FAC Explorer

Audit 336033

FY End
2024-05-31
Total Expended
$1.10M
Findings
2
Programs
4
Organization: Welch College (TN)
Year: 2024 Accepted: 2025-01-06
Auditor: Crosslin PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
517848 2024-001 - - N
1094290 2024-001 - - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $588,026 Yes 1
84.063 Federal Pell Grant Program $486,435 Yes 0
84.007 Federal Supplemental Educational Opportunity Grants $15,611 Yes 0
84.033 Federal Work-Study Program $10,355 Yes 0

Contacts

Name Title Type
MKVLJRQC3Z21 Craig Mahler Auditee
6156755292 John Crosslin Auditor
No contacts on file

Notes to SEFA

Title: Note B Accounting Policies: The schedule of expenditures of federal awards includes the federal grant activity of Welch 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). The College has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The College is responsible only for the performance of certain administrative duties with respect to federal direct student loans, and accordingly, these loans are not included in the financial statements. The loans processed are included in the Schedule of Expenditures of Federal Awards as part of the student financial assistance cluster. During the year ended May 31, 2024, the College processed $588,026 of new loans under the Federal Direct Student Loans program.

Finding Details

Finding 2024-001
ITEM # 2024 - 001 - INTERNAL CONTROLS OVER STUDENT’S CHANGE IN STATUS FOR SPECIAL TESTS AND PROVISIONS Student Financial Assistance Cluster U.S. Department of Education Criteria The National Student Loan Data System (“NSLDS”) requires the College to report student enrollment changes within 30 days of the change in status, however, if a roster file is expected within 60 days, a 60-day time frame is allowable. Condition and Context In testing the internal controls for Welch’s major program, it was noted that there was one selection out of three selections tested where the student’s status change was not reported with the NSLDS within the allowable time frame. Cause The student was not properly included in the Populi system as withdrawn which resulted in the error not being discovered until after the allowable time frame had passed. Effect Welch was not in compliance with NSLDS reporting requirements. Recommendation We recommend that Welch strengthens procedures to ensure all status changes are reported within the required time frame to NSLDS.
Finding 2024-001
ITEM # 2024 - 001 - INTERNAL CONTROLS OVER STUDENT’S CHANGE IN STATUS FOR SPECIAL TESTS AND PROVISIONS Student Financial Assistance Cluster U.S. Department of Education Criteria The National Student Loan Data System (“NSLDS”) requires the College to report student enrollment changes within 30 days of the change in status, however, if a roster file is expected within 60 days, a 60-day time frame is allowable. Condition and Context In testing the internal controls for Welch’s major program, it was noted that there was one selection out of three selections tested where the student’s status change was not reported with the NSLDS within the allowable time frame. Cause The student was not properly included in the Populi system as withdrawn which resulted in the error not being discovered until after the allowable time frame had passed. Effect Welch was not in compliance with NSLDS reporting requirements. Recommendation We recommend that Welch strengthens procedures to ensure all status changes are reported within the required time frame to NSLDS.