Audit 300625

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Migrant Education (Title I) Program – CFDA No. 84.011(A) Criteria: 2 CFR Part 200 requires the College to have the following internal controls in place in order to determine allowability under federal awards; 1) Be necessary and reasonable for the performance of the federal award and be allocable thereto under the principles in 2 CFR Part 200, Subpart E. 2) Conform to any limitations or exclusions set forth in 2 CFR Part 200, Subpart E or in the federal award as to types or amount of cost items. 3) Be consistent with policies and procedures that apply uniformly to both federally financed and other activities of the non-federal entity. 4) Be accorded consistent treatment. A cost may not be assigned to a federal award as a direct cost if any other cost incurred for the same purpose in like circumstances has been allocated to the federal award as an indirect cost. 5) Be determined in accordance with generally accepted accounting principles (GAAP), except for state and local government and Indian tribes only as otherwise provided for in 2 CFR Part 200. 6) Not be included as a cost or used to meet cost-sharing or matching requirements of any other federally financed program in either the correct or a prior period. 7) Be adequately documented. Condition: During our testing of expenses of the College, we selected forty (40) expenses charged to Migrant Education (Title I) Program. During this testing, it was noted the College issued payments without proper prior approval being kept on file and without regard to College policy. Fifteen (15) of forty (40) expenses selected for testing were missing prior approval. Cause: The College did not have proper procedures in place regarding obtaining prior approval and authorization for disbursements. Effect or Potential Effect: The breakdown of internal controls in the area could adversely affect the recording, processing and reporting of financial data, as well as creating an opportunity for fraud to occur. Questioned Costs: None Context: Disbursements were made by the College without proper internally required approval and authorization. Repeat Finding: No Recommendation: Policies and procedures should be implemented prohibiting issuance of payments without prior approval and authorization. All payments should be issued in compliance with the College’s grants policy manual. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Family Education Loans – CFDA No. 84.032 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: The institution must disburse Federal funds requested as soon as administratively feasible but no later than 3 business days following the date the institution received those funds. A credit balance on a students account must be paid directly to the student or parent as soon as possible, but no later than fourteen (14) days after the balance occurred. 34 CFR sections 668.162, 668.164, 668.167(b), 682.603, and 682.604(d)). Condition: During our testing of the financial aid disbursements it was noted the College is not maintaining records of what students the drawdowns were for, therefore we were unable to determine if the amounts were posted to the student accounts within the required time frame and subsequently were paying out any credit balances created on student accounts. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the delayed payment to the student. Questioned Costs: None Context: During our testing of student financial aid disbursements, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Forty (40) of forty (40) files tested, the College was unable to produce reports showing what students were included with each drawdown from the Department of Education, therefore resulting in an inability to complete the test. Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns from the Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of the student financial aid proceeds and a control in place that allows the financial aid department to know the student financial aid was applied to the student’s account timely. Views of responsible officials and planned corrective action: See the Corrective Action Plan on pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Criteria: Under the Pell grant and ED loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file [formerly the Student Status Confirmation Report (SSCR)] placed in their Student Aid Internet Gateway (SAIG) (OMB No. 1845-0002) mailboxes sent by ED via NSLDS (OMB No. 1845-0035). The institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in student status, report the date the enrollment status was effective, enter the new anticipated completion date, and submit the changes electronically through the batch method or the NSLDS website (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309). Institutions are responsible for timely reporting, whether they report directly or via a third-party servicer. NSLDS will send a Late Enrollment Reporting notification e-mail if no updates are received by batch or online within 22 days after the date the roster was sent to the school. The Enrollment Reporting Summary Report (SCHER1) on the NSLDS website can be created at the request of the institution. It shows the dates the roster files were sent and returned, the number of errors, date and number of online updates, and the number of late enrollment reporting notifications sent for overdue Enrollment Reporting rosters. Condition: During our testing of the enrollment reporting, it was noted that Fort Scott Community College did not have internal controls of reporting changes in student status’ to NSLDS. Cause: The College did not have proper training that allowed for