Audit 305761

FY End
2023-08-31
Total Expended
$35.58M
Findings
6
Programs
12
Organization: Point Park University (PA)
Year: 2023 Accepted: 2024-05-08

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
396149 2023-002 Significant Deficiency - N
396150 2023-001 - - N
396151 2023-002 Significant Deficiency - N
972591 2023-002 Significant Deficiency - N
972592 2023-001 - - N
972593 2023-002 Significant Deficiency - N

Contacts

Name Title Type
ZMPHH84J4NN4 Bridget Mancosh Auditee
4123923992 Thomas Walenchok Auditor
No contacts on file

Notes to SEFA

Title: RELATIONSHIP TO BASIC FINANCIAL STATEMENTS Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) presents the expenditures of all federal awards programs of Point Park University (“University”) using the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. 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). Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the financial position, changes in net assets or cash flows of the University.
Title: STUDENT FINANCIAL ASSISTANCE AND LOAN PROGRAMS Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) presents the expenditures of all federal awards programs of Point Park University (“University”) using the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The total loans granted under the Federal Direct Student Loan Program, which were not made by the University but were received by its students, were approximately $29,160,000 for the year ended August 31, 2023. The total loans outstanding under the Federal Perkins Loan Program at August 31, 2023 were approximately $161,000. In addition, no new loans were awarded under this program during the year ended August 31, 2023. Federal award expenditures include loans administered under the Federal Direct Student Loan Program during the year ended August 31, 2023, and Federal Perkins Loan Program as of August 31, 2022.

