FAC Explorer

Audit 13554

FY End
2023-05-31
Total Expended
$29.64M
Findings
8
Programs
5
Organization: Florida Southern College (FL)
Year: 2023 Accepted: 2024-01-25
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
9919 2023-001 Significant Deficiency Yes N
9920 2023-001 Significant Deficiency Yes N
9921 2023-002 Significant Deficiency - L
9922 2023-002 Significant Deficiency - L
586361 2023-001 Significant Deficiency Yes N
586362 2023-001 Significant Deficiency Yes N
586363 2023-002 Significant Deficiency - L
586364 2023-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $25.04M Yes 2
84.063 Federal Pell Grant Program $3.76M Yes 2
84.007 Federal Supplemental Educational Opportunity Grants $303,817 Yes 0
84.038 Federal Perkins Loans Outstanding $286,889 Yes 0
84.033 Federal Work-Study Program $249,802 Yes 0

Contacts

Name Title Type
VAPJFN3BBY84 V. Terry Dennis Auditee
8636804111 Don Loberg Auditor
No contacts on file

Notes to SEFA

Title: FEDERAL LOANS DISBURSED Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes the federal and state award activity of Florida Southern College and Subsidiary and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance); and Chapter 10.650, Rules of the Auditor General, therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic consolidated financial statements. There were no non-cash awards in the current year. There were no sub-recipients of federal awards and state financial assistance in the current year. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10% de minimis indirect cost rate for allocation. The amount presented for Federal Perkins Loans with continuing compliance requirements consisted of the following: Loan Balance outstanding at May 31, 2022 $ 396,031 Loan receipts, cancellations and assignments (109,142) Loan Balance outstanding at May 31, 2023 $ 286,889 The College also participates in the Federal Direct Loan Program, including Federal Stafford Loans (Stafford) and Federal PLUS Loans (PLUS). The dollar amounts are listed in the schedule of federal awards although the College is not the recipient of the funds. Such programs are considered a component of the student financial assistance cluster. Loans processed by the College under this Loan Program were the following for the year ended May 31, 2023: Federal Direct Loan Program: Stafford: Subsidized $ 4,667,834 Unsubsidized 10,323,487 PLUS 10,047,482 $ 25,038,803
Title: SUMMARY OF FLORIDA STUDENT FINANCIAL ASSISTANCE PROGRAMS Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes the federal and state award activity of Florida Southern College and Subsidiary and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance); and Chapter 10.650, Rules of the Auditor General, therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic consolidated financial statements. There were no non-cash awards in the current year. There were no sub-recipients of federal awards and state financial assistance in the current year. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10% de minimis indirect cost rate for allocation. Below is a summary of significant features and applicable statutes and rules of importance to the administration of the Florida Student Financial Assistance Programs at Florida Southern College. Effective Access to Student Education Grant (EASE): The EASE grant provides financial assistance to Florida undergraduate students attending independent nonprofit Florida colleges or universities. It is a nonrepayable grant available to one-year residents of Florida. The EASE grant is not based on need. A student may receive EASE for a maximum of nine undergraduate semesters. The amount to be awarded to each applicant will be determined by the state of Florida. EASE is a tuition and fee grant; therefore, the amount of EASE plus all other scholarships and grants specifically designated for payment of tuition and fees cannot exceed the total amount of tuition and fees charged by the institution. EASE is authorized by Section 1009.89, Florida Statutes. Florida Student Assistance Grant Fund (FSAG): The