FAC Explorer

Audit 299743

FY End
2023-06-30
Total Expended
$73.94M
Findings
6
Programs
7
Organization: Saint Leo University, INC (FL)
Year: 2023 Accepted: 2024-03-28
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
387663 2023-001 Significant Deficiency Yes N
387664 2023-001 Significant Deficiency Yes N
387665 2023-002 Significant Deficiency Yes L
964105 2023-001 Significant Deficiency Yes N
964106 2023-001 Significant Deficiency Yes N
964107 2023-002 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $57.08M Yes 2
84.063 Federal Pell Grant Program $14.79M Yes 1
84.007 Federal Supplemental Educational Opportunity Grants $1.07M Yes 0
84.033 Federal Work-Study Program $571,862 Yes 0
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $218,305 Yes 0
47.076 Education and Human Resources $136,493 - 0
16.525 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus $76,379 - 0

Contacts

Name Title Type
MTRTNUHLVRD7 Brenda Clark Auditee
8132284959 Aaron Crall Auditor
No contacts on file

Notes to SEFA

Title: DIRECT LOAN PROGRAMS Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects (the Schedule) presents the activities of Saint Leo University, Inc. (the University) for the year ended June 30, 2023, which have been funded by the U.S. government and the State of Florida. Because the Schedule presents only a selected portion of the activities of the University, it is not intended to, and does not, present either the financial position or changes in net assets of the University. The Schedule is prepared on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles. The information in 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 (the Uniform Guidance), and Chapter 215.97, Florida Statutes. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimus indirect cost rate as outlined in the Uniform Guidance. The University is responsible only for the performance of certain administrative duties with respect to its Federal Direct Student Loan Program, and, accordingly, these loans are not included in its financial statements. The University is not required to maintain the balance of the loans outstanding from students and former students of the University under these programs. Such balances are maintained and administered by the lenders and guarantors of these loans. Disbursements for these loans during the year ended June 30, 2023 consist of Federal Direct Subsidized Loans of $9,960,008, Federal Direct Unsubsidized Loans of $39,749,814, Federal Direct Parent PLUS Loans of $3,629,701 and Federal Direct Grad PLUS Loans of $3,738,239. The cumulative amount of total loans guaranteed and outstanding as of June 30, 2023, is undeterminable.
Title: MATCHING Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects (the Schedule) presents the activities of Saint Leo University, Inc. (the University) for the year ended June 30, 2023, which have been funded by the U.S. government and the State of Florida. Because the Schedule presents only a selected portion of the activities of the University, it is not intended to, and does not, present either the financial position or changes in net assets of the University. The Schedule is prepared on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles. The information in 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 (the Uniform Guidance), and Chapter 215.97, Florida Statutes. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimus indirect cost rate as outlined in the Uniform Guidance. Schools participating in the Federal Work Study Program and Federal Supplemental Educational Opportunity Grant Program normally are required to provide an institutional share under the program. However, the University qualified for, and was granted, a waiver of the institutional share requirements associated with both federal programs under 34 CFR 675.26(d) of the Federal Work Study regulation and under Title III or Title V of the Higher Education Act of 1965, as amended.
Title: ADMINISTRATIVE COST ALLOWANCE Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects (the Schedule) presents the activities of Saint Leo University, Inc. (the University) for the year ended June 30, 2023, which have been funded by the U.S. government and the State of Florida. Because the Schedule presents only a selected portion of the activities of the University, it is not intended to, and does not, present either the financial position or changes in net assets of the University. The Schedule is prepared on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles. The information in 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 (the Uniform Guidance), and Chapter 215.97, Florida Statutes. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimus indirect cost rate as outlined in the Uniform Guidance. The University claimed an administrative cost allowance of $16,070 for the year ended June 30, 2023. This amount is included in the accompanying Schedule as federal expenditures under the Federal Pell Grant.
Title: CONTINGENCIES AND OTHER MATTERS Accounting Policies: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance Projects (the Schedule) presents the activities of Saint Leo University, Inc. (the University) for the year ended June 30, 2023, which have been funded by the U.S. government and the State of Florida. Because the Schedule presents only a selected portion of the activities of the University, it is not intended to, and does not, present either the financial position or changes in net assets of the University. The Schedule is prepared on the accrual basis of accounting in accordance with U.S. generally accepted accounting principles. The information in 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 (the Uniform Guidance), and Chapter 215.97, Florida Statutes. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimus indirect cost rate as outlined in the Uniform Guidance. Grant monies received and disbursed by the University are for specific purposes and are subject to review by the grantor agencies. Such audits may result in requests for reimbursement due to disallowed expenditures. If any expenditures are disallowed by the grantor agencies as a result of such an audit, any claim for reimbursement to the grantor agencies would become a liability of the University. The University does not believe that such disallowances, if any, would have a material effect on the financial position of the University. As of June 30, 2023, management is not aware of any material questioned or disallowed costs as a result of grant audits in process or completed.

