Condition: During the year, the College disbursed $43,983 of SEOG funds to students but drew down their entire authorized amount of $123,626 resulting in an overdraw of $79,643. Criteria: Under the Heightened Cash Monitoring 1 (HCM1) payment method as stated in 34 CFR 668.162(d), the College must first make distributions to eligible students and parents and pay any remaining credit balances before request or receipt of funds for the amount of those disbursements from the U.S. Department of Education (DOE). Context: A review of the entire population of drawdowns for the Student Financial Aid cluster for the entire year was performed and as such, the sample is statistically valid. Cause: The College did not follow the procedures for requesting federal funds and disbursing them to student accounts timely as required by the HCM1 payment method. Effect: The College was not in compliance with the HCM1 drawdown payment method. Questioned costs: $79,643. Recommendation: The College should review its procedures related to the request and disbursement of federal funds, including controls over compliance, to ensure they are following the HCM payment method. Views of Responsible Officials and Planned Corrective Actions: Management agrees with this finding.
Condition: The College did not fully comply with the requirements outlined in the award that requires funds to be disbursed within 3 days of the drawdown from G5. The College follows the cash basis of accounting as described in the footnotes to the schedule of expenditures of federal awards, and during the year, it charged $116,037 prior to drawdown and $83,561 subsequent to drawdown. Criteria: CRRSAA HEERF II and ARP HEERF II require that Institutional Aid Portions should be disbursed within 3 calendar days of the drawdown from G5. Cause: Personnel were not fully aware of the timeframe required for funds to be spend under the award agreement. Effect: The College was not in compliance with the Cash Management compliance requirement. Questioned costs: Not Applicable. Recommendation: The College should take action to ensure staff are trained to be knowledgeable of all requirements under federal awards it receives. Views of Responsible Officials and Planned Corrective Actions: Management agrees with this finding.
Condition: It was noted during the audit that the amount of Pell awards granted to students was not accurately reported on the College’s annual Fiscal Operations Report and Application to Participate (FISAP). Criteria: Non-federal entities are required to submit the FISAP electronically, on an annual basis, for its campus-based programs to report expenditures in the previous award year. Cause: The Chief Financial Officer reported the incorrect amount of Pell awards disbursed to students. Effect: Inaccurate report was filed. Questioned costs: Not applicable. Views of Responsible Officials and Planned Corrective Actions: The College should establish a procedure that requires a separate review of the FISAP prior to submission. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: During the year, the College disbursed $43,983 of SEOG funds to students but drew down their entire authorized amount of $123,626 resulting in an overdraw of $79,643. Criteria: Under the Heightened Cash Monitoring 1 (HCM1) payment method as stated in 34 CFR 668.162(d), the College must first make distributions to eligible students and parents and pay any remaining credit balances before request or receipt of funds for the amount of those disbursements from the U.S. Department of Education (DOE). Context: A review of the entire population of drawdowns for the Student Financial Aid cluster for the entire year was performed and as such, the sample is statistically valid. Cause: The College did not follow the procedures for requesting federal funds and disbursing them to student accounts timely as required by the HCM1 payment method. Effect: The College was not in compliance with the HCM1 drawdown payment method. Questioned costs: $79,643. Recommendation: The College should review its procedures related to the request and disbursement of federal funds, including controls over compliance, to ensure they are following the HCM payment method. Views of Responsible Officials and Planned Corrective Actions: Management agrees with this finding.
Condition: The College did not fully comply with the requirements outlined in the award that requires funds to be disbursed within 3 days of the drawdown from G5. The College follows the cash basis of accounting as described in the footnotes to the schedule of expenditures of federal awards, and during the year, it charged $116,037 prior to drawdown and $83,561 subsequent to drawdown. Criteria: CRRSAA HEERF II and ARP HEERF II require that Institutional Aid Portions should be disbursed within 3 calendar days of the drawdown from G5. Cause: Personnel were not fully aware of the timeframe required for funds to be spend under the award agreement. Effect: The College was not in compliance with the Cash Management compliance requirement. Questioned costs: Not Applicable. Recommendation: The College should take action to ensure staff are trained to be knowledgeable of all requirements under federal awards it receives. Views of Responsible Officials and Planned Corrective Actions: Management agrees with this finding.
Condition: It was noted during the audit that the amount of Pell awards granted to students was not accurately reported on the College’s annual Fiscal Operations Report and Application to Participate (FISAP). Criteria: Non-federal entities are required to submit the FISAP electronically, on an annual basis, for its campus-based programs to report expenditures in the previous award year. Cause: The Chief Financial Officer reported the incorrect amount of Pell awards disbursed to students. Effect: Inaccurate report was filed. Questioned costs: Not applicable. Views of Responsible Officials and Planned Corrective Actions: The College should establish a procedure that requires a separate review of the FISAP prior to submission. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.
Condition: For one student out of four tested, there was no refund calculated which resulted in an underpayment to the student of Federal Funds earned by the student of $711. Criteria: 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. Cause: The financial aid administrator was not notified that the student withdrew from the College. Effect: Earned and unearned portions of the federal award were not properly disbursed or returned. Questioned costs: The total net amount of Federal awards to students tested was $24,871 which resulted in a $3,248 error. The total amount of Federal awards disbursed to students for which an R2T4 was required to be completed was $85,860 resulting in a questioned cost of $11,213. Views of Responsible Officials and Planned Corrective Actions: The College should implement stronger controls to ensure communication to the financial aid administrator is made so that return of Title IV funding calculations are computed. Management’s response: The College agrees with this finding.