FAC Explorer

Audit 335602

FY End
2024-06-30
Total Expended
$9.03M
Findings
14
Programs
9
Organization: Thomas College (ME)
Year: 2024 Accepted: 2025-01-03
Auditor: Wipfli LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
517582 2024-001 - - N
517583 2024-001 - - N
517584 2024-001 - - N
517585 2024-001 - - N
517586 2024-001 - - N
517587 2024-002 Significant Deficiency - N
517588 2024-003 - - N
1094024 2024-001 - - N
1094025 2024-001 - - N
1094026 2024-001 - - N
1094027 2024-001 - - N
1094028 2024-001 - - N
1094029 2024-002 Significant Deficiency - N
1094030 2024-003 - - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $5.05M Yes 2
84.063 Federal Pell Grant Program $1.52M Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.23M Yes 0
84.116 Fund for the Improvement of Postsecondary Education $301,656 - 0
84.031 Higher Education_institutional Aid $263,996 - 0
84.007 Federal Supplemental Educational Opportunity Grants $248,573 Yes 1
84.042 Trio_student Support Services $229,573 - 0
84.033 Federal Work-Study Program $149,198 Yes 1
84.038 Federal Perkins Loan $35,430 Yes 2

Contacts

Name Title Type
HGJBEEKLB553 Alicia Gardiner Auditee
2078591131 Patrick Nicholas Auditor
No contacts on file

Notes to SEFA

Title: Federal Direct Student Loans Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Thomas College under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Thomas College, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Thomas College.Expenditures 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: The Auditee did not use the de minimis cost rate. During the fiscal year ended June 30, 2024, the College processed the following amount of new loans under the Federal Direct Student Loans (AL Number 84.268). These amounts are also included in the federal expenditures schedule: Federal Direct Loans: $4,205,148, Federal Plus Loans: $846,397

Finding Details

Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-002
Finding 2024-002 Repeat Finding: No Major Programs: 84.268 Federal Direct Student Loans Program Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Enrollment Reporting Type of Finding: Significant Deficiency in Internal Control over Compliance Other matters Questioned Costs: None Criteria: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition and Context: The examination disclosed 2 instances out of 40 student files tested in which NSLDS was not updated correctly. The institution did not accurately report the most recent status of the students. Effect: The inaccurate status may effect the student’s future Title IV funding. Cause: It appears the College’s third-party servicer National student Clearing Clearinghouse (NSC) had a breakdown in the communication to NSLDS. Recommendation: We recommend that the College enhance its internal controls to ensure all information submitted to NSLDS is reviewed for accuracy on a timely basis. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-003
Finding 2024-003 Repeat Finding: No Major Programs: 84.038 Perkins Loans Program Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Perkins Loan liquidation Type of Finding: Other matters Questioned Costs: None Criteria: All loans deemed unenforceable by the Department will be rejected for assignment and returned to the school for purchase. Section 674.50(g) of the Federal Perkins Loan Program regulations requires that the school reimburse its revolving fund (the Fund) for the entire portion of the outstanding balance plus any accrued interest on a loan the Department determines is unenforceable. Condition and Context: The College was required to purchase certain unenforceable loans with outstanding principal and interest in the amount of $44,617. The purchased amount was required to be deposited into the College’s Perkins Loan bank account prior to the determination of the cash balance and final distribution. The College did not make the deposit prior to the calculation and distribution. Effect: The Department of Education did not receive the proper share of the final cash balance. Cause: The College did not understand the procedures for the purchase of rejected loans. Recommendation: We recommend the College make the required purchase with a deposit into the Perkins cash account and recalculate the Department of Education’s share of the cash balance. View of responsible officials: The College agrees and has made the corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-001
Finding 2024-001: Repeat Finding: No Major Programs: Student Financial Aid Cluster Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Verification Type of Finding: Other matters Questioned Costs: None Criteria: The College must maintain an annotated copy of the valid, unexpired, government-issued photo identification (ID) that includes the date it was received and the name of the College’s authorized to receive it. Condition and Context: The examination disclosed 1 student out of 9 files tested, in which the V4 verification was performed inaccurately. The College did not annotate the photo ID provided by the student with the date it was received and reviewed, and the name of the official at the institution authorized to received and review the student’s ID. Effect: The institution did not follow their stated procedures, and the auditor could not verify if the student appeared in person before the certifying FA official for V4 verification. Possible Cause: An oversight was made by the institution. Recommendation: The institution should implement better oversight over the verification process and ensure it is performed accurately and that all stated procedures are followed. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-002
Finding 2024-002 Repeat Finding: No Major Programs: 84.268 Federal Direct Student Loans Program Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Enrollment Reporting Type of Finding: Significant Deficiency in Internal Control over Compliance Other matters Questioned Costs: None Criteria: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition and Context: The examination disclosed 2 instances out of 40 student files tested in which NSLDS was not updated correctly. The institution did not accurately report the most recent status of the students. Effect: The inaccurate status may effect the student’s future Title IV funding. Cause: It appears the College’s third-party servicer National student Clearing Clearinghouse (NSC) had a breakdown in the communication to NSLDS. Recommendation: We recommend that the College enhance its internal controls to ensure all information submitted to NSLDS is reviewed for accuracy on a timely basis. View of responsible officials: The College agrees with the finding and are committed to a corrective action.
Finding 2024-003
Finding 2024-003 Repeat Finding: No Major Programs: 84.038 Perkins Loans Program Federal Agency: Department of Education Award Year: July 1, 2023 to June 30, 2024 Compliance Requirement: Special Tests – Perkins Loan liquidation Type of Finding: Other matters Questioned Costs: None Criteria: All loans deemed unenforceable by the Department will be rejected for assignment and returned to the school for purchase. Section 674.50(g) of the Federal Perkins Loan Program regulations requires that the school reimburse its revolving fund (the Fund) for the entire portion of the outstanding balance plus any accrued interest on a loan the Department determines is unenforceable. Condition and Context: The College was required to purchase certain unenforceable loans with outstanding principal and interest in the amount of $44,617. The purchased amount was required to be deposited into the College’s Perkins Loan bank account prior to the determination of the cash balance and final distribution. The College did not make the deposit prior to the calculation and distribution. Effect: The Department of Education did not receive the proper share of the final cash balance. Cause: The College did not understand the procedures for the purchase of rejected loans. Recommendation: We recommend the College make the required purchase with a deposit into the Perkins cash account and recalculate the Department of Education’s share of the cash balance. View of responsible officials: The College agrees and has made the corrective action.