32 CFR § 37.670 - Must I require participants to flow down audit requirements to subrecipients?
---
identifier: "/us/cfr/t32/s37.670"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "32 CFR § 37.670 - Must I require participants to flow down audit requirements to subrecipients?"
title_number: 32
title_name: "National Defense"
section_number: "37.670"
section_name: "Must I require participants to flow down audit requirements to subrecipients?"
chapter_name: "OFFICE OF THE SECRETARY OF DEFENSE"
subchapter_number: "C"
subchapter_name: "DoD GRANT AND AGREEMENT REGULATIONS"
part_number: "37"
part_name: "TECHNOLOGY INVESTMENT AGREEMENTS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "5 U.S.C. 301 and 10 U.S.C. 113."
regulatory_source: "68 FR 47160, Aug. 7, 2003, unless otherwise noted."
cfr_part: "37"
---
# 37.670 Must I require participants to flow down audit requirements to subrecipients?
(a) Yes, in accordance with § 37.610, your expenditure-based TIA must require participants to flow down the same audit requirements to a subrecipient that would apply if the subrecipient were a participant.
(b) For example, a for-profit participant that is audited by the DCAA:
(1) Would flow down to a university subrecipient the Single Audit Act requirements that apply to a university participant.
(2) Could enter into a subaward allowing a for-profit participant, under the circumstances described in § 37.650(a), to use an IPA to do its audits.
(c) This policy applies to subawards for substantive performance of portions of the research project supported by the TIA, and not to participants' purchases of goods or services needed to carry out the research.