changes in the Federal reporting regulations and the creation of an error summary report to process all errors in a timely manner. Effect or Potential Effect: A student’s enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for the payment of interest subsidies to FFEL Program loan holders by ED. Enrollment Reporting in a timely and accurate manner is critical for effective management of the programs. Questioned Costs: None Context: During our testing of the enrollment reporting process, it was noted that Fort Scott Community College’s internal controls over enrollment reporting broke down after there was a change in the reporting process. Twenty-four (24) of forty (40) files tested, changes to a student’s status was either incorrectly submitted or batch errors were not timely corrected. Repeat Finding: No Recommendation: Policies and procedures should be written to provide additional training and oversight of staff responsible for enrollment reporting. We recommend the College establish an oversight process that includes additional controls necessary until staff are fully trained in the area of enrollment reporting. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Student Financial Aid Cluster Federal Pell Grant Program – CFDA No. 84.063 Federal Direct Student Loans – CFDA No. 84.268 Federal Supplemental Educational Opportunity Grant – CFDA No. 84.007 Federal Work-Study Program – CFDA No. 84.033 Criteria: 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 (34 CFR section 668.22). Condition: During the testing of the return of Title IV funds, it was noted that on six (6) of six (6) tested calculation of funds to be returned had no documentation to determine if returns were completed timely as the College did not retain the lists of students associated with drawdowns and/or returns. Cause: The College did not have proper procedures in place regarding record retention. Effect or Potential Effect: The deficiencies in the design and operation of the internal controls in this area could result in the institution not returning Federal funds as required by Title IV regulations or returning an incorrect amount. Questioned Costs: None Context: During our testing of return of Title IV funds, it was noted that Fort Scott Community College’s internal controls over posting to student accounts broke down after there was a change in staff. Six (6) of six (6) files tested, the College was unable to produce reports showing what students were included with each drawdown, including returns, from Department of Education, therefore resulting inability to complete the test. Repeat Finding: No Recommendation: Policies and procedures should be written to provide internal control over the documentation used to complete the drawdowns, including returns, from Department of Education. We recommend the College establish a communication and record retention process that allows for the notification of students withdrawing and a control in place that allows the financial aid department to know the student financial aid was returned to Department of Education within the required timeframe. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.

Information of Federal Program: Migrant Education (Title I) Program – CFDA No. 84.011(A) Criteria: 2 CFR Part 200 requires the College to have the following internal controls in place in order to determine allowability under federal awards; 1) Be necessary and reasonable for the performance of the federal award and be allocable thereto under the principles in 2 CFR Part 200, Subpart E. 2) Conform to any limitations or exclusions set forth in 2 CFR Part 200, Subpart E or in the federal award as to types or amount of cost items. 3) Be consistent with policies and procedures that apply uniformly to both federally financed and other activities of the non-federal entity. 4) Be accorded consistent treatment. A cost may not be assigned to a federal award as a direct cost if any other cost incurred for the same purpose in like circumstances has been allocated to the federal award as an indirect cost. 5) Be determined in accordance with generally accepted accounting principles (GAAP), except for state and local government and Indian tribes only as otherwise provided for in 2 CFR Part 200. 6) Not be included as a cost or used to meet cost-sharing or matching requirements of any other federally financed program in either the correct or a prior period. 7) Be adequately documented. Condition: During our testing of expenses of the College, we selected forty (40) expenses charged to Migrant Education (Title I) Program. During this testing, it was noted the College issued payments without proper prior approval being kept on file and without regard to College policy. Fifteen (15) of forty (40) expenses selected for testing were missing prior approval. Cause: The College did not have proper procedures in place regarding obtaining prior approval and authorization for disbursements. Effect or Potential Effect: The breakdown of internal controls in the area could adversely affect the recording, processing and reporting of financial data, as well as creating an opportunity for fraud to occur. Questioned Costs: None Context: Disbursements were made by the College without proper internally required approval and authorization. Repeat Finding: No Recommendation: Policies and procedures should be implemented prohibiting issuance of payments without prior approval and authorization. All payments should be issued in compliance with the College’s grants policy manual. Views of responsible officials and planned corrective action: Management is in agreement and will implement a Corrective Action Plan, see pages 72-75 of the current year audit.