Truth in Accounting’s analysis of the most recent audited Financial Report of the U.S. Government found its overall financial condition worsened by $11.6 trillion in 2025.

Each year, states like Louisiana undergo a Single Audit to verify proper use of federal funds. These audits assess internal controls, compliance with requirements, and safeguards against misuse, with special focus on major programs.

Florida's most recent Single Audit—which reviews compliance with federal grant requirements—raises red flags about the management of substantial federal dollars allocated to public health programs.

Undercover journalist Nick Shirley just released a bombshell 40-minute video exposing over $170 million in fraud across California, including fake daycares and abandoned hospices where fraudsters are living in luxury with zero consequences. As he put it: “Minnesota was big, but California is even bigger.” The fraudsters have been defrauding hardworking taxpayers for years, enabled by weak oversight and bad policies.

4 Myths About Social Security You Shouldn’t Believe

Your hard-earned tax dollars aren't just being mismanaged; they're being systematically stolen, thanks to a flawed government accounting system that buries red flags under layers of opacity. For years, states have been handing out federal funds through programs designed to feed children, support the vulnerable, and aid during crises. But instead of helping those in need, these programs have become playgrounds for fraudsters, with billions vanishing into luxury lifestyles and offshore accounts. The worst part? These scandals aren't surprises. They've been flagged repeatedly in mandatory state Single Audit reports, documents that auditors, lawmakers, and the federal government obviously ignore.

The report examines the fiscal health of America’s five largest cities–Los Angeles, Houston, Philadelphia, Chicago, and New York City. 

Recent scrutiny of federal programs in Minnesota has drawn national attention to serious oversight failures at the state level. Those problems are not isolated. Audits in Georgia and other states reveal similar warning signs that raise broader concerns about accountability, internal controls, and the use of federal funds.

Like Minnesota, California faces serious concerns in child care oversight and other federally funded programs. The state’s 2024 Single Audit, issued in December 2025, reviews how California manages and reports on billions in federal funds. In that audit, 10 programs received qualified opinions, meaning independent auditors identified weaknesses in how the programs were run and whether federal rules were followed. These problems have led to federal payment freezes and ongoing investigations, illustrating the real-world consequences of monitoring failure.

Minnesota is now under intense scrutiny for major oversight breakdowns in federal programs, failures that a new Truth in Accounting analysis shows are far from isolated, with similar red flags already exposed in Illinois and raising serious nationwide concerns about accountability.

In the 2025 "Financial State of the States" report, Truth in Accounting (TIA) paints a stark picture of fiscal irresponsibility across the U.S., with unfunded pension liabilities emerging as one of the most pressing threats to long-term state solvency. These liabilities represent promised retirement benefits to public employees—such as teachers, firefighters, and state workers—that governments have committed to but failed to adequately fund. By shortchanging pension contributions today, states are effectively borrowing from the future, shifting massive costs onto tomorrow's taxpayers.

Dive into the hidden world of government finance and the rising influence of Artificial Intelligence in this thought-provoking webinar hosted by Truth in Accounting. This session unpacks how opaque financial reporting, emerging AI technologies, and real-world cases of mismanagement converge to impact taxpayers, public trust, and the future of democratic accountability.

The Chicago government derives its power from the consent of the governed, making it essential for officials to report their actions and results in a truthful and understandable manner. And because official government reports are often complex and misleading, Truth in Accounting (TIA) provides this transparent, citizen-friendly research and report just in time for the 2026 annual budget debate, which must be signed into law by December 31st, 2025. This is Truth in Accounting’s 11th annual Financial State of Chicago report. This report analyzes the fiscal health of our nation’s third-largest city based on its 2024 Annual Comprehensive Financial Reports (ACFRs).