The annual Single Audit of the state of Rhode Island for the fiscal year ended June 30, 2025, resulted in 71 findings related to the administration of federal programs and the state’s key financial operations.

Expenditures of federal programs totaled $7.05 billion for fiscal 2025, of which $519 million was COVID-related, compared with $791 million in fiscal 2024 and $1.4 billion in fiscal 2023. Total federal expenditures in 2025 increased by $294 million over the prior fiscal year, largely driven by growth in the Medicaid program.

The continued decrease in pandemic-related expenditures resulted as funding available for the Education Stabilization Fund and FEMA Disaster Assistance dwindled, as well as the expiration of enhanced funding on health and human services programs. Pandemic assistance expenditures are expected to continue to decline through Dec. 31, 2026, the deadline for spending State and Local Fiscal Recovery Funding.

The Single Audit Report, issued by Auditor General David A. Bergantino, was released today by the Joint Committee on Legislative Services. The annual audit is required by both state and federal law as a condition of continued federal assistance.

The report also includes a detailed schedule of federal award expenditures and audit reports outlining internal control deficiencies and noncompliance relating to financial reporting and the administration of federal programs. It includes the state’s financial statements, which were previously communicated in the state’s fiscal 2025 Annual Comprehensive Financial Report.

Federal assistance is received under more than 500 individual programs. Many programs are jointly financed with federal and state funding. Medicaid continues to be the single largest program, with fiscal 2025 expenditures totaling approximately $4.3 billion. The federal government shared $2.7 billion of that cost.

Of the 71 findings included in the report, 42 relate to the administration of federal programs, with the remainder relating to the state’s controls over financial reporting. Those financial reporting findings were previously issued in June 2026 with the state’s 2025 audited financial statements.

The auditors noted material noncompliance with federal requirements in 5 of the 19 major federal programs audited in fiscal 2025. Material noncompliance with certain compliance requirements was specifically noted in the Unemployment Insurance, Immunization Cooperative Agreements, Epidemiology and Laboratory Capacity for Infectious Diseases, Temporary Assistance for Needy Families, and Children’s Health Insurance programs.
Management’s response and planned corrective actions are included within the Single Audit Report. A Summary Schedule of Prior Audit Findings, which reports the status of findings from prior audits, is also included.

The state’s Single Audit Report was submitted to the Federal Single Audit Clearinghouse on July 30, 2026. This information is then made available to all federal funding agencies. The Single Audit Report and related Audit Summary are available on the Office of the Auditor General’s website at oag.ri.gov.