Answers to Frequently Asked Questions

An audit is an independent, objective examination to confirm the accuracy of something that has been reported. An audit can also identify ways to improve how something operates.

We audit a wide range of state-funded programs and services and examine how state funds are spent. Many of our audits are required by law. You can review our past audits in our audit center.

Yes! Our financial audits examine records and supporting documents to make sure the reported information is true and reliable. Our performance audits look for ways to make programs and services run more effectively and efficiently. We also perform other types of audits, but financial and performance audits are the bulk of our work.

More information is available on our audit bureaus webpage.

We offer an audit center where you can search through the thousands of audits we’ve completed. Use the search fields to narrow down or expand your results.

A management response allows the auditee to explain why issues or problems happened, and state whether they agree with our findings.

The auditor’s conclusion explains the “bottom line,” providing a summary that takes into account the audit’s objectives, findings, and the auditee’s management response.

While Article 4, Section 18 of the Pennsylvania Constitution defines the terms and election procedures by which a person may serve as Auditor General, many of the Department’s responsibilities are derived from the Fiscal Code. The Pennsylvania Fiscal Code is a law that is renewed each year along with the state budget that describes how budget dollars must be spent, and it provides guidelines for how the state’s fiscal watchdog (the Auditor General) must do their job.

Title 72, Section 401 of the Fiscal Code gives the Department the authority to audit all state revenue, including tax accounts, fines, or fee-collecting entities, which include licensing entities for dog licensing, driver licensing, and others. This includes non-state entities such as district magistrates or county clerks of courts, who collect fines and fees to be transmitted to the state.

Title 72, Section 402 of the Fiscal Code gives the Department the authority to audit state agency transactions after the money is spent, and also gives the Department the discretionary authority to conduct “special audits” when the Auditor General or the Governor believes it necessary.

Finally, Title 72, Section 403 of the Fiscal Code gives the Department the authority to audit any agency receiving state aid, which includes entities such as Volunteer Fire Relief Associations, municipal pension funds, and municipal liquid fuels accounts, which provide funds for maintenance of local roads and bridges.

Put simply, the Department has the authority to audit all state tax, fee, and fine dollars and the agencies that collect, use, or distribute them. The Fiscal Code reads that the Auditor General’s duty “shall be” to perform these audits, as a result, there is not a lot of wiggle room: over 95% of Department employees’ time and resources are spent conducting almost 4,000 required audits each year. The rest of the time is spent conducting the “special audits,” also known as performance audits, mentioned in Title 72, Section 402 of the Fiscal Code. Some examples of discretionary performance audits include audits of the Philadelphia Charter School Office, PennDOT’s bridge inspection procedures, and the Department of Human Services’ Low-Income Home Energy Assistance Program (LIHEAP).

Since the Fiscal Code only gives the Auditor General the authority to audit state agencies and state tax dollars, the Auditor General cannot audit federal or local government actions, private businesses, or nonprofits unless specifically authorized by law. Common requests for audits that fall into these categories include entities like townships and boroughs or local municipal authorities, and government spending such as federal stimulus money.

It is important to know that the Department is not a law enforcement agency. While the Department will sometimes discover and call attention to the misuse of state tax dollars, it is up to local law enforcement or the Attorney General to prosecute any suspected crime.

A finding explains what the auditor learned through the examination. A finding has five parts: 1) Condition: What is the issue or problem the auditor found? 2) Cause: Why did the issue or problem happen? 3) Criteria: What is our reason for flagging the issue or problem? 4) Effect: What’s the impact and why is it important? 5) Recommendation: How can the issue or problem be solved?

A noncompliance finding means that the auditee did not follow a relevant law, regulation, or standard.

A partial compliance finding means that the auditee partially followed a relevant law, regulation, or standard.

A repeated finding means that a problem or issue flagged by a past audit still existed when we looked again.

Auditor General DeFoor serves as Pennsylvania’s chief fiscal watchdog. He directs a team that performs audits to make sure state tax dollars are properly spent and not wasted or misused through fraud.

Learn more about Auditor General DeFoor.

Invite Auditor General DeFoor to speak and/or attend your event by completing our online speaking request form.

We’re glad you’re interested! Reach out to us via our Contact Us form.

Check out the available job opportunities on our Work With Us webpage, and sign up for alerts to be among the first to know about job opportunities here at the Department.

Take action via our File a Report form or call 1-800-922-8477.

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