FAC Explorer

Audit 331604

FY End
2024-06-30
Total Expended
$89.45M
Findings
10
Programs
35
Organization: City Colleges of Chicago (IL)
Year: 2024 Accepted: 2024-12-09
Auditor: Rsm US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
513700 2024-002 Significant Deficiency Yes N
513701 2024-002 Significant Deficiency Yes N
513702 2024-003 Significant Deficiency - L
513703 2024-003 Significant Deficiency - L
513704 2024-003 Significant Deficiency - L
1090142 2024-002 Significant Deficiency Yes N
1090143 2024-002 Significant Deficiency Yes N
1090144 2024-003 Significant Deficiency - L
1090145 2024-003 Significant Deficiency - L
1090146 2024-003 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
84.063 Federal Pell Grant Program $61.41M Yes 1
84.268 Federal Direct Student Loans $4.39M Yes 0
93.575 Child Care and Development Block Grant $3.36M Yes 1
84.007 Federal Supplemental Educational Opportunity Grants $1.90M Yes 1
84.002 Adult Education - Basic Grants to States $1.86M - 0
93.600 Head Start $1.77M - 0
84.048 Career and Technical Education -- Basic Grants to States $1.40M - 0
12.006 National Defense Education Program $1.23M - 0
84.033 Federal Work-Study Program $1.11M Yes 0
84.042 Trio Student Support Services $936,666 - 0
84.425 Education Stabilization Fund $819,452 - 0
84.116 Fund for the Improvement of Postsecondary Education $672,881 - 0
93.732 Mental and Behavioral Health Education and Training Grants $533,244 - 0
16.575 Crime Victim Assistance $469,237 - 0
84.044 Trio Talent Search $382,345 - 0
11.307 Economic Adjustment Assistance $379,576 - 0
16.525 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus $359,072 - 0
47.076 Stem Education (formerly Education and Human Resources) $343,389 - 0
20.205 Highway Planning and Construction $334,225 - 0
84.031 Higher Education Institutional Aid $238,190 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $196,420 Yes 0
84.066 Trio Educational Opportunity Centers $142,811 - 0
17.268 H-1b Job Training Grants $135,592 - 0
10.558 Child and Adult Care Food Program $120,162 - 0
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $64,036 - 0
84.382 Strengthening Minority-Serving Institutions $57,063 - 0
81.117 Energy Efficiency and Renewable Energy Information Dissemination, Outreach, Training and Technical Analysis/assistance $46,188 - 0
84.215 Innovative Approaches to Literacy; Promise Neighborhoods; Full-Service Community Schools; and Congressionally Directed Spending for Elementary and Secondary Education Community Projects $24,541 - 0
93.859 Biomedical Research and Research Training $19,181 - 0
93.113 Environmental Health $12,378 - 0
47.070 Computer and Information Science and Engineering $10,000 - 0
93.969 Pphf Geriatric Education Centers $3,240 - 0
84.305 Education Research, Development and Dissemination $2,290 - 0
43.008 Office of Stem Engagement (ostem) $2,152 - 0
81.049 Office of Science Financial Assistance Program $1,065 - 0

Contacts

Name Title Type
L3EXK4J98JQ1 Jolenna Nanalig Auditee
3125533345 Kelly Kirkman Auditor
No contacts on file

Notes to SEFA

Title: Scope of Entity Accounting Policies: Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate. City Colleges of Chicago, Community College District No. 508 (City Colleges) is a separate taxing body created under the Illinois Public Community College Act of 1965, with boundaries coterminous with the City of Chicago. City Colleges delivers educational and student services through seven colleges, each of which is separately accredited by the North Central Association. The seven colleges are Richard J. Daley College, Harold Washington College, Kennedy-King College, Malcolm X College, Olive-Harvey College, Harry S. Truman College and Wilbur Wright College. The Board of Trustees, appointed by the Mayor of the City of Chicago and ratified by the City Council of Chicago, is responsible for establishing the policies and procedures by which City Colleges is governed. The U.S. Department of Education has been designated as the City Colleges cognizant agency for the audit performed 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). Fiscal period audited: Single audit testing procedures were performed for program transactions that occurred during the fiscal year ended June 30, 2024.
Title: Summary of Significant Accounting Policies Accounting Policies: Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate. Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Costs Accounting Policies: Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate. City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate.
Title: Federal Student Loan Programs Accounting Policies: Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate. Loans made under the Federal Direct Student Loan program (Assistance Listing Number 84.268) issued to eligible students of City Colleges during the fiscal year ended June 30, 2024, are summarized as follows: Guaranteed Loan Program: Subsidized $2,352,113; Unsubsidized: $2,039,883; and Total Federal Student Loan Programs of $4,391,996. The loan programs include subsidized and unsubsidized loans. The value of loans issued for the Federal Student Loan Program is based on disbursement amounts. The loan amounts issued during the year are disclosed on the schedule. City Colleges is responsible only for the performance of certain administrative duties with respect to the federally guaranteed student loan programs and, accordingly, balances and transactions relating to these loan programs are not included in City Colleges' basic financial statements. Therefore, it is not practicable to determine the balance of loans outstanding to students and former students of City Colleges at June 30, 2024.
Title: Amount of Federal Insurance in Effect During the Year Accounting Policies: Basis of presentation: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of City Colleges under programs of the federal government for the year ended June 30, 2024. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of City Colleges, it is not intended to and does not present the financial position changes in net position, or cash flows of City Colleges. Basis of accounting: Expenditures are reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: City Colleges has a plan for allocation of common and indirect costs related to grant programs in accordance with the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The indirect cost rate used to allocate amounts to grant programs during the fiscal year ended June 30, 2024, is primarily based on a federally negotiated higher education rate agreement of 53%. Because City Colleges negotiated an indirect cost rate, it cannot elect to use the 10% de minimis rate. No federal insurance was received by City Colleges during the year ended June 30, 2024.

