; (B) by striking (e) Each financial and inserting (e)(1) Each financial ; (C) in paragraph (1), as so designated, by striking standards— and inserting standards. ; and (D) by inserting after paragraph (1), as so designated, the following: (2) As part of each audit under this subsection, the auditor shall— (A) evaluate the design of the internal control of the agency over financial reporting and key financial information, as assessed and reported on by the head of the agency under section 3512(d)(2)(C) of this title; (B) determine whether those controls have been implemented; (C) for controls that are properly designed and implemented, perform sufficient tests of those controls to conclude whether the controls are operating effectively and to support a low level of assessed control risk; and (D) communicate controls that the auditor concludes are not suitably designed and implemented or are not operating effectively, as appropriate under applicable generally accepted government auditing standards. (3) Audits under this subsection shall be conducted— ; and (2) in subsection (h), by striking section 3512(a)(3)(B)(viii) and inserting section 3512(a)(2)(B)(viii) . (d) Technical and conforming amendment Section 3348(e) of title 5, United States Code, is amended— (1) in paragraph (3), by adding or at the end; (2) by striking paragraph (4); and (3) by redesignating paragraph (5) as paragraph (4).