A Federal Compliance Audit
A Report on State of Texas Compliance with Federal Requirements for the Provider Relief Fund (COVID-19 Relief) for the Year Ended August 31, 2021
February 2022
Summary Analysis
The State of Texas complied in all material respects with the federal requirements for the Provider Relief Fund in fiscal year 2021.
As a condition of receiving federal funding, Title 2, Code of Federal Regulations, Section 200, requires non-federal entities that expend $750,000 or more in federal awards in a fiscal year to obtain annual Single Audits. Those audits test compliance with federal requirements in up to 12 areas that may have a material effect on a federal program at those non-federal entities.
The Single Audit for the State of Texas included (1) all high-risk federal programs for which the State expended more than $172,578,350 in federal funds during fiscal year 2021 and (2) other selected federal programs.
From September 1, 2020, through August 31, 2021, the State of Texas expended $115.1 billion in federal funds. The State Auditor’s Office audited compliance with requirements for the Provider Relief Fund at three higher education institutions and one state agency. Those four entities reported a total of $168.4 million in expenditures and lost revenues on the fiscal year 2021 Schedule of Expenditures of Federal Awards.
Auditors did not identify any findings for the Provider Relief Fund.
Jump to report on internal control
We have audited the State of Texas’s (State) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on the Provider Relief Fund for the year ended August 31, 2021.
In planning and performing our audit of compliance, we considered the State’s internal control over compliance with the types of requirements that could have a direct and material effect on the Provider Relief Fund to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for the Provider Relief Fund and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance.