FAC Explorer

Audit 299675

FY End
2023-06-30
Total Expended
$3.00M
Findings
8
Programs
2
Organization: Valor Christian College (OH)
Year: 2023 Accepted: 2024-03-28
Auditor: Sikich LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
387558 2023-001 Material Weakness - N
387559 2023-002 Material Weakness - N
387560 2023-001 Material Weakness - N
387561 2023-002 Material Weakness - N
964000 2023-001 Material Weakness - N
964001 2023-002 Material Weakness - N
964002 2023-001 Material Weakness - N
964003 2023-002 Material Weakness - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $1.94M Yes 2
84.063 Federal Pell Grant Program $1.05M Yes 2

Contacts

Name Title Type
JZ64U6ZQ9RX8 Andrew Sturdon Auditee
8009409422 Ray Krouse Auditor
No contacts on file

Notes to SEFA

Title: FEDERAL LOAN PROGRAM Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Valor Christian College has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. For the year ended June 30, 2023, Valor Christian College acted as a pass-through agency for Direct Federal Stafford Loans (subsidized, unsubsidized and PLUS) to students and parents in the amount of $1,943,893.
Title: OTHER INFORMATION Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Valor Christian College has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. Valor Christian College did not receive any federal insurance or federal noncash assistance and did not provide any amounts to sub-recipients.

Finding Details

Finding 2023-001
FINDING 2023-001: INCORRECT REFUND CALCULATIONS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: An institution must use the Return to Title IV refund calculation (34 CFR 668.22). Condition: We tested twelve drop students and found three incorrect refund calculation. We consider this finding to be a material weakness. Cause: The condition was caused by using an incorrect amount of days in Step 2 of the Return to Title IV refund calculation for one student and by not fully returning inadvertent overpayments of loans for the other two students. Effect or Potential Effect: The result is the College refunded incorrect amounts. Statistical sampling was not used when making sample selections. Questioned Costs : $1,048 Recommendation: As $1,048 has since been refunded to the Department of Education, we recommend the Institution review the remaining refunds for accuracy and increase controls over refunds. There is no liability for the remaining $78, as this was caused by over-refunding loans. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-002
FINDING 2023-002: LATE REFUNDS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: The Department of Education requires that all refunds be made within 45 days of a student’s withdrawal (34 CFR 668.22, 685.306). Condition: We tested twelve drop students and noted three late refunds. We consider this finding to be a material weakness. Cause: The condition was caused by a breakdown in controls over paying refunds. Effect or Potential Effect: The result is the College retained funds which should have been returned to the Department of Education. Statistical sampling was not used when making sample selections. Questioned Costs : $10,739 Recommendation: We recommend the College review the remaining refunds for timeliness, post a letter of credit to remain compliant and increase controls over refunds. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-001
FINDING 2023-001: INCORRECT REFUND CALCULATIONS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: An institution must use the Return to Title IV refund calculation (34 CFR 668.22). Condition: We tested twelve drop students and found three incorrect refund calculation. We consider this finding to be a material weakness. Cause: The condition was caused by using an incorrect amount of days in Step 2 of the Return to Title IV refund calculation for one student and by not fully returning inadvertent overpayments of loans for the other two students. Effect or Potential Effect: The result is the College refunded incorrect amounts. Statistical sampling was not used when making sample selections. Questioned Costs : $1,048 Recommendation: As $1,048 has since been refunded to the Department of Education, we recommend the Institution review the remaining refunds for accuracy and increase controls over refunds. There is no liability for the remaining $78, as this was caused by over-refunding loans. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-002
FINDING 2023-002: LATE REFUNDS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: The Department of Education requires that all refunds be made within 45 days of a student’s withdrawal (34 CFR 668.22, 685.306). Condition: We tested twelve drop students and noted three late refunds. We consider this finding to be a material weakness. Cause: The condition was caused by a breakdown in controls over paying refunds. Effect or Potential Effect: The result is the College retained funds which should have been returned to the Department of Education. Statistical sampling was not used when making sample selections. Questioned Costs : $10,739 Recommendation: We recommend the College review the remaining refunds for timeliness, post a letter of credit to remain compliant and increase controls over refunds. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-001
FINDING 2023-001: INCORRECT REFUND CALCULATIONS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: An institution must use the Return to Title IV refund calculation (34 CFR 668.22). Condition: We tested twelve drop students and found three incorrect refund calculation. We consider this finding to be a material weakness. Cause: The condition was caused by using an incorrect amount of days in Step 2 of the Return to Title IV refund calculation for one student and by not fully returning inadvertent overpayments of loans for the other two students. Effect or Potential Effect: The result is the College refunded incorrect amounts. Statistical sampling was not used when making sample selections. Questioned Costs : $1,048 Recommendation: As $1,048 has since been refunded to the Department of Education, we recommend the Institution review the remaining refunds for accuracy and increase controls over refunds. There is no liability for the remaining $78, as this was caused by over-refunding loans. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-002
FINDING 2023-002: LATE REFUNDS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: The Department of Education requires that all refunds be made within 45 days of a student’s withdrawal (34 CFR 668.22, 685.306). Condition: We tested twelve drop students and noted three late refunds. We consider this finding to be a material weakness. Cause: The condition was caused by a breakdown in controls over paying refunds. Effect or Potential Effect: The result is the College retained funds which should have been returned to the Department of Education. Statistical sampling was not used when making sample selections. Questioned Costs : $10,739 Recommendation: We recommend the College review the remaining refunds for timeliness, post a letter of credit to remain compliant and increase controls over refunds. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-001
FINDING 2023-001: INCORRECT REFUND CALCULATIONS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: An institution must use the Return to Title IV refund calculation (34 CFR 668.22). Condition: We tested twelve drop students and found three incorrect refund calculation. We consider this finding to be a material weakness. Cause: The condition was caused by using an incorrect amount of days in Step 2 of the Return to Title IV refund calculation for one student and by not fully returning inadvertent overpayments of loans for the other two students. Effect or Potential Effect: The result is the College refunded incorrect amounts. Statistical sampling was not used when making sample selections. Questioned Costs : $1,048 Recommendation: As $1,048 has since been refunded to the Department of Education, we recommend the Institution review the remaining refunds for accuracy and increase controls over refunds. There is no liability for the remaining $78, as this was caused by over-refunding loans. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.
Finding 2023-002
FINDING 2023-002: LATE REFUNDS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: SFA CLUSTER ALN: 84.063, 84.268 FEDERAL AWARD YEAR: 2021-2022, 2022-2023 Compliance Requirement: Special Tests and Provisions - Return of Title IV Funds (N.) Criteria: The Department of Education requires that all refunds be made within 45 days of a student’s withdrawal (34 CFR 668.22, 685.306). Condition: We tested twelve drop students and noted three late refunds. We consider this finding to be a material weakness. Cause: The condition was caused by a breakdown in controls over paying refunds. Effect or Potential Effect: The result is the College retained funds which should have been returned to the Department of Education. Statistical sampling was not used when making sample selections. Questioned Costs : $10,739 Recommendation: We recommend the College review the remaining refunds for timeliness, post a letter of credit to remain compliant and increase controls over refunds. Views of Responsible Officials: The College agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.