Last year, there were numerous Federal grants available in the Gulf Coast region. From Covid-related money, to FEMA funds from Hurricane Sally, to grants that organizations traditionally receive year after year. As we near the traditional year-end for many governmental and non-profit organizations, we thought it would be prudent to remind our clients about Single Audits.
A Single Audit Triggers when an Organization Receives more than $750,000 in Funds from the Federal Government in a Year
- The criteria is based on the total grant/loan money you actually SPENT within a year. If you received $800,000 but spent $600,000 in 2020 and there remainder $200,000 in 2021, you do not meet the $750,000 threshold.
- The total is based on ALL grant/loan money, so if your entity receives an annual grant of $200,000 – even though you get it every year – you have to add it in with the Covid-related money.
- PPP money is NOT required to be added in for purposes of calculating whether you need a Single Audit. The SBA may separately audit PPP loans greater than $2 million, but your PPP money should not be added into your total for the Single Audit. Read our blog about Single Audits & Covid-Related Money here.
Steps to Take
During your annual audit, our team will review your records and alert you if a Single Audit will be necessary. If it is, generally an entity has 6 months after the fiscal year-end to get the Single Audit completed, although that timeline can vary depending on your granting requirements. Your entity can engage us to perform the Single Audit, or if we are aren’t able to because of other work we perform for you, we can ensure you records are organized and prepared to make the process as seamless as possible for you.
Records You'll Need
Kirsten Robertson
A Senior Analyst on our assurance team, Kirsten maintains expertise to provide auditing services with a specialization in Avizo’s governmental and construction-based niches. She is one of the primary leads on our in-field audits and completes training for all members of the firm before they visit clients offices.
