Audit 301235

FY End
2023-06-30
Total Expended
$24.45M
Findings
16
Programs
22
Organization: Oregon Tech (OR)
Year: 2023 Accepted: 2024-03-30

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
390438 2023-001 Significant Deficiency - N
390439 2023-001 Significant Deficiency - N
390440 2023-001 Significant Deficiency - N
390441 2023-002 Significant Deficiency - N
390442 2023-003 Significant Deficiency - N
390443 2023-003 Significant Deficiency - N
390444 2023-003 Significant Deficiency - N
390445 2023-004 Significant Deficiency - N
966880 2023-001 Significant Deficiency - N
966881 2023-001 Significant Deficiency - N
966882 2023-001 Significant Deficiency - N
966883 2023-002 Significant Deficiency - N
966884 2023-003 Significant Deficiency - N
966885 2023-003 Significant Deficiency - N
966886 2023-003 Significant Deficiency - N
966887 2023-004 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $14.76M Yes 3
84.063 Federal Pell Grant Program $4.32M Yes 2
11.300 Investments for Public Works and Economic Development Facilities $1.59M Yes 0
93.493 Congressional Directives $707,134 - 0
84.038 Federal Perkins Loan $686,316 Yes 1
84.215 Fund for the Improvement of Education $392,825 - 0
84.425 Education Stabilization Fund $274,879 Yes 0
84.007 Federal Supplemental Educational Opportunity Grants $257,952 Yes 2
84.042 Trio_student Support Services $189,492 - 0
84.033 Federal Work-Study Program $91,145 Yes 0
43.001 Science $70,885 - 0
21.019 Coronavirus Relief Fund $56,400 Yes 0
17.259 Wia Youth Activities $38,674 - 0
20.701 University Transportation Centers Program $38,477 - 0
47.049 Mathematical and Physical Sciences $32,714 - 0
47.084 Nsf Technology, Innovation, and Partnerships $18,963 - 0
15.247 Wildlife Resource Management $13,749 - 0
43.008 Education $12,291 - 0
10.868 Rural Energy for America Program $7,320 - 0
47.076 Education and Human Resources $6,215 - 0
66.516 P3 Award: National Student Design Competition for Sustainability $3,407 - 0
12.000 Department of Defense $440 - 0

Contacts

Name Title Type
YDTVUWXQAZK9 Michelle Meyer Auditee
5418851628 Bryan Simkanich Auditor
No contacts on file

Notes to SEFA

Title: FEDERAL STUDENT LOAN PROGRAM Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Oregon Institute of Technology under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Oregon Institute of Technology, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Oregon Institute of Technology. De Minimis Rate Used: N Rate Explanation: Oregon Institute of Technology has elected to not use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The federal student loan program listed below is administered directly by Oregon Institute of Technology, and balances and transactions relating to this program are included in Oregon Institute of Technology's basic financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding as of June 30, 2023 consists of: Assistance Listing Number Program Title Outstanding Balance 84.038 Federal Perkins Loans $ 331,735

