FAC Explorer

Audit 10120

FY End
2023-08-31
Total Expended
$9.07M
Findings
8
Programs
7
Organization: Vernon College (TX)
Year: 2023 Accepted: 2024-01-08
Auditor: Condley and Company LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
7782 2023-001 Significant Deficiency - N
7783 2023-001 Significant Deficiency - N
7784 2023-001 Significant Deficiency - N
7785 2023-001 Significant Deficiency - N
584224 2023-001 Significant Deficiency - N
584225 2023-001 Significant Deficiency - N
584226 2023-001 Significant Deficiency - N
584227 2023-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.063 Federal Pell Grant Program $4.09M Yes 1
84.268 Federal Direct Student Loans $3.74M Yes 1
84.425 Education Stabilization Fund $673,034 Yes 0
84.048 Career and Technical Education -- Basic Grants to States $295,985 - 0
84.007 Federal Supplemental Educational Opportunity Grants $145,905 Yes 1
93.041 Special Programs for the Aging_title Vii, Chapter 3_programs for Prevention of Elder Abuse, Neglect, and Exploitation $85,861 - 0
84.033 Federal Work-Study Program $38,185 Yes 1

Contacts

Name Title Type
VP4XPKQF9LL3 Mindi Flynn Auditee
9405526291 Jeff Graham Auditor
No contacts on file

Notes to SEFA

Title: Federal Assistance Reconciliation Accounting Policies: The expenditures included in the schedule are reported for the College's fiscal year. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported above represent funds which have been expended by the College for the purposes of the award. The expenditures reported above may not have been reimbursed by the funding agencies as of the end of the fiscal year. Some amounts reported in the schedule may differ from amounts used in the preparation of the general purpose financial statements. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the schedule. De Minimis Rate Used: N Rate Explanation: Since the College has an agency-approved Indirect Recovery Rate it has elected to not use the 10% de minimis cost rate as permitted in the UG, section 200.414. See the Notes to the SEFA for chart.
Title: Significant accounting policies used in preparing the schedule Accounting Policies: The expenditures included in the schedule are reported for the College's fiscal year. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported above represent funds which have been expended by the College for the purposes of the award. The expenditures reported above may not have been reimbursed by the funding agencies as of the end of the fiscal year. Some amounts reported in the schedule may differ from amounts used in the preparation of the general purpose financial statements. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the schedule. De Minimis Rate Used: N Rate Explanation: Since the College has an agency-approved Indirect Recovery Rate it has elected to not use the 10% de minimis cost rate as permitted in the UG, section 200.414. The expenditures included in the schedule are reported for the College's fiscal year. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported above represent funds which have been expended by the College for the purposes of the award. The expenditures reported above may not have been reimbursed by the funding agencies as of the end of the fiscal year. Some amounts reported in the schedule may differ from amounts used in the preparation of the general purpose financial statements. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the schedule.
Title: Student Loans Processed and Administrative Recovery Accounting Policies: The expenditures included in the schedule are reported for the College's fiscal year. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported above represent funds which have been expended by the College for the purposes of the award. The expenditures reported above may not have been reimbursed by the funding agencies as of the end of the fiscal year. Some amounts reported in the schedule may differ from amounts used in the preparation of the general purpose financial statements. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the schedule. De Minimis Rate Used: N Rate Explanation: Since the College has an agency-approved Indirect Recovery Rate it has elected to not use the 10% de minimis cost rate as permitted in the UG, section 200.414. See the Notes to the SEFA for chart.
Title: Pass through amounts are identified in the schedule Accounting Policies: The expenditures included in the schedule are reported for the College's fiscal year. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported above represent funds which have been expended by the College for the purposes of the award. The expenditures reported above may not have been reimbursed by the funding agencies as of the end of the fiscal year. Some amounts reported in the schedule may differ from amounts used in the preparation of the general purpose financial statements. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the schedule. De Minimis Rate Used: N Rate Explanation: Since the College has an agency-approved Indirect Recovery Rate it has elected to not use the 10% de minimis cost rate as permitted in the UG, section 200.414. All pass through amounts are identified in the schedule.

Finding Details

Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.
Finding 2023-001
2023-001 Program Name: Student Financial Aid Cluster Assistance Listing Numbers/Names: 84.007 Federal SEOG 84.033 Federal Work Study 84.063 Federal Pell Grant 84.268 Federal Direct Loans Federal Agency: U.S. Department of Education Compliance Requirement: Enrollment Reporting Questioned Costs: Not applicable Criteria: In accordance with CFR sections 674.19(f), 685.309(b), and 690,83(b)(2), "upon receipt of an enrollment report from the Secretary (U.S. Department of Education, Secretary of Education), a school must update all information included in the report and return the report to the Secretary, in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a halftime basis for the period for which the loan was intended." Condition: We reviewed a sample of 40 students who received financial aid and had enrollment status changes during the fiscal year. Of the 40 students tested, two students had no enrollment history reported to the NSLDS despite being enrolled continuously since Fall 2022. Population and Sample Size: Effect: A student's enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies all of which are negatively impacted by inaccurate and late reporting. Cause: Both students were initially included in the enrollment data batch transmitted to the NSLDS but were rejected due to a social security number or name mismatch. The College did not review the NSLDS Enrollment Errors Report and therefore did not ascertain that the students were rejected. Because of this lack of review, no correction was made to each student error within 10 days, resulting in an inaccurate and untimely status in the NSLDS database. Recommendation: We recommend the College implement a process to review the NSLDS Enrollment Errors Report each time an enrollment file is submitted to identify any rejected students and correct errors within the required 10 days after submission.