Finding Details

Finding 2023-001
2023–001 Return to Title IV (R2T4) Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding Related to Compliance and Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: In accordance with 34 CFR 668.22(a)(1), when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student’s withdrawal date. The Code of Federal Regulations, 34 CFR 668.22 defines the last date of attendance for schools that are required to take attendance and those that are not required. Condition: During our testing, we noted six instances out of forty students tested, where the R2T4 calculation performed by the Institution utilized incorrect withdrawal dates. Questioned Costs: These errors resulted in insufficient refunds to the Department of Education totaling $124. This amount includes $54 of insufficient refunds of direct loan funds, and $70 of Pell funds that should have been returned. Context: Incorrect inputs in the R2T4 calculation resulted in the calculation discrepancies. Cause: The University’s policies and procedures did not ensure calculations were properly performed. Effect: The University returned insufficient funds to the Department of Education. Repeat Finding: Yes Recommendation: We recommend the University review the R2T4 requirements and implement procedures to ensure the R2T4 calculations are using the correct withdrawal dates and are completed accurately. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.
Finding 2023-001
2023–001 Return to Title IV (R2T4) Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding Related to Compliance and Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: In accordance with 34 CFR 668.22(a)(1), when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student’s withdrawal date. The Code of Federal Regulations, 34 CFR 668.22 defines the last date of attendance for schools that are required to take attendance and those that are not required. Condition: During our testing, we noted six instances out of forty students tested, where the R2T4 calculation performed by the Institution utilized incorrect withdrawal dates. Questioned Costs: These errors resulted in insufficient refunds to the Department of Education totaling $124. This amount includes $54 of insufficient refunds of direct loan funds, and $70 of Pell funds that should have been returned. Context: Incorrect inputs in the R2T4 calculation resulted in the calculation discrepancies. Cause: The University’s policies and procedures did not ensure calculations were properly performed. Effect: The University returned insufficient funds to the Department of Education. Repeat Finding: Yes Recommendation: We recommend the University review the R2T4 requirements and implement procedures to ensure the R2T4 calculations are using the correct withdrawal dates and are completed accurately. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.
Finding 2023-002
2023–002 – NSLDS Enrollment Reporting Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding related to Compliance and Significant Deficiency in Internal Controls over Compliance. Criteria or Specific Requirement: Institutions are required to report, certify, and correct enrollment information under the Direct Loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. Institutions must return the roster within 15 days of receipt, and correct errors within 10 days of receipt. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Condition: During our testing of the Direct Loan programs, we selected a sample of 40 students to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). 24 of 40 students tested had one or more instances of noncompliance noted below: I. Twenty-four instances where the student’s program begin date reported to NSLDS did not agree to the Institution's records. 34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2) II. One instance where the student’s program enrollment effective date was incorrectly reported to NSLDS. 34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2) Questioned Costs: None Context: Out of a sample of 40 students selected for testing we noted the exceptions as described above. Cause: The University’s processes and controls did not ensure that student status changes were properly reported to NSLDS and errors corrected timely. Effect: The NSLDS system is not updated with the student information which can cause over awarding should the student transfer to another institution and the students may not properly enter the repayment period. Repeat Finding: YES Recommendation: We recommend the Institution review its reporting procedures to ensure that students’ program begin dates and program enrollment effective dates are accurately reported to NSLDS as required by regulations. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.
Finding 2023-001