Finding Details

Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.268 Federal Award Identification Number and Year: P268K32067, 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(l) requires an institution must have a process that ensures SFA funds never escheat to a state or revert to the institution. Additionally, if a check sent to a student or parent is not returned to the institution but is not cashed, the institution must return the funds to the Secretary no later than 240 days after the date it issued the check. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of outstanding SFA checks, we identified three checks outstanding that had not been returned to the U.S. Department of Education within 240 days. Questioned costs: None Context: Out of our population of 31 outstanding checks, we noted three had the exception described above. Cause: The University did not have a process in place when these checks were created in fiscal year 2021; when a process was created, it was not retroactively applied to all outstanding SFA checks to date. Effect: The University did not return all SFA funds timely to the Department of Education. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding stale-dated check escheatment to ensure that the funds are returned to the appropriate program within 240 days from the date of issue. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.038 Federal Award Identification Number and Year: N/A – Revolving Loan Portfolio Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 674.19 (e)(4)(i) requires an institution shall keep the original paper promissory note or original paper MPN and repayment schedules in a locked, fireproof container. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the open Perkins Loans, we selected a sample of 21 loans, 6 of the loans tested were paper MPNs electronically copied to Adobe PDF and the paper MPNs were not retained and/or stored in the fireproof container. Certified true copies of MPN’s are only allowed to be retained when the original is required to be released to enforce the loan. Questioned costs: None Context: Out of a sample of 21 open loans 6 paper signed MPNs were converted to Adobe PDF’s and the original paper MPN was not retained and/or stored in the fireproof container. Cause: The school was unaware they needed to retain the original copies. Effect: The school does not have original paper MPNs in a locked, fireproof container. Repeat Finding: No Recommendation: We recommend that they assign the loans back to the Department of Education or have the students resign the loans via Electronic MPN or Paper MPN and retain those in the proper manner. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). We identified the following items of noncompliance:  8 enrollment changes where a student's enrollment status effective date was not correctly reported to NSLDS. (34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2))  1 instance where a student’s enrollment status change was not reported timely to NSLDS. (34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2)) Questioned costs: None Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 9 instances with exceptions as described above. Cause: The University was unaware of the errors which were caused by the transmission of date between their student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.268 Federal Award Identification Number and Year: P268K32067, 2022-2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(l) requires an institution must have a process that ensures SFA funds never escheat to a state or revert to the institution. Additionally, if a check sent to a student or parent is not returned to the institution but is not cashed, the institution must return the funds to the Secretary no later than 240 days after the date it issued the check. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of outstanding SFA checks, we identified three checks outstanding that had not been returned to the U.S. Department of Education within 240 days. Questioned costs: None Context: Out of our population of 31 outstanding checks, we noted three had the exception described above. Cause: The University did not have a process in place when these checks were created in fiscal year 2021; when a process was created, it was not retroactively applied to all outstanding SFA checks to date. Effect: The University did not return all SFA funds timely to the Department of Education. Repeat Finding: No Recommendation: CLA recommends that the University enhance its policies and procedures regarding stale-dated check escheatment to ensure that the funds are returned to the appropriate program within 240 days from the date of issue. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.063; 84.268; 84.007 Federal Award Identification Number and Year: P063P222067, P268K32067, P007A223499; 2022- 2023 Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 668.164(e)(2)(viii) requires institutions must provide an upto-date URL for their contract with a third-party servicer who assist in providing credit balances to students. This publication is published in a centralized database accessible to the public managed by the U.S. Department of Education. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing the University could not provide support that an up-to-date third party servicer contract and the related contract data was provided to the U.S. Department of Education. Additionally, the University was not included within the database retained by the U.S. Department of Education. Questioned costs: None Context: The University did not meet the compliance requirement to report the contract and contract components to the U.S. Department of Education. Cause: The University was not aware of the requirement and previous personnel did not retain applicable support, if completed. Effect: The U.S. Department of Education was not provided required information regarding the contract. Repeat Finding: No Recommendation: We recommend that the University enhance its policies and procedures to ensure required contracts and contract components are provided to the U.S. Department of Education. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.
Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.038 Federal Award Identification Number and Year: N/A – Revolving Loan Portfolio Award Period: July 1, 2022 – June 30, 2023 Type of Finding:  Other Matters  Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 34 CFR 674.19 (e)(4)(i) requires an institution shall keep the original paper promissory note or original paper MPN and repayment schedules in a locked, fireproof container. Additionally, Institutions must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Institution is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award (2 CFR 200.303). Condition: During our testing of the open Perkins Loans, we selected a sample of 21 loans, 6 of the loans tested were paper MPNs electronically copied to Adobe PDF and the paper MPNs were not retained and/or stored in the fireproof container. Certified true copies of MPN’s are only allowed to be retained when the original is required to be released to enforce the loan. Questioned costs: None Context: Out of a sample of 21 open loans 6 paper signed MPNs were converted to Adobe PDF’s and the original paper MPN was not retained and/or stored in the fireproof container. Cause: The school was unaware they needed to retain the original copies. Effect: The school does not have original paper MPNs in a locked, fireproof container. Repeat Finding: No Recommendation: We recommend that they assign the loans back to the Department of Education or have the students resign the loans via Electronic MPN or Paper MPN and retain those in the proper manner. Views of responsible officials: The University agrees with the finding. Management has developed a plan to correct the finding.