This is the final phase of the audit. This phase includes two key components: technical review of the draft report and the formal written management response to the final draft report.
During the technical review, the agency receives the draft audit report and reviews it for factual accuracy and tone.
After receiving the final draft audit report, the agency prepares a written management response. The auditors incorporate the agency's response in the final audit report prior to its release. The following guidance is provided for state agencies responding to performance audits conducted by the Joint Legislative Audit and Review Committee (JLARC) and the State Auditor's Office. Management responses for Washington state agencies include:
- Cover letter
- Written response by audited entity*
- Action plan**
* The Office of Financial Management is required to provide a response for all JLARC audits. OFM may choose to provide a joint response with the audited agency for State Auditor performance audits, depending on the audit subject matter.
**Responses to performance audits by the State Auditor's Office are required by the Governor to have an action plan. Progress on action steps in the management response are tracked and published.
Cover letter. The cover letter is written by the audited agency. The cover letter will be signed by both the agency and the OFM directors if OFM elects to provide a joint response for an audit by the State Auditor's Office.
Written response. The response should be coordinated, constructive and succinct. Each finding should be addressed by the agency, including action steps as warranted. The guidelines listed below are useful for anyone preparing a written response. The template and example responses, which are specific to responses to the State Auditor's Office, are for those cases when OFM provides a response along with the agency.
- Guidelines for preparing a written response (PDF)
- Management response template (.doc)
- Examples of management responses (see Agency Response on Agency Action Plans page)
Agency action plan. Agencies create an action plan to address findings in the performance audit report. An action plan should include who should do what by when. The most recent action plans also include whether the action recommended in the report can be completed within existing resources or authority.
- Action plan template (.xls)
- Action plan example (PDF). This is an example of an action plan provided as part of the response.
- Updated action plans for Auditor's Office performance audits of state agencies are also available.