2023–001 Return to Title IV (R2T4) Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding Related to Compliance and Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: In accordance with 34 CFR 668.22(a)(1), when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student’s withdrawal date. The Code of Federal Regulations, 34 CFR 668.22 defines the last date of attendance for schools that are required to take attendance and those that are not required. Condition: During our testing, we noted six instances out of forty students tested, where the R2T4 calculation performed by the Institution utilized incorrect withdrawal dates. Questioned Costs: These errors resulted in insufficient refunds to the Department of Education totaling $124. This amount includes $54 of insufficient refunds of direct loan funds, and $70 of Pell funds that should have been returned. Context: Incorrect inputs in the R2T4 calculation resulted in the calculation discrepancies. Cause: The University’s policies and procedures did not ensure calculations were properly performed. Effect: The University returned insufficient funds to the Department of Education. Repeat Finding: Yes Recommendation: We recommend the University review the R2T4 requirements and implement procedures to ensure the R2T4 calculations are using the correct withdrawal dates and are completed accurately. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.
Finding 2023-001
2023–001 Return to Title IV (R2T4) Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding Related to Compliance and Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: In accordance with 34 CFR 668.22(a)(1), when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student’s withdrawal date. The Code of Federal Regulations, 34 CFR 668.22 defines the last date of attendance for schools that are required to take attendance and those that are not required. Condition: During our testing, we noted six instances out of forty students tested, where the R2T4 calculation performed by the Institution utilized incorrect withdrawal dates. Questioned Costs: These errors resulted in insufficient refunds to the Department of Education totaling $124. This amount includes $54 of insufficient refunds of direct loan funds, and $70 of Pell funds that should have been returned. Context: Incorrect inputs in the R2T4 calculation resulted in the calculation discrepancies. Cause: The University’s policies and procedures did not ensure calculations were properly performed. Effect: The University returned insufficient funds to the Department of Education. Repeat Finding: Yes Recommendation: We recommend the University review the R2T4 requirements and implement procedures to ensure the R2T4 calculations are using the correct withdrawal dates and are completed accurately. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.
Finding 2023-002
2023–002 – NSLDS Enrollment Reporting Federal Agency: Department of Education Federal Program: Student Financial Assistance Cluster Assistance Listing Numbers: 84.268 – Federal Direct Student Loans Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Other Matters Finding related to Compliance and Significant Deficiency in Internal Controls over Compliance. Criteria or Specific Requirement: Institutions are required to report, certify, and correct enrollment information under the Direct Loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. Institutions must return the roster within 15 days of receipt, and correct errors within 10 days of receipt. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Condition: During our testing of the Direct Loan programs, we selected a sample of 40 students to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). 24 of 40 students tested had one or more instances of noncompliance noted below: I. Twenty-four instances where the student’s program begin date reported to NSLDS did not agree to the Institution's records. 34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2) II. One instance where the student’s program enrollment effective date was incorrectly reported to NSLDS. 34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2) Questioned Costs: None Context: Out of a sample of 40 students selected for testing we noted the exceptions as described above. Cause: The University’s processes and controls did not ensure that student status changes were properly reported to NSLDS and errors corrected timely. Effect: The NSLDS system is not updated with the student information which can cause over awarding should the student transfer to another institution and the students may not properly enter the repayment period. Repeat Finding: YES Recommendation: We recommend the Institution review its reporting procedures to ensure that students’ program begin dates and program enrollment effective dates are accurately reported to NSLDS as required by regulations. Views of Responsible Officials and Planned Corrective Actions: See Corrective Action Plan prepared by the University.