FAC Explorer

Audit 290731

FY End
2023-06-30
Total Expended
$46.36M
Findings
2
Programs
43
Organization: Morehead State University (KY)
Year: 2023 Accepted: 2024-02-16
Auditor: Dean Dorton Allen Ford PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
369491 2023-001 Significant Deficiency - N
945933 2023-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $19.50M Yes 0
84.063 Federal Pell Grant Program $12.39M Yes 0
84.425 Education Stabilization Fund $927,567 Yes 0
84.007 Federal Supplemental Educational Opportunity Grants $826,011 Yes 0
84.346 Mattingly-Cdp Rehab 22/24 $683,508 - 0
84.027 Special Education_grants to States $609,633 Yes 0
84.044 Trio_talent Search $582,582 - 0
84.066 Trio_educational Opportunity Centers $509,778 - 0
84.033 Federal Work-Study Program $481,287 Yes 0
84.042 Trio_student Support Services $398,281 - 0
84.047 Trio_upward Bound $214,398 - 0
94.002 Retired and Senior Volunteer Program $204,771 - 0
47.083 Integrative Activities $160,493 Yes 0
47.050 Geosciences $144,875 Yes 0
47.076 Education and Human Resources $135,276 - 0
93.297 Teenage Pregnancy Prevention Program $112,764 - 0
59.037 Small Business Development Centers $107,770 - 0
93.389 National Center for Research Resources $103,509 Yes 0
11.550 Public Telecommunications Facilities Planning and Construction $91,348 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $91,027 - 0
84.325 Special Education - Personnel Development to Improve Services and Results for Children with Disabilities $64,385 - 0
93.696 Certified Community Behavioral Health Clinic Expansion Grants $46,097 - 0
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $44,792 Yes 1
93.829 Section 223 Demonstration Programs to Improve Community Mental Health Services $39,504 - 0
84.334 Gaining Early Awareness and Readiness for Undergraduate Programs $35,809 - 0
93.958 Block Grants for Community Mental Health Services $35,155 - 0
12.800 Air Force Defense Research Sciences Program $23,626 Yes 0
94.027 Americorps Vista Recruitment Support (z) $21,528 - 0
10.558 Child and Adult Care Food Program $20,827 - 0
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $16,940 Yes 0
16.812 Second Chance Act Reentry Initiative $8,207 - 0
93.048 Special Programs for the Aging_title Iv_and Title Ii_discretionary Projects $7,486 - 0
93.658 Foster Care_title IV-E $6,110 - 0
93.859 Biomedical Research and Research Training $5,663 Yes 0
84.411 Investing in Innovation (i3) Fund $5,000 - 0
23.011 Appalachian Research, Technical Assistance, and Demonstration Projects $4,781 - 0
23.001 Appalachian Regional Development (see Individual Appalachian Programs) $3,589 Yes 0
16.585 Drug Court Discretionary Grant Program $2,269 - 0
94.006 Americorps $2,066 - 0
45.129 Promotion of the Humanities_federal/state Partnership $1,498 - 0
17.259 Wia Youth Activities $42 - 0
84.002 Adult Education - Basic Grants to States $-47 Yes 0
43.001 Science $-650 Yes 0

Contacts

Name Title Type
MRGUP99ZAZ59 Kelli Owen Auditee
6067832700 Lance Mann Auditor
No contacts on file

Notes to SEFA

Title: Federal Student Loan Programs Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the University 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 (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts present in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: Predetermined fixed facilities and administrative costs rates have been approved as follows: Period covered from 7/1/2019 to 6/30/2023. Based on Financial Information for fiscal year 2019. Predetermined rate - on campus 42%. Predetermined rate - off campus 15% Federal student loans issued by the Federal Direct Loan Program during the year ended June 30, 2023 are summarized as follows: Federal Direct Loan Program: Federal Unsubsidized Loans $12,042,688 Federal Subsidized Loans 5,901,434 Federal Plus Loans 1,551,091. As of June 30, 2023, the University had loans outstanding, in the amount of $633,804 with an allowance for doubtful accounts of $23,811 under the Federal Perkins Loan Program

Finding Details

Finding 2023-001
Federal Programs: U.S Department of Education TEACH Grant Criteria: The University must comply with 36 CFR Section 686.31(e). Condition: We tested five TEACH Grant recipients for eligibility and noted that five sampled were not notified of their right to cancel their TEACH Grant, or the procedure and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Cause: The University did not have a procedure in place to properly notify students or parents of their right to cancel their TEACH Grant or procedures and time by which the student or parent must notify the institution that he or she wishes to cancel their TEACH Grant or TEACH Grant disbursement. Effect: The provisions of 36 CFR Section 686.31(e) was not followed and thus five students were not notified of their right to cancel their TEACH Grant, or the procedures and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Recommendation: We recommend that the University update their notification to students or parents to include wording about the right to cancel their TEACH Grant and the procedures and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Views of responsible officials and planned corrective actions: We agree with this finding and recommendation. The University implemented a procedure during fiscal year ending June 30, 2024, which provided notifications to students about the right to cancel their TEACH Grant and about the procedures and time by which the student must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. The procedure was implemented to fully comply with 36 CFR Section 686.31(e) on January 30, 2024. See corrective action plan.
Finding 2023-001
Federal Programs: U.S Department of Education TEACH Grant Criteria: The University must comply with 36 CFR Section 686.31(e). Condition: We tested five TEACH Grant recipients for eligibility and noted that five sampled were not notified of their right to cancel their TEACH Grant, or the procedure and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Cause: The University did not have a procedure in place to properly notify students or parents of their right to cancel their TEACH Grant or procedures and time by which the student or parent must notify the institution that he or she wishes to cancel their TEACH Grant or TEACH Grant disbursement. Effect: The provisions of 36 CFR Section 686.31(e) was not followed and thus five students were not notified of their right to cancel their TEACH Grant, or the procedures and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Recommendation: We recommend that the University update their notification to students or parents to include wording about the right to cancel their TEACH Grant and the procedures and time by which the student or parent must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. Views of responsible officials and planned corrective actions: We agree with this finding and recommendation. The University implemented a procedure during fiscal year ending June 30, 2024, which provided notifications to students about the right to cancel their TEACH Grant and about the procedures and time by which the student must notify the institution that he or she wishes to cancel the TEACH Grant or TEACH Grant disbursement. The procedure was implemented to fully comply with 36 CFR Section 686.31(e) on January 30, 2024. See corrective action plan.