Quality Control Review of Amtrak’s Single Audit for Fiscal Year 2015
Amtrak (the company) contracted with the independent certified public accounting firm of Ernst & Young LLP to audit its consolidated financial statements as of September 30, 2015, and for the year then ended, and to provide a report on internal control over financial reporting and compliance with laws and regulations and other matters. The contract also required Ernst & Young to perform a Single Audit of the company’s federal grants for the year ended September 30, 2015, in accordance with Office of Management and Budget (OMB) Circular A-133, Audits of States, Local Governments and Non-Profit Organizations. Because the company receives federal funding, it must obtain an audit performed in accordance with generally accepted government auditing standards. The objective of the Single Audit was to test internal control over compliance with major federal program requirements and determine whether the company complied with the laws, regulations, and provisions of contracts or grant agreements that may have a direct and material effect on its major federal programs.
Major federal programs are those with the largest grant fund expenditures determined using guidance in the OMB Circular A-133. In FY 2015, the company’s major federal program was Department of Transportation (DOT) National Railroad Passenger Corporation Grants.
As authorized by the Inspector General Act of 1978, we monitored the audit activities of Ernst & Young to help ensure audit quality and compliance with auditing standards. Our review disclosed no instances in which Ernst & Young did not comply, in all material respects, with generally accepted government auditing standards and OMB Circular A-133 requirements. The key aspects of Ernst & Young’s report are discussed below.