Overview of Uniform Guidance Revisions for Federal Award Recipients
Wielkotz & Company
May 13, 2024
Highlights of the Revisions
In April 2024 an updated version of the Uniform Grants Guidance was released. Some of the most significant revisions include the following:
- Increase the Single Audit threshold to $1 million from $750,000, potentially reducing the number of single audits required each year.
- Increase the de minimis indirect cost rate percentage to 15% from 10%, potentially increasing the number of recipients using the de minimum indirect cost rate.
- Increase the threshold used to define a capital expenditure to $10,000 from $5,000, reducing the administrative requirements related to lesser-valued items.
- Increase the exclusion threshold of subawards to $50,000 from $25,000 under modified total direct costs.
- Require the Schedule of Expenditures of Federal Awards to identify the recipient of a federal award in audits that cover multiple recipients.
- Use the term “recipient” or “subrecipient” in lieu of “non-federal entity” throughout Subpart A to Subpart E.
- Removal of items currently included in the listing of prior written approval requirements. Items removed include real property, equipment, direct costs, entertainment costs, exchange rates, memberships, participant support costs, selling and marketing costs, and taxes.
- Remove the existing requirement in paragraph (h) of section 200.414 for all indirect cost rates to be made publicly available on a government-wide website (however, this may be revisited once applicable systems are updated to allow for the posting of indirect cost rates).
Contact Wielkotz & Company, LLC Today
For further information on the updates to Uniform Guidance and its implementation feel free to reach out to Steven Wielkotz at (973)-835-7900 ext. 201 or sdw@w-cpa.com.
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