FSAG is a non-repayable grant awarded only on a need basis to one year residents of Florida. A student may receive the FSAG for a maximum of nine undergraduate semesters. The amount to be awarded to each applicant will be determined by the State of Florida. FSAG is authorized by Section 1009.50-1009.52, Florida Statutes. Florida Medallion Scholars Award (FMSA): The applicant should be a Florida resident, and should be accepted and enrolled in an eligible Florida public or independent postsecondary education institution. The applicant should complete a Bright Futures Scholarship Program Student Authorization Form by spring high school graduation. The amount to be awarded to each applicant will be determined by the State of Florida. The FMSA is authorized by Section 1009.53, Florida Statutes. Florida Academic Scholars Award (FASA): The FASA is a State of Florida scholarship under the Florida Bright Futures Scholarship Program which provides certain qualified, first-time-in-college, full-time, undergraduate students with assistance in paying for the costs of education. FASA is available only to Florida residents attending eligible colleges and universities located in the State of Florida. The amount awarded to each applicant will be determined by the State of Florida. FASA is authorized by Section 1009.53, Florida Statutes. Children and Spouses of Deceased or Disabled Veterans (CSDDV): The applicant must be a dependent child or un-remarried spouse of a Florida veteran or service member who died as a result of service connected injuries, diseases, or disabilities sustained while on active duty or have been verified by the Florida Department of Veterans Affairs as having service connected 100% total and permanent disabilities. Veterans must have been Florida residents at the time of death or determination of 100% disability. The applicant must enroll in an eligible post-secondary institution at least half-time. Jose Marti Scholarship Challenge Grant: The applicant must be a Florida Resident and a U.S. Citizen or eligible non-citizen. Applicant should be enrolled as a degree-seeking student in an eligible post-secondary institution and not owe a repayment or be in default under any state or federal grant, loan, or scholarship program. The Jose Marti Scholarship is authorized by Section 1009.72, Florida Statutes. Florida Fund for Minority Teachers (FFMT): Provides financial assistance to minority undergraduate students for up to three undergraduate years. This scholarship shall be made available to eligible students entering programs of study that lead to a degree in a teaching position.
Title: POPULATIONS AND SAMPLE SELECTIONS Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes the federal and state award activity of Florida Southern College and Subsidiary and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance); and Chapter 10.650, Rules of the Auditor General, therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic consolidated financial statements. There were no non-cash awards in the current year. There were no sub-recipients of federal awards and state financial assistance in the current year. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10% de minimis indirect cost rate for allocation. The populations were provided by the Bureau of Auditing Services, Florida Department of Education. Samples were determined using State of Florida Administrative Code guidelines provided in Rule 6A-20.0021. A random sample of 50 award recipients or 25%, whichever is less, but no less than 10 award recipients or 100% of the recipients if less than 10, were chosen for each program. Students were classified as ineligible, if our examination of supporting documentation disclosed instances of noncompliance with eligibility criteria. Awards were classified as questioned costs, if our examination disclosed one or more of the following conditions: awards made to ineligible students, awards for which supporting documentation was missing, and awards, or the portions thereof, not properly credited to students’ accounts.

