Audit 339919

FY End
2024-06-30
Total Expended
$87.81M
Findings
4
Programs
57
Organization: The University of Akron (OH)
Year: 2024 Accepted: 2025-01-27
Auditor: Crowe LLP

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
520270 2024-004 Significant Deficiency Yes E
520271 2024-004 Significant Deficiency Yes E
1096712 2024-004 Significant Deficiency Yes E
1096713 2024-004 Significant Deficiency Yes E

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $47.71M Yes 0
84.063 Federal Pell Grant Program $19.29M Yes 0
84.038 Federal Perkins Loan Program $2.58M Yes 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.37M Yes 0
43.001 Science $1.25M - 0
84.007 Federal Supplemental Educational Opportunity Grants $730,052 Yes 0
12.910 Research and Technology Development $718,480 - 0
93.394 Cancer Detection and Diagnosis Research $648,412 - 0
84.047 Trio Upward Bound $596,407 Yes 1
93.364 Nursing Student Loans $513,987 Yes 0
84.044 Trio Talent Search $507,234 Yes 1
84.033 Federal Work-Study Program $464,073 Yes 0
81.087 Renewable Energy Research and Development $455,332 - 0
47.083 Integrative Activities $421,450 - 0
47.074 Biological Sciences $353,669 - 0
93.837 Cardiovascular Diseases Research $302,135 - 0
47.070 Computer and Information Science and Engineering $210,165 - 0
47.084 Nsf Technology, Innovation, and Partnerships $198,325 - 0
47.050 Geosciences $155,679 - 0
20.600 State and Community Highway Safety $152,645 - 0
93.859 Biomedical Research and Research Training $146,917 - 0
81.086 Conservation Research and Development $122,413 - 0
93.867 Vision Research $119,436 - 0
93.667 Social Services Block Grant $117,772 - 0
12.560 Dod, Ndep, Dotc-Stem Education Outreach Implementation $110,611 - 0
84.325 Special Education - Personnel Development to Improve Services and Results for Children with Disabilities $93,893 - 0
84.425 Education Stabilization Fund $71,093 - 0
20.724 Pipeline Safety Research Competitive Academic Agreement Program (caap) $61,692 - 0
81.112 Stewardship Science Grant Program $61,447 - 0
93.853 Extramural Research Programs in the Neurosciences and Neurological Disorders $56,361 - 0
12.420 Military Medical Research and Development $52,912 - 0
93.847 Diabetes, Digestive, and Kidney Diseases Extramural Research $47,538 - 0
20.205 Highway Planning and Construction $45,138 - 0
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $37,720 Yes 0
12.300 Basic and Applied Scientific Research $35,079 - 0
84.365 English Language Acquisition State Grants $33,143 - 0
93.558 Temporary Assistance for Needy Families $32,616 - 0
84.027 Special Education Grants to States $23,061 - 0
93.286 Discovery and Applied Research for Technological Innovations to Improve Human Health $21,668 - 0
15.805 Assistance to State Water Resources Research Institutes $19,792 - 0
20.701 University Transportation Centers Program $19,368 - 0
47.049 Mathematical and Physical Sciences $14,051 - 0
93.107 Area Health Education Centers $13,337 - 0
12.800 Air Force Defense Research Sciences Program $13,148 - 0
43.008 Office of Stem Engagement (ostem) $11,870 - 0
45.149 Promotion of the Humanities Division of Preservation and Access $10,000 - 0
93.279 Drug Abuse and Addiction Research Programs $9,905 - 0
93.846 Arthritis, Musculoskeletal and Skin Diseases Research $9,608 - 0
47.041 Engineering $8,289 - 0
81.049 Office of Science Financial Assistance Program $7,812 - 0
12.630 Basic, Applied, and Advanced Research in Science and Engineering $5,184 - 0
93.732 Mental and Behavioral Health Education and Training Grants $5,099 - 0
93.969 Pphf Geriatric Education Centers $4,728 - 0
20.109 Air Transportation Centers of Excellence $1,701 - 0
47.076 Stem Education (formerly Education and Human Resources) $278 - 0
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $-2 - 0
81.089 Fossil Energy Research and Development $-16,139 - 0

