Weaver Beyond the Numbers: Business of Government

Jennifer Ripka, CPA, Partner at Weaver, and Jackie Gonzales, CPA, Partner at Weaver, discuss single audits and the challenges many government entities face with the influx of federal financial assistance over the last two years. Adam Jones, Stage Government Practice Leader at Weaver, points out, “There’s never been a year quite like the last couple of years in government assurance. We’ve seen a deluge of federal funds that don’t stop, and it’s put a lot of government and nonprofit agencies in a category they haven’t been in before – a single audit.”

The Single Audit Act was passed in 1984. It’s essentially a mini audit of federal financial assistance. The audit is triggered by spending $750,000 or more on federal awards in a single year.

The Journal of Accountancy reports, “More than 30,000 entities — primarily state, local, and tribal governments — have received funding as part of Treasury’s $350 billion Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program. Recipients that spend $750,000 or more in such aid in a given year are normally subject to a single audit. However, many CSLFRF funding recipients are very small local governments that may previously have had little to no experience with single audits.”

Ripka advises that identifying grants and federal funding is key to understanding if they have to adhere to single-audit rules. Some federal funds are exempt. “That identification piece is really, really important,” Ripka urges. It can be challenging to understand the agreements, and Gonzales encourages clients to reach out with questions. “That’s what we’re here for. We could talk about single audits for days,” says Gonzales.

Finally, accepting funding from grants also means that the entity must execute clear communication and transparency within its agency. Ripka warns that without it, entities could end up in “a situation where you are spending funds that finance doesn’t know about, and revenue recognition isn’t lining up.”

For the longevity of the entity, funding needs to be optimized between what’s allowable and the entity’s needs. This requires strategy and understanding of where the funds can be spent. Weaver can help ensure you remain in good standing with single audit rules wherever you find your entity this year. Visit weaver.com for more information.

Follow us on social media for the latest updates in B2B!

Image

Latest

innovations in healthcare
Innovations in Healthcare: A Discussion with Dr. Craig Joseph at HIMSS 2024
May 24, 2024

Innovations in healthcare were easy to spot at the recent HIMSS 2024 conference. Healthcare Rethink’s Brian Urban caught up with one of those innovators for a live discussion at HIMSS 2024. podcast, Their conversation opens a window and dialogue into the cutting-edge trends reshaping healthcare technology today. This episode features Dr. Craig Joseph, the…

Read More
Preventing burnout
Achieving Professional Growth and Preventing Burnout: The Importance of Time Management and Support Networks in a Fast-Paced World
May 23, 2024

In today’s fast-paced world, balancing professional growth with personal well-being is more crucial than ever. With the rise of remote work, digital transformation, and the constant hustle culture, finding this balance has become a significant challenge for many. A survey conducted by Deloitte suggests that a whopping 77% of professionals experience burnout at work….

Read More
Fan-Centric Business Transformation
Prop Room
May 23, 2024

In this episode of the Fans First series, Jesse Cole, the mastermind behind the Savannah Bananas, shares with us that in the vibrant world of marketing, creativity knows no bounds—a philosophy embodied by a prop room and studio teeming with eclectic costumes and outlandish ideas. This creative hub, seemingly disconnected from conventional themes like bananas,…

Read More
Ace Gardner and Jacob Lewis discuss NIL Deals and Transfer Portals
NIL Deals and Transfer Portals are Also Impacting College Staff and Their Roles
May 23, 2024

College sports is undergoing a significant transformation with the advent of Name, Image, and Likeness (NIL) rights and the increasing prevalence of transfer portals. These changes are reshaping how college staff operate, presenting both opportunities and challenges. With the rise of NIL deals and transfer portals, understanding the behind-the-scenes impact on college coaching staff…

Read More