Finding Details

Finding 2023-001
2023 – 001 Return to Title IV Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College. Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 668.22 states that if an institution is required to take attendance, the withdrawal date is the last date of academic attendance, as determined by the institution from its attendance records. Condition: During our testing for Return to Title IV, we noted 1 instance out of 21 students tested, where the College used an improper last date of attendance. Questioned costs: Out of a sample of $214,611 in direct loans selected for testing, we noted $1,510 of funds that should have been returned to the Department of Education but were not. Context: Out of a sample of 21 students selected for testing for the requirement noted above, we noted 1 exception as described above. Cause: Information reported to the registrar by a professor was incorrect. Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-001
2023 – 001 Return to Title IV Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College. Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 668.22 states that if an institution is required to take attendance, the withdrawal date is the last date of academic attendance, as determined by the institution from its attendance records. Condition: During our testing for Return to Title IV, we noted 1 instance out of 21 students tested, where the College used an improper last date of attendance. Questioned costs: Out of a sample of $214,611 in direct loans selected for testing, we noted $1,510 of funds that should have been returned to the Department of Education but were not. Context: Out of a sample of 21 students selected for testing for the requirement noted above, we noted 1 exception as described above. Cause: Information reported to the registrar by a professor was incorrect. Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-002
2023 – 002 Enrollment Reporting Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness of reporting student status changes to the National Student Loan Data System (NSLDS). During our testing, we noted two instances where the effective date of a student status change was improperly reported to the NSLDS and one instance where the enrollment status was improperly reported to the NSLDS. Questioned costs: None Context: Out of a sample of 40 students selected for testing for the requirement noted above, we noted three exceptions as described above. Cause: Two students were dual degree students which requires their status change to be manually inputted. During manual input for these two students, the College improperly used the commencement date rather than the last day of class as the effective date of the status change. For the third student, the College failed to report the student status change from Full-Time to Withdrawal to NSLDS. Effect: Incorrect effective dates or enrollment status’ were reported to the NSLDS. Repeat Finding: No. Recommendation: We recommend that the College review and implement procedures to ensure that the correct date and status is reported to the NSLDS in all cases. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-002
2023 – 002 Enrollment Reporting Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness of reporting student status changes to the National Student Loan Data System (NSLDS). During our testing, we noted two instances where the effective date of a student status change was improperly reported to the NSLDS and one instance where the enrollment status was improperly reported to the NSLDS. Questioned costs: None Context: Out of a sample of 40 students selected for testing for the requirement noted above, we noted three exceptions as described above. Cause: Two students were dual degree students which requires their status change to be manually inputted. During manual input for these two students, the College improperly used the commencement date rather than the last day of class as the effective date of the status change. For the third student, the College failed to report the student status change from Full-Time to Withdrawal to NSLDS. Effect: Incorrect effective dates or enrollment status’ were reported to the NSLDS. Repeat Finding: No. Recommendation: We recommend that the College review and implement procedures to ensure that the correct date and status is reported to the NSLDS in all cases. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-001
2023 – 001 Return to Title IV Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College. Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 668.22 states that if an institution is required to take attendance, the withdrawal date is the last date of academic attendance, as determined by the institution from its attendance records. Condition: During our testing for Return to Title IV, we noted 1 instance out of 21 students tested, where the College used an improper last date of attendance. Questioned costs: Out of a sample of $214,611 in direct loans selected for testing, we noted $1,510 of funds that should have been returned to the Department of Education but were not. Context: Out of a sample of 21 students selected for testing for the requirement noted above, we noted 1 exception as described above. Cause: Information reported to the registrar by a professor was incorrect. Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-001
2023 – 001 Return to Title IV Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College. Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 668.22 states that if an institution is required to take attendance, the withdrawal date is the last date of academic attendance, as determined by the institution from its attendance records. Condition: During our testing for Return to Title IV, we noted 1 instance out of 21 students tested, where the College used an improper last date of attendance. Questioned costs: Out of a sample of $214,611 in direct loans selected for testing, we noted $1,510 of funds that should have been returned to the Department of Education but were not. Context: Out of a sample of 21 students selected for testing for the requirement noted above, we noted 1 exception as described above. Cause: Information reported to the registrar by a professor was incorrect. Effect: The College did not calculate a return of federal funds due to the last date of attendance reported by the professor showing that the student completed over 60% of the course. Repeat Finding: Yes. Finding 2022 – 001 Return to Title IV in prior year. Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-002
2023 – 002 Enrollment Reporting Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness of reporting student status changes to the National Student Loan Data System (NSLDS). During our testing, we noted two instances where the effective date of a student status change was improperly reported to the NSLDS and one instance where the enrollment status was improperly reported to the NSLDS. Questioned costs: None Context: Out of a sample of 40 students selected for testing for the requirement noted above, we noted three exceptions as described above. Cause: Two students were dual degree students which requires their status change to be manually inputted. During manual input for these two students, the College improperly used the commencement date rather than the last day of class as the effective date of the status change. For the third student, the College failed to report the student status change from Full-Time to Withdrawal to NSLDS. Effect: Incorrect effective dates or enrollment status’ were reported to the NSLDS. Repeat Finding: No. Recommendation: We recommend that the College review and implement procedures to ensure that the correct date and status is reported to the NSLDS in all cases. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.
Finding 2023-002
2023 – 002 Enrollment Reporting Federal agency: Department of Education Federal program: Title: Student Financial Assistance Cluster Assistance Listing Number: 84.063 – Federal Pell Grant Program, 84.268 – Federal Direct Student Loans Award Period: June 1, 2022, to May 31, 2023 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness of reporting student status changes to the National Student Loan Data System (NSLDS). During our testing, we noted two instances where the effective date of a student status change was improperly reported to the NSLDS and one instance where the enrollment status was improperly reported to the NSLDS. Questioned costs: None Context: Out of a sample of 40 students selected for testing for the requirement noted above, we noted three exceptions as described above. Cause: Two students were dual degree students which requires their status change to be manually inputted. During manual input for these two students, the College improperly used the commencement date rather than the last day of class as the effective date of the status change. For the third student, the College failed to report the student status change from Full-Time to Withdrawal to NSLDS. Effect: Incorrect effective dates or enrollment status’ were reported to the NSLDS. Repeat Finding: No. Recommendation: We recommend that the College review and implement procedures to ensure that the correct date and status is reported to the NSLDS in all cases. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. See Corrective Action Plan prepared by the College.