Contacts

Name Title Type
DFNLDECWM8J8 Brett Riebau Auditee
3309726922 Christine Torres Auditor
No contacts on file

Notes to SEFA

Title: Note 1 - Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of The University of Akron (The University) 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 Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (the “Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of The University, it is not intended to and does not present the financial position, changes in net position or cash flows of The University.
Title: Note 2 - Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. The University attempts to recover facilities and administrative costs by means of predetermined rates. The predetermined rates are a result of negotiated agreements with the U.S. Department of Health and Human Services. The predetermined rates are 52% for on-campus research, 35.5% for other on-campus sponsored activities and 26% for off-campus research through June 30, 2028. The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance.
Title: Note 3 – Loans Outstanding Accounting Policies: Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. The following schedule represents total loans advanced to students by The University and balances outstanding for the Perkins and Nursing Student Loan Programs for the year ended June 30, 2024: Cluster/Program Title Ass istance Listing Number Advances Outstanding Balances Perkins Loan Program (net of allowances) 8 4.038 $ - $ 1 ,419,758 Nursing Student Loan Program (net of allowances) 9 3.364 24,580 449,884
Title: Note 4 - Adjustments and Transfers Accounting Policies: Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. As allowable and in accordance with federal regulations issued by the U.S. Department of Education, The University transferred $188,400 of Federal Work Study (FWS) Program (84.033) award funds to the Federal Supplemental Education Opportunity Grant (SEOG) Program (84.007). The University carried forward and spent $59,803 of the 2022-2023 SEOG award to the 2023-2024 award year. In addition, the University carried forward $83,771 and $53,448 of the 2023-2024 FWS and SEOG awards, respectively, to the 2024-2025 award year. The University spent $83,771 of the carried forward FWS funds from the 2022-2023 award year during the 2023-2024 award year.
Title: Note 5 - Reconciliation Accounting Policies: Expenditures reported on the Schedule are reported on the same basis of accounting as the basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10-percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. The following schedule is a reconciliation of total expenditures as shown on the Schedule to the revenue shown as federal grants and contracts on the Statement of Revenues, Expenses and Changes in Position (the Statement), which is included as part of The University's financial statements: Expenditures per the Schedule $ 87,810,165 Pell grants (19,292,976) Federal direct loans (47,709,248) Federal Perkins loan program (2,576,519) Nursing student loan program (513,987) Federal grants passed through state entities (2,784,389) Federal grants passed through local entities (32,616) Private grants (3,973,196) Federal purchased service contracts 37,745 Indirect costs excluded from federal grants on Statement 165,036 Federal grants and contracts as shown on the Statement $ 11,130,015 Current restricted funds derived from appropriations, gifts or grants may be used only to meet current expenditures for the purposes specifically identified by sponsoring agencies. The appropriations, gifts or grants are recognized as revenue in The University's external financial statements as expended. Therefore, expenditures per the Schedule reconciles with federal grants and contracts revenue on the Statement, except as noted above.