Finding Details

Finding 2024-002
Finding 2024-002 – Enrollment Reporting Repeat Finding: Yes Federal Program Title – U.S. Department of Education Student Financial Assistance Cluster Federal Pell Grant Program: 84.063 Federal Supplemental Educational Opportunity Grants 84.007 Federal Award Year 2023-2024 Award Number: P063P, P007A Condition During our testing of students who withdrew from City Colleges we noted the following exceptions: For one out of sixty students tested (2%) who withdrew from City Colleges, the students’ withdrawal date reported to the National Student Loan Data System (NSLDS) for campus level and program level did not match the institution’s records. Also, the student’s program level withdrawal was not reported to NSLDS within 60 days. For one out of sixty students tested (2%) who withdrew from City Colleges, the student’s withdrawal date reported to the NSLDS for campus level was not reported to NSLDS within 60 days. For two out of sixty students tested (3%) who withdrew from City Colleges were not reported to NSLDS within 60 days. Criteria CFR section 685.309 and 690.83(b)(2) requires City Colleges to notify the NSLDS within 30 days of a change in student status or include the change in status in a response to an enrollment reporting roster within 60 days of the student’s date of determination of withdrawal. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure accurate reporting of enrollment status changes. Questioned Costs There were no questioned costs related to testing of enrollment reporting. Cause The financial aid office does not have an effective system in place to ensure all official student status changes are reported to the lender accurately. Prevalence Infrequent. Four out of sixty students selected for testing. Effect Failure to report status changes timely is noncompliance with Federal regulation and could result in loss of future funding. Recommendation We recommend City Colleges implement monitoring procedures which will promptly notify the financial aid office of any student status changes. A system of monitoring procedures and/or controls will ensure the College is reporting any status changes to the lender accurately. City Colleges should implement a review process to ensure all status changes are addressed by the financial aid office. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-002
Finding 2024-002 – Enrollment Reporting Repeat Finding: Yes Federal Program Title – U.S. Department of Education Student Financial Assistance Cluster Federal Pell Grant Program: 84.063 Federal Supplemental Educational Opportunity Grants 84.007 Federal Award Year 2023-2024 Award Number: P063P, P007A Condition During our testing of students who withdrew from City Colleges we noted the following exceptions: For one out of sixty students tested (2%) who withdrew from City Colleges, the students’ withdrawal date reported to the National Student Loan Data System (NSLDS) for campus level and program level did not match the institution’s records. Also, the student’s program level withdrawal was not reported to NSLDS within 60 days. For one out of sixty students tested (2%) who withdrew from City Colleges, the student’s withdrawal date reported to the NSLDS for campus level was not reported to NSLDS within 60 days. For two out of sixty students tested (3%) who withdrew from City Colleges were not reported to NSLDS within 60 days. Criteria CFR section 685.309 and 690.83(b)(2) requires City Colleges to notify the NSLDS within 30 days of a change in student status or include the change in status in a response to an enrollment reporting roster within 60 days of the student’s date of determination of withdrawal. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure accurate reporting of enrollment status changes. Questioned Costs There were no questioned costs related to testing of enrollment reporting. Cause The financial aid office does not have an effective system in place to ensure all official student status changes are reported to the lender accurately. Prevalence Infrequent. Four out of sixty students selected for testing. Effect Failure to report status changes timely is noncompliance with Federal regulation and could result in loss of future funding. Recommendation We recommend City Colleges implement monitoring procedures which will promptly notify the financial aid office of any student status changes. A system of monitoring procedures and/or controls will ensure the College is reporting any status changes to the lender accurately. City Colleges should implement a review process to ensure all status changes are addressed by the financial aid office. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-002
Finding 2024-002 – Enrollment Reporting Repeat Finding: Yes Federal Program Title – U.S. Department of Education Student Financial Assistance Cluster Federal Pell Grant Program: 84.063 Federal Supplemental Educational Opportunity Grants 84.007 Federal Award Year 2023-2024 Award Number: P063P, P007A Condition During our testing of students who withdrew from City Colleges we noted the following exceptions: For one out of sixty students tested (2%) who withdrew from City Colleges, the students’ withdrawal date reported to the National Student Loan Data System (NSLDS) for campus level and program level did not match the institution’s records. Also, the student’s program level withdrawal was not reported to NSLDS within 60 days. For one out of sixty students tested (2%) who withdrew from City Colleges, the student’s withdrawal date reported to the NSLDS for campus level was not reported to NSLDS within 60 days. For two out of sixty students tested (3%) who withdrew from City Colleges were not reported to NSLDS within 60 days. Criteria CFR section 685.309 and 690.83(b)(2) requires City Colleges to notify the NSLDS within 30 days of a change in student status or include the change in status in a response to an enrollment reporting roster within 60 days of the student’s date of determination of withdrawal. