FAC Explorer

Audit 292194

FY End
2023-05-31
Total Expended
$24.37M
Findings
16
Programs
5
Organization: Lenoir-Rhyne University (NC)
Year: 2023 Accepted: 2024-02-26
Auditor: Bdo USA PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
370528 2023-001 Significant Deficiency Yes N
370529 2023-001 Significant Deficiency Yes N
370530 2023-001 Significant Deficiency Yes N
370531 2023-001 Significant Deficiency Yes N
370532 2023-002 - - N
370533 2023-002 - - N
370534 2023-002 - - N
370535 2023-002 - - N
946970 2023-001 Significant Deficiency Yes N
946971 2023-001 Significant Deficiency Yes N
946972 2023-001 Significant Deficiency Yes N
946973 2023-001 Significant Deficiency Yes N
946974 2023-002 - - N
946975 2023-002 - - N
946976 2023-002 - - N
946977 2023-002 - - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $18.64M Yes 2
84.063 Federal Pell Grant Program $3.10M Yes 2
84.425 Education Stabilization Fund $2.17M Yes 0
84.007 Federal Supplemental Educational Opportunity Grants $323,794 Yes 2
84.033 Federal Work-Study Program $134,554 Yes 2

Contacts

Name Title Type
GNF2LDZWGG23 Jeremy Shreve Auditee
8283287100 Michael Botzis Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the “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”) for the year ended May 31, 2023. The Schedule presents only a selected portion of the activities of Lenoir-Rhyne University (the “University”). It is not intended to and does not present either the financial position, changes in activities, or cash flows of the University.
Title: Summary of Signifcant Accounting Policies Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Cost Rate Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. The University has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Loans Outstanding Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. At May 31, 2023, the University had no Perkins balances outstanding. In fiscal 2023, the University formally liquidated its Federal Perkins Revolving Loan Fund; the University assigned any remaining loans and remitted the federal share of Perkins cash assets to the Department of Education.
Title: Subrecipients Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. There were no program funds passed through the University to subrecipients during the year ended May 31, 2023.
Title: State Awards Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The University did not use the de minimis cost rate. During the year ended May 31, 2023, the University awarded $3,962,888 in North Carolina Need Based Scholarships, which is funding received from the state of North Carolina. Such funds were considered direct and material to the University.

Finding Details

Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-001
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 25 students, 1 student’s enrollment status was not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 17 students’ selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2022-004. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.
Finding 2023-002
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions –Return of Credit Balances: Federal Regulations require credit balances to returned to students with 14 days of the credit being created on the students account. Condition: The University did not return credit balances to students within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with federal regulations regarding the timing of return of credit balances. Questioned Costs: None. Context: Based on a sample of 25 students, 1 student selected had a credit balance that was not returned within the 14 day period. Recommendation: We recommend that the University enhance its procedures to ensure timely return of credit balances to students. Views of Responsible Officials: The University agrees with the finding - refer to the University’s Corrective Action Plan.