Finding Details

Federal Program: Student Financial Assistance Cluster – Federal Pell Grant Program, Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063, 84.268 Federal Award Year: June 30, 2023 Criterion: Title IV regulations (34 CFR 685.309(b)) require that upon receipt of an enrollment report from the Secretary of the Department of Education (Secretary), institutions must update all information included in the report and return the report to the Secretary: (i) in the manner and format prescribed by the Secretary; and (ii) within the timeframe prescribed by the Secretary. Unless the institution expects to submit its next updated enrollment report to the Secretary within the next 60 days, an institution must notify the Secretary within 30 days after the date the institution discovers that: (i) a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the institution, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended or (ii) a student who is enrolled at the institution and who received a loan under Title IV of the Act has changed his or her permanent address. Condition and Context: Exceptions were noted for five out of the twenty-five students tested. The exceptions are noted as follows: • For two students, their status was reported late to National Student Loan Data System (NSLDS) at the campus and program level. • For two students, incorrect statuses were reported to NSLDS at the campus and program level. The correct status was never reported. • For one student, no reporting was submitted to NSLDS at the campus or program level. Our sample was not statistically valid. Cause: The University uses the National Student Clearinghouse (NSC) to transmit enrollment information to NSLDS. The University transmitted correct enrollment information for the students identified above to NSC, yet the campus level and program level information was not correct in NSLDS. The University’s process did not ensure accurate reporting to NSLDS. Effect: The accuracy of the Title IV student loan records depends heavily on the accuracy of the enrollment information reported by schools. If an institution does not review, update, and verify student enrollment statuses, effective dates of the enrollment status, and the anticipated completion dates, then the Title IV student loan records will be inaccurate. Recommendation: The University should implement a process and related control to ensure accurate and timely reporting to NSLDS as well as working with NSC to understand the discrepancy in reporting to NSLDS. Management Response: Management agrees with the finding. The Director of Financial Aid and the Registrar will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate and timely updating of the enrollment reports to NSLDS.
Federal Program: Student Financial Assistance Cluster - Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.268 Federal Award Year: June 30, 2023 Criterion: 34 CFR 668.22 requires that 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 in accordance with Federal regulations and return the unearned portion of the grant or loan funds to the Title IV programs as soon as possible but no later than 45 days after the withdrawal date. Condition and Context: The return of Title IV funding amount for one student, out of thirteen selected for testing, was not correctly calculated and an incorrect amount was returned within 45 days after the withdrawal date. Our sample was not statistically valid. Cause: The University did not properly calculate the number of days in a term by excluding the total number of days during the spring break, which resulted in an incorrect percentage of attendance to be used in the refund calculation. Effect: The University returned an incorrect amount based on the student’s percentage of completion in the semester. Recommendation: The University should reevaluate the existing process and related control to ensure that the Title IV funds are accurately calculated and returned to the Department of Education. Management Response: Management agrees with the finding. The Director of Financial Aid will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate calculation for return of Title IV funds.
Federal Program: Student Financial Assistance Cluster – Federal Pell Grant Program, Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063, 84.268 Federal Award Year: June 30, 2023 Criterion: Title IV regulations (34 CFR 685.309(b)) require that upon receipt of an enrollment report from the Secretary of the Department of Education (Secretary), institutions must update all information included in the report and return the report to the Secretary: (i) in the manner and format prescribed by the Secretary; and (ii) within the timeframe prescribed by the Secretary. Unless the institution expects to submit its next updated enrollment report to the Secretary within the next 60 days, an institution must notify the Secretary within 30 days after the date the institution discovers that: (i) a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the institution, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended or (ii) a student who is enrolled at the institution and who received a loan under Title IV of the Act has changed his or her permanent address. Condition and Context: Exceptions were noted for five out of the twenty-five students tested. The exceptions are noted as follows: • For two students, their status was reported late to National Student Loan Data System (NSLDS) at the campus and program level. • For two students, incorrect statuses were reported to NSLDS at the campus and program level. The correct status was never reported. • For one student, no reporting was submitted to NSLDS at the campus or program level. Our sample was not statistically valid. Cause: The University uses the National Student Clearinghouse (NSC) to transmit enrollment information to NSLDS. The University transmitted correct enrollment information for the students identified above to NSC, yet the campus level and program level information was not correct in NSLDS. The University’s process did not ensure accurate reporting to NSLDS. Effect: The accuracy of the Title IV student loan records depends heavily on the accuracy of the enrollment information reported by schools. If an institution does not review, update, and verify student enrollment statuses, effective dates of the enrollment status, and the anticipated completion dates, then the Title IV student loan records will be inaccurate. Recommendation: The University should implement a process and related control to ensure accurate and timely reporting to NSLDS as well as working with NSC to understand the discrepancy in reporting to NSLDS. Management Response: Management agrees with the finding. The Director of Financial Aid and the Registrar will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate and timely updating of the enrollment reports to NSLDS.
Federal Program: Student Financial Assistance Cluster – Federal Pell Grant Program, Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063, 84.268 Federal Award Year: June 30, 2023 Criterion: Title IV regulations (34 CFR 685.309(b)) require that upon receipt of an enrollment report from the Secretary of the Department of Education (Secretary), institutions must update all information included in the report and return the report to the Secretary: (i) in the manner and format prescribed by the Secretary; and (ii) within the timeframe prescribed by the Secretary. Unless the institution expects to submit its next updated enrollment report to the Secretary within the next 60 days, an institution must notify the Secretary within 30 days after the date the institution discovers that: (i) a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the institution, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended or (ii) a student who is enrolled at the institution and who received a loan under Title IV of the Act has changed his or her permanent address. Condition and Context: Exceptions were noted for five out of the twenty-five students tested. The exceptions are noted as follows: • For two students, their status was reported late to National Student Loan Data System (NSLDS) at the campus and program level. • For two students, incorrect statuses were reported to NSLDS at the campus and program level. The correct status was never reported. • For one student, no reporting was submitted to NSLDS at the campus or program level. Our sample was not statistically valid. Cause: The University uses the National Student Clearinghouse (NSC) to transmit enrollment information to NSLDS. The University transmitted correct enrollment information for the students identified above to NSC, yet the campus level and program level information was not correct in NSLDS. The University’s process did not ensure accurate reporting to NSLDS. Effect: The accuracy of the Title IV student loan records depends heavily on the accuracy of the enrollment information reported by schools. If an institution does not review, update, and verify student enrollment statuses, effective dates of the enrollment status, and the anticipated completion dates, then the Title IV student loan records will be inaccurate. Recommendation: The University should implement a process and related control to ensure accurate and timely reporting to NSLDS as well as working with NSC to understand the discrepancy in reporting to NSLDS. Management Response: Management agrees with the finding. The Director of Financial Aid and the Registrar will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate and timely updating of the enrollment reports to NSLDS.
Federal Program: Student Financial Assistance Cluster - Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.268 Federal Award Year: June 30, 2023 Criterion: 34 CFR 668.22 requires that 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 in accordance with Federal regulations and return the unearned portion of the grant or loan funds to the Title IV programs as soon as possible but no later than 45 days after the withdrawal date. Condition and Context: The return of Title IV funding amount for one student, out of thirteen selected for testing, was not correctly calculated and an incorrect amount was returned within 45 days after the withdrawal date. Our sample was not statistically valid. Cause: The University did not properly calculate the number of days in a term by excluding the total number of days during the spring break, which resulted in an incorrect percentage of attendance to be used in the refund calculation. Effect: The University returned an incorrect amount based on the student’s percentage of completion in the semester. Recommendation: The University should reevaluate the existing process and related control to ensure that the Title IV funds are accurately calculated and returned to the Department of Education. Management Response: Management agrees with the finding. The Director of Financial Aid will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate calculation for return of Title IV funds.
Federal Program: Student Financial Assistance Cluster – Federal Pell Grant Program, Federal Direct Student Loans Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063, 84.268 Federal Award Year: June 30, 2023 Criterion: Title IV regulations (34 CFR 685.309(b)) require that upon receipt of an enrollment report from the Secretary of the Department of Education (Secretary), institutions must update all information included in the report and return the report to the Secretary: (i) in the manner and format prescribed by the Secretary; and (ii) within the timeframe prescribed by the Secretary. Unless the institution expects to submit its next updated enrollment report to the Secretary within the next 60 days, an institution must notify the Secretary within 30 days after the date the institution discovers that: (i) a loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the institution, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended or (ii) a student who is enrolled at the institution and who received a loan under Title IV of the Act has changed his or her permanent address. Condition and Context: Exceptions were noted for five out of the twenty-five students tested. The exceptions are noted as follows: • For two students, their status was reported late to National Student Loan Data System (NSLDS) at the campus and program level. • For two students, incorrect statuses were reported to NSLDS at the campus and program level. The correct status was never reported. • For one student, no reporting was submitted to NSLDS at the campus or program level. Our sample was not statistically valid. Cause: The University uses the National Student Clearinghouse (NSC) to transmit enrollment information to NSLDS. The University transmitted correct enrollment information for the students identified above to NSC, yet the campus level and program level information was not correct in NSLDS. The University’s process did not ensure accurate reporting to NSLDS. Effect: The accuracy of the Title IV student loan records depends heavily on the accuracy of the enrollment information reported by schools. If an institution does not review, update, and verify student enrollment statuses, effective dates of the enrollment status, and the anticipated completion dates, then the Title IV student loan records will be inaccurate. Recommendation: The University should implement a process and related control to ensure accurate and timely reporting to NSLDS as well as working with NSC to understand the discrepancy in reporting to NSLDS. Management Response: Management agrees with the finding. The Director of Financial Aid and the Registrar will ensure the implementation of procedures and controls in fiscal 2024 to ensure accurate and timely updating of the enrollment reports to NSLDS.