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure accurate reporting of enrollment status changes. Questioned Costs There were no questioned costs related to testing of enrollment reporting. Cause The financial aid office does not have an effective system in place to ensure all official student status changes are reported to the lender accurately. Prevalence Infrequent. Four out of sixty students selected for testing. Effect Failure to report status changes timely is noncompliance with Federal regulation and could result in loss of future funding. Recommendation We recommend City Colleges implement monitoring procedures which will promptly notify the financial aid office of any student status changes. A system of monitoring procedures and/or controls will ensure the College is reporting any status changes to the lender accurately. City Colleges should implement a review process to ensure all status changes are addressed by the financial aid office. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-002
Finding 2024-002 – Enrollment Reporting Repeat Finding: Yes Federal Program Title – U.S. Department of Education Student Financial Assistance Cluster Federal Pell Grant Program: 84.063 Federal Supplemental Educational Opportunity Grants 84.007 Federal Award Year 2023-2024 Award Number: P063P, P007A Condition During our testing of students who withdrew from City Colleges we noted the following exceptions: For one out of sixty students tested (2%) who withdrew from City Colleges, the students’ withdrawal date reported to the National Student Loan Data System (NSLDS) for campus level and program level did not match the institution’s records. Also, the student’s program level withdrawal was not reported to NSLDS within 60 days. For one out of sixty students tested (2%) who withdrew from City Colleges, the student’s withdrawal date reported to the NSLDS for campus level was not reported to NSLDS within 60 days. For two out of sixty students tested (3%) who withdrew from City Colleges were not reported to NSLDS within 60 days. Criteria CFR section 685.309 and 690.83(b)(2) requires City Colleges to notify the NSLDS within 30 days of a change in student status or include the change in status in a response to an enrollment reporting roster within 60 days of the student’s date of determination of withdrawal. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure accurate reporting of enrollment status changes. Questioned Costs There were no questioned costs related to testing of enrollment reporting. Cause The financial aid office does not have an effective system in place to ensure all official student status changes are reported to the lender accurately. Prevalence Infrequent. Four out of sixty students selected for testing. Effect Failure to report status changes timely is noncompliance with Federal regulation and could result in loss of future funding. Recommendation We recommend City Colleges implement monitoring procedures which will promptly notify the financial aid office of any student status changes. A system of monitoring procedures and/or controls will ensure the College is reporting any status changes to the lender accurately. City Colleges should implement a review process to ensure all status changes are addressed by the financial aid office. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.
Finding 2024-003
Finding 2024-003 – Reporting Repeat Finding: No Federal Program Title – U.S. Department of Health and Human Services Child Care and Development Block Grant (93.575) U.S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds (21.027) Federal Award Year 2023-2024 Award Numbers: 684-05-2840, 420-27-2731, 684-05-2866 Pass Through Entities: Illinois Community College Board, Illinois Department of Commerce and Economic Opportunity, Illinois State Board of Education Condition During our testing of quarterly and annual reports required to be submitted, we noted all reports were submitted and contained accurate information, however: For four of the twelve (33.3%) reports tested for the Child Care and Development Block Grant program, City Colleges did not timely submit certain quarterly reports to the grantor. Reports were submitted between one to thirty days late. For four of the fifteen (26.7%) reports tested for the Coronavirus State and Local Fiscal Recovery Funds, City Colleges did not timely submit certain quarterly and close-out reports to the grantor. Reports were submitted between one to two days late. Criteria Per the grant agreements for the Child Care and Development Block Grant and the Coronavirus State and Local Fiscal Recovery Funds, City Colleges is required to submit quarterly reports along with a final close-out report, which are all required to be submitted within 30 days of the period end. 2 CFR Section 200.303 requires entities receiving Federal awards establish and maintain internal controls deigned to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures in place to ensure timely reporting of required reports. Questioned Costs There were no questioned costs related to testing of reporting. Cause Submission delays were a result of poor time management and breakdowns in communication between PIs, grantor, and the District Office Institutional Resource Development Team. Prevalence Frequent. Four out of twelve reports (33.3%) tested for the Child Care and Development Block Grant program and four out of fifteen (26.7%) reports for the Coronavirus State and Local Fiscal Recovery Funds. Effect Failure to submit reports timely is noncompliance with the requirements of the grant award and could result in loss of funding or other penalties. Recommendation We recommend City Colleges implement monitoring procedures to ensure that reports are submitted in a timely manner. Views of responsible officials We agree with this finding. See corrective action plan.