional proceedings to the court. (d) A judgment of the court under this section may be reviewed only by the Supreme Court under section 1254 of title 28. 28 USC 1251 § 6723. Audits, investigations, and reviews (a)(1) Except as provided in this section, a State government or unit of general local government expecting to receive a payment under this chapter shall have an independent audit made of the financial statements of the government at least once every 3 years to determine compliance with this chapter. The audit shall be carried out under generally accepted auditing standards. (2) Paragraph (1) of this subsection does not apply to a government for a fiscal year in which the government receives less than $25,000 under this chapter. However, an audit of the financial statements of the government for that fiscal year that is required under State or local law is deemed to be compliance with paragraph (1). (3) An audit of financial statements of a government carried out under another law of the United States for a fiscal year is deemed to be compliance with paragraph (1) for that year when the audit substantially complies with the requirements of paragraph (1). (b)(1) A State government or unit of general local government may Waiver, elect to waive application of subsection (a)(1) of this section when— (A) the financial statements of the government are audited by independent auditors under State or local law at least once every 3 years; (B) the government certifies that the audit is carried out under generally accepted auditing standards; and (C) the auditing provisions of the State or local law are applicable to the entitlement period to which the waiver applies. (2) The election by the government shall include a brief description of the auditing standards used under the State or local law and specify the entitlement period to which the waiver applies. (c) Under regulations of the Secretary of the Treasury, the Secre- Waiver, tary may waive a requirement of subsections (a)(1) and (b) of this section for a State government or unit of general local government for a fiscal year when the Secretary decides that the financial statements of the government for the year— (1) cannot be audited, and the government shows substantial progress in making the statements auditable; or (2) have been audited by a State agency that does not follow generally accepted auditing standards or that is not independent, and the State agency shows progress in meeting generally accepted auditing standards or in becoming independent. (d) A series of audits carried out over a period of not more than 3 years covering the total amount in the financial accounts of a State

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