GAO Update on COVID-19 Relief Funds Spending by States and Localities

The U.S. Government Accountability Office (GAO) has published an update regarding the Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program. The report indicates that as of March 31, 2025, states had obligated nearly all of their $195.8 billion in awards, with only $10.4 million remaining unobligated. Localities similarly obligated nearly all of their $127.8 billion in awards, with $101 million left unobligated. Treasury has begun recouping funds that were not obligated by the December 31, 2024, deadline.

While states reported spending 80% ($156.3 billion) and localities 84% ($107.2 billion) of their awards as of March 31, 2025, recipients generally have until December 31, 2026, to fully expend the funds. This report serves as an informational update for government agencies on the status of these funds and their utilization, with no new compliance actions required beyond existing reporting and expenditure deadlines.