In response to the devastating effect of the global pandemic, many state and local governments, as well as nonprofit entities, received grants, loans, and other federal financial assistance. The Uniform Guidance requires that any nonfederal entity that receives more than $750,000 in a fiscal year is required to have a Single Audit.  

Many of these entities have not previously received this level of funding and therefore have not been subject to a Single Audit. Additionally, while Single Audits normally only apply to nonfederal entities, this year, funds were received by for-profit entities, requiring unique audits for those entities as well. In particular, Provider Relief Funds were used to support healthcare providers (doctors and hospitals) during the pandemic.  

Single Audits are more detailed and have very unique requirements. As a result of not having been subject to a Single Audit and its unique requirements, recipients of these funds may not have the systems and processes in place to provide auditors with sufficient appropriate evidence of meeting audit requirements. 

Resources Available for Single Audits