FAC Explorer

Audit 332801

FY End
2024-06-30
Total Expended
$15.86M
Findings
12
Programs
10
Organization: Rocky Mountain College (MT)
Year: 2024 Accepted: 2024-12-16
Auditor: Kcoe Isom LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
514464 2024-001 Significant Deficiency - N
514465 2024-002 Significant Deficiency - N
514466 2024-002 Significant Deficiency - N
514467 2024-002 Significant Deficiency - N
514468 2024-002 Significant Deficiency - N
514469 2024-002 Significant Deficiency - N
1090906 2024-001 Significant Deficiency - N
1090907 2024-002 Significant Deficiency - N
1090908 2024-002 Significant Deficiency - N
1090909 2024-002 Significant Deficiency - N
1090910 2024-002 Significant Deficiency - N
1090911 2024-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $13.46M Yes 1
84.063 Federal Pell Grant Program $1.37M Yes 1
84.042 Trio Student Support Services $344,897 - 0
84.038 Federal Perkins Loan Program $291,717 Yes 1
93.859 Biomedical Research and Research Training $137,558 - 0
84.033 Federal Work-Study Program $122,494 Yes 1
84.007 Federal Supplemental Educational Opportunity Grants $95,670 Yes 1
93.136 Injury Prevention and Control Research and State and Community Based Programs $19,941 - 0
43.008 Office of Stem Engagement (ostem) $9,126 - 0
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $3,772 Yes 1

Contacts

Name Title Type
QNN2SJRQXTE1 Melodie Milroy Auditee
4066571022 Jill Galle Auditor
No contacts on file

Notes to SEFA

Title: 3. PASS-THROUGH FINANCIAL ASSISTANCE Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal grant activity of Rocky Mountain College (the College) and is presented on the accrual basis of accounting. 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. Expenditures  reported  on  this  schedule  are  reported  on  the  accrual  basis  of  accounting.  Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 230, Cost Principles for Non‐profit Organizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: During the year ended June 30, 2024, the College has elected not to use the 10 percent de minimis indirect cost rate allowed under Uniform Guidance. During the year ended June 30, 2024, the College had no pass‐through financial assistance to other organizations.
Title: 4. FEDERAL STUDENT LOAN PROGRAMS Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal grant activity of Rocky Mountain College (the College) and is presented on the accrual basis of accounting. 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. Expenditures  reported  on  this  schedule  are  reported  on  the  accrual  basis  of  accounting.  Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 230, Cost Principles for Non‐profit Organizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: During the year ended June 30, 2024, the College has elected not to use the 10 percent de minimis indirect cost rate allowed under Uniform Guidance. The College participates in the following federal loan programs: Perkins Loan Program (CFDA No. 84.038) Total Perkins loan expenditures and disbursements to students for the year ended June 30, 2024, was$‐0‐. The outstanding balance of Perkins loans as of June 30, 2024, was $136,712. Direct Student Loans (CFDA No. 84.268) During the year ended June 30, 2024, the College processed a total of $13,460,279 of new loans under the Direct Student Loan Program.

Finding Details

Finding 2024-001
Finding No. 2024‐001: Missing Original Promissory Note in Perkins Loan File Assistance Title: Student Financial Assistance Cluster – Federal Perkins Loan Program Assistance Listing Number: 84.038 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Perkins Loan Recordkeeping and Retention Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria Per 34 CFR §674.19(e), institutions participating in the Federal Perkins Loan Program are required to maintain accurate and complete records for each borrower, including the original signed promissory note. Condition During our compliance testing of 25 Perkins Loan files, we discovered that one file—representing approximately 4% of the sample—was missing the original promissory note. The loan in question had an original amount of $600, with an unpaid balance of $459 as of June 30, 2024. Cause The missing promissory note appears to be due to inadequate internal controls over document retention procedures, resulting in the oversight or misplacement of critical loan documentation. Effect Without the original promissory note, the College may be unable to enforce repayment of the loan, potentially resulting in financial loss to the Perkins Loan Program and noncompliance with federal regulations. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College strengthen its document retention policies and procedures to ensure that all original promissory notes are properly maintained in the loan files. This may include implementing a tracking system for loan documentation and conducting periodic audits of loan files to verify the presence of required documents. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-001
Finding No. 2024‐001: Missing Original Promissory Note in Perkins Loan File Assistance Title: Student Financial Assistance Cluster – Federal Perkins Loan Program Assistance Listing Number: 84.038 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Perkins Loan Recordkeeping and Retention Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria Per 34 CFR §674.19(e), institutions participating in the Federal Perkins Loan Program are required to maintain accurate and complete records for each borrower, including the original signed promissory note. Condition During our compliance testing of 25 Perkins Loan files, we discovered that one file—representing approximately 4% of the sample—was missing the original promissory note. The loan in question had an original amount of $600, with an unpaid balance of $459 as of June 30, 2024. Cause The missing promissory note appears to be due to inadequate internal controls over document retention procedures, resulting in the oversight or misplacement of critical loan documentation. Effect Without the original promissory note, the College may be unable to enforce repayment of the loan, potentially resulting in financial loss to the Perkins Loan Program and noncompliance with federal regulations. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College strengthen its document retention policies and procedures to ensure that all original promissory notes are properly maintained in the loan files. This may include implementing a tracking system for loan documentation and conducting periodic audits of loan files to verify the presence of required documents. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.
Finding 2024-002
Assistance Title: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.063, 84.0384, 84.268, 84.379 Federal Agency: U.S. Department of Education Type of Finding: Significant Deficiency and Noncompliance Category of Finding: Special Tests and Provisions: Enrollment Reporting Known Questioned Costs: $‐0‐ Likely Questioned Costs: $‐0‐ Criteria According to 34 CFR §685.309(b), institutions must report changes in student enrollment status to the National Student Loan Data System (NSLDS) within 30 days of the change or include the change in response to the next scheduled Enrollment Reporting roster file within 60 days. Condition During compliance testing of 14 student records, it was found that 1 student—representing approximately 7% of the sample—was not reported to NSLDS in a timely manner, exceeding the required reporting deadlines. Cause The untimely reporting resulted from a lapse in internal controls over the enrollment reporting process, possibly due to oversight or insufficient monitoring of reporting schedules. Effect Failure to report enrollment status changes promptly can lead to incorrect deferment or repayment statuses for student borrowers, potentially affecting their financial obligations and the federal government's ability to manage the student loan portfolio effectively. Repeat Finding This is not a repeat finding. Recommendation We recommend that the College review and enhance its procedures for monitoring and reporting enrollment status changes. This could involve implementing automated alerts, providing additional staff training, or establishing more robust internal checks to ensure adherence to reporting deadlines. Management’s Response Management concurs with this finding. See Management’s Response and Corrective Action plan.