NSAA Peer Review
Maintenance of an appropriate system of quality control is essential to performing effective audits and attestation engagements that comply with professional standards. To help ensure the adequacy of and compliance with its system of quality control, audit organizations are required to participate in an external peer review program. NSAA's Peer Review Program offers members the opportunity to use its established network of external or "peer" reviewers to fulfill the peer review requirement for their organization.
NSAA's peer reviews are conducted in accordance with policies and procedures developed by the NSAA Peer Review Committee and approved by NSAA members. NSAA has also coordinated with American Institute of Certified Public Accountants to adapt portions of its copyrighted peer review program materials to fit the NSAA model. NSAA's policies and procedures have been developed to provide detailed guidance in performing and reporting on external peer reviews.
Because of the diverse nature of the NSAA member audit organizations and the differences in scope and objectives of financial audits, attestation engagements, and performance audits, the policies and procedures that have been established provide options for NSAA external peer reviews. These options include a review of either the audit organizations' financial audit function, attestation function, or performance audit function or a review of a combination of the three functions.
Eligibility for participation in the NSAA Peer Review Program is restricted to state audit organizations that are either members of NSAA or other members of NASACT who:
- Perform financial audits, attestation engagements, or performance audits of government agencies (state and/or local).
- Perform audits or attestation engagements according to the government auditing standards.
- Meet the tests of independence for external auditors prescribed by government auditing standards.
- Provide staff with appropriate experience to serve on other external peer reviews.
The cost of an NSAA peer review varies depending upon the size and functions an audit organization. In addition to the actual expense paid, a state audit organization receiving an peer review is required over a three-year period to furnish experienced, active supervisors and managers equal to the staff resources involved in their review to participate in external peer reviews of other state audit organizations.
Team Member Qualification Form
2019 Peer Review Schedule
Peer Review Bank
Peer Review Manual (March 2018)
WEBINAR: NSAA's Peer Review Program: What to Know Before You Go!