INTERGOVERNMENTAL AUDIT FORUMS, WHEREBY REPRESENTATIVES OF FEDERAL, STATE, AND LOCAL AUDIT ORGANIZATIONS MEET TO DISCUSS WAYS OF SOLVING COMMON AUDITING PROBLEMS, ARE A SIGNIFICANT ADVANCE IN IMPROVING THE OVERALL FINANCIAL ACCOUNTABILITY AT ALL LEVELS OF GOVERNMENT. CHALLENGES FOR SUCH FORUMS IN THE FUTURE ARE TO IMPROVE COOPERATION AMONG AUDITORS AT ALL LEVELS OF GOVERNMENT, PROVIDE TRAINING AND ASSISTANCE TO AUDITORS WHO REVIEW GOVERNMENT PROGRAMS, PROMOTE THE ACCEPTANCE AND IMPLEMENTATION OF THE SINGLE AUDIT CONCEPT FOR FEDERAL GRANTS, PROMOTE AND ASSIST THE DEVELOPMENT AND USE OF GOVERNMENT ACCOUNTING STANDARDS AND PRINCIPLES, AND CONTINUE TO SERVE AS A MEDIUM FOR GENERATING NEW IDEAS AND WAYS TO IMPROVE GOVERNMENTAL ACCOUNTABILITY. WAYS IN WHICH THE FEDERAL GOVERNMENT HAS SOUGHT TO IMPROVE FINANCIAL ACCOUNTABILITY SINCE 1976 HAVE BEEN THROUGH THE INSPECTOR GENERAL ACT, GRANT REFORM, FRAUD AND ABUSE PRIORITY, AND THE DEVELOPMENT OF GOVERNMENT ACCOUNTING PRINCIPLES AND STANDARDS. OFFICES OF INSPECTORS GENERAL HAVE BEEN ESTABLISHED IN 12 ADDITIONAL FEDERAL DEPARTMENTS AND AGENCIES TO CONDUCT AND SUPERVISE AUDITS AND INVESTIGATIONS OF PROGRAMS AND OPERATIONS IN THE AGENCIES AND DEPARTMENTS SERVED. GRANT REFORM HAS INCLUDED THE ESTABLISHMENT OF THE SINGLE AUDIT INSTEAD OF THE GRANT-BY-GRANT AUDIT FOR MULTI-FUNDED AGENCIES AND PROGRAMS. THE GENERAL ACCOUNTING OFFICE HAS ESTABLISHED A TASK FORCE FOR THE PREVENTION OF FRAUD TO AID FEDERAL AGENCIES IN THE DEVELOPMENT OF CONTROLS AND PROCEDURES TO HELP PREVENT AND DETECT FRAUD AND ABUSE. CURRENTLY THERE IS STRONG MOVEMENT TOWARD THE DEVELOPMENT OF ACCOUNTING PRINCIPLES AND STANDARDS THAT WILL APPLY SPECIFICALLY TO GOVERNMENTAL FINANCIAL MANAGEMENT, SINCE GOVERNMENT OPERATIONS DIFFER SUBSTANTIALLY FROM PRIVATE BUSINESS, FOR WHICH GENERAL ACCOUNTING PRINCIPLES AND STANDARDS HAVE BEEN DEVELOPED. (RCB)