Finding Details

FINDING 2024-004 – TRIO Eligibility Federal Program Information: TRIO Cluster: TRIO Talent Search, ALN #84.044 TRIO Upward Bound, ALN #84.047 Criteria: Determination of student eligibility associated with TRIO programs should be documented with all documentation retained. Condition: Student TRIO eligibility was not properly documented. Context: The following errors were identified during the testing of Student TRIO eligibility: • For the TRIO Upward Bound program, 4 of 15 selections were found to have incomplete documentation of the determination associated with the University Eligibility Determination Certificate intake forms. • For the TRIO Talent Search program, 3 of 45 selections were found to be students allocated to a waitlist for the program and eventually admitted, but no final documented determination of eligibility into the program was made. Questioned Cost: None Effect: Ineligible students could receive TRIO funding if eligibility is not properly documented and retained. Cause: Documentation was not updated when subsequent documentation or changes were made to participants. Repeat Finding: Yes Recommendation: We recommend implementing a formalized process for ensuring that appropriate determination of student eligibility for TRIO programs occurs. Response: The Office of Academic Achievement Programs will update their procedures to ensure that all appropriate documentation is maintained when making eligibility determinations for each student.
FINDING 2024-004 – TRIO Eligibility Federal Program Information: TRIO Cluster: TRIO Talent Search, ALN #84.044 TRIO Upward Bound, ALN #84.047 Criteria: Determination of student eligibility associated with TRIO programs should be documented with all documentation retained. Condition: Student TRIO eligibility was not properly documented. Context: The following errors were identified during the testing of Student TRIO eligibility: • For the TRIO Upward Bound program, 4 of 15 selections were found to have incomplete documentation of the determination associated with the University Eligibility Determination Certificate intake forms. • For the TRIO Talent Search program, 3 of 45 selections were found to be students allocated to a waitlist for the program and eventually admitted, but no final documented determination of eligibility into the program was made. Questioned Cost: None Effect: Ineligible students could receive TRIO funding if eligibility is not properly documented and retained. Cause: Documentation was not updated when subsequent documentation or changes were made to participants. Repeat Finding: Yes Recommendation: We recommend implementing a formalized process for ensuring that appropriate determination of student eligibility for TRIO programs occurs. Response: The Office of Academic Achievement Programs will update their procedures to ensure that all appropriate documentation is maintained when making eligibility determinations for each student.
FINDING 2024-004 – TRIO Eligibility Federal Program Information: TRIO Cluster: TRIO Talent Search, ALN #84.044 TRIO Upward Bound, ALN #84.047 Criteria: Determination of student eligibility associated with TRIO programs should be documented with all documentation retained. Condition: Student TRIO eligibility was not properly documented. Context: The following errors were identified during the testing of Student TRIO eligibility: • For the TRIO Upward Bound program, 4 of 15 selections were found to have incomplete documentation of the determination associated with the University Eligibility Determination Certificate intake forms. • For the TRIO Talent Search program, 3 of 45 selections were found to be students allocated to a waitlist for the program and eventually admitted, but no final documented determination of eligibility into the program was made. Questioned Cost: None Effect: Ineligible students could receive TRIO funding if eligibility is not properly documented and retained. Cause: Documentation was not updated when subsequent documentation or changes were made to participants. Repeat Finding: Yes Recommendation: We recommend implementing a formalized process for ensuring that appropriate determination of student eligibility for TRIO programs occurs. Response: The Office of Academic Achievement Programs will update their procedures to ensure that all appropriate documentation is maintained when making eligibility determinations for each student.
FINDING 2024-004 – TRIO Eligibility Federal Program Information: TRIO Cluster: TRIO Talent Search, ALN #84.044 TRIO Upward Bound, ALN #84.047 Criteria: Determination of student eligibility associated with TRIO programs should be documented with all documentation retained. Condition: Student TRIO eligibility was not properly documented. Context: The following errors were identified during the testing of Student TRIO eligibility: • For the TRIO Upward Bound program, 4 of 15 selections were found to have incomplete documentation of the determination associated with the University Eligibility Determination Certificate intake forms. • For the TRIO Talent Search program, 3 of 45 selections were found to be students allocated to a waitlist for the program and eventually admitted, but no final documented determination of eligibility into the program was made. Questioned Cost: None Effect: Ineligible students could receive TRIO funding if eligibility is not properly documented and retained. Cause: Documentation was not updated when subsequent documentation or changes were made to participants. Repeat Finding: Yes Recommendation: We recommend implementing a formalized process for ensuring that appropriate determination of student eligibility for TRIO programs occurs. Response: The Office of Academic Achievement Programs will update their procedures to ensure that all appropriate documentation is maintained when making eligibility determinations for each student.