FY 2017 NEA Financial Statement Audit

We have audited the accompanying Balance Sheet of the National Endowment for the Arts (NEA)as of September 30, 2017 and 2016 and the related Statements of Net Cost, Changes in NetPosition, and Budgetary Resources for the years then ended, and the related notes to thefinancial statements.In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the National Endowment for the Arts as of September 30, 2017 and 2016, and its net cost, changes in net position, and budgetary resources for the years then ended, in accordance with accounting principles generally accepted in the United States of America.Although not considered to be material weaknesses or significant deficiencies, we noted certain other matters that were communicated to management in a separate letter. Additionally, we have provided the status of the prior year findings in Appendix I.