FAC Explorer

Audit 343592

FY End
2024-05-31
Total Expended
$7.52M
Findings
4
Programs
5
Organization: Chowan University (NC)
Year: 2024 Accepted: 2025-02-24
Auditor: Bdo USA PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
524369 2024-001 - - N
524370 2024-001 - - N
1100811 2024-001 - - N
1100812 2024-001 - - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $4.96M Yes 1
84.063 Federal Pell Grant Program $2.11M Yes 1
84.007 Federal Supplemental Educational Opportunity Grants $268,671 Yes 0
84.033 Federal Work-Study Program $161,456 Yes 0
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $17,226 Yes 0

Contacts

Name Title Type
FCHUCAM45V43 Stephanie Furlough Auditee
2523986538 Michael Botzis Auditor
No contacts on file

Notes to SEFA

Title: 1. Basis of Presentation Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded 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. The accompanying schedule of expenditures of federal awards (the “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”) for the year ended May 31, 2024. The Schedule presents only a selected portion of the activities of Chowan University (the “University”). It is not intended to and does not present either the financial position, changes in activities, or cash flows of the University.
Title: 2. Summary of Significant Accounting Policies Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded 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. The accompanying Schedule includes the federal grant transactions of the University recorded 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: 3. Indirect Cost Rate Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded 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. The University has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: 4. Loans Outstanding Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded 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. Chowan University liquidated its Federal Perkins Revolving Loan Fund at the direction of the Department of Education during the fiscal year ended May 31, 2024. The University had no loan balances outstanding at May 31, 2024, under the Federal Perkins Loan Program, Assistance Listing Number 84.038.
Title: 5. State Awards Accounting Policies: The accompanying Schedule includes the federal grant transactions of the University recorded 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 fiscal 2024, the University awarded $1,273,017 in North Carolina Need Based Scholarships, which is funding received from the state of North Carolina. Such funds were considered direct and material to the University.

Finding Details

Finding 2024-001
Federal Program Information: Federal Direct Student Loan Program (ALN#: 84.268), Federal Pell Grant Program (ALN#: 84.063) Criteria or Specific Requirement: N. Special Tests and Provisions – Campus Level Enrollment Reporting Institutions are required to report enrollment information under the Pell grant and the Direct and FFEL loan programs via the NSLDS (OMB No. 1845-0035), although FFEL loans are no longer made or a part of the SFA Cluster, a student may have a FFEL loan from previous years that would require enrollment reporting for that student (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309; Perkins 34 CFR 674.19(f)). The administration of the Title IV programs depends heavily on the accuracy and timeliness of the enrollment information reported by institutions. Institutions must review, update, and certify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website which the financial aid administrator can access for the auditor. The data on the institution’s Enrollment Reporting Roster, or Enrollment Maintenance page, is what NSLDS has as the most recently certified enrollment. There are two categories of enrollment information, “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. Condition: An instance was identified where a student’s status was not accurately reported. Cause: Administrative oversight with respect to Campus Level enrollment reporting compliance requirements. Effect or Potential Effect: The University was not in compliance with the Campus Level enrollment reporting compliance requirements. Questioned Costs: None. Context: For 1 of 25 students selected for testing, the student status was not accurately reported in NSLDS. Repeat Finding: There was no similar finding identified during the prior year. Recommendation: We recommend the University enhance its procedures to ensure Campus Level enrollment reporting is submitted accurately. Views of Responsible Officials: The University Financial Aid Office will work alongside the Registrar’s Office to identify and correct any enrollment reporting errors which may arise. Corrections may include subsequent reporting to the Clearinghouse and/or manual reporting to NSLDS.
Finding 2024-001
Federal Program Information: Federal Direct Student Loan Program (ALN#: 84.268), Federal Pell Grant Program (ALN#: 84.063) Criteria or Specific Requirement: N. Special Tests and Provisions – Campus Level Enrollment Reporting Institutions are required to report enrollment information under the Pell grant and the Direct and FFEL loan programs via the NSLDS (OMB No. 1845-0035), although FFEL loans are no longer made or a part of the SFA Cluster, a student may have a FFEL loan from previous years that would require enrollment reporting for that student (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309; Perkins 34 CFR 674.19(f)). The administration of the Title IV programs depends heavily on the accuracy and timeliness of the enrollment information reported by institutions. Institutions must review, update, and certify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website which the financial aid administrator can access for the auditor. The data on the institution’s Enrollment Reporting Roster, or Enrollment Maintenance page, is what NSLDS has as the most recently certified enrollment. There are two categories of enrollment information, “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. Condition: An instance was identified where a student’s status was not accurately reported. Cause: Administrative oversight with respect to Campus Level enrollment reporting compliance requirements. Effect or Potential Effect: The University was not in compliance with the Campus Level enrollment reporting compliance requirements. Questioned Costs: None. Context: For 1 of 25 students selected for testing, the student status was not accurately reported in NSLDS. Repeat Finding: There was no similar finding identified during the prior year. Recommendation: We recommend the University enhance its procedures to ensure Campus Level enrollment reporting is submitted accurately. Views of Responsible Officials: The University Financial Aid Office will work alongside the Registrar’s Office to identify and correct any enrollment reporting errors which may arise. Corrections may include subsequent reporting to the Clearinghouse and/or manual reporting to NSLDS.
Finding 2024-001
Federal Program Information: Federal Direct Student Loan Program (ALN#: 84.268), Federal Pell Grant Program (ALN#: 84.063) Criteria or Specific Requirement: N. Special Tests and Provisions – Campus Level Enrollment Reporting Institutions are required to report enrollment information under the Pell grant and the Direct and FFEL loan programs via the NSLDS (OMB No. 1845-0035), although FFEL loans are no longer made or a part of the SFA Cluster, a student may have a FFEL loan from previous years that would require enrollment reporting for that student (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309; Perkins 34 CFR 674.19(f)). The administration of the Title IV programs depends heavily on the accuracy and timeliness of the enrollment information reported by institutions. Institutions must review, update, and certify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website which the financial aid administrator can access for the auditor. The data on the institution’s Enrollment Reporting Roster, or Enrollment Maintenance page, is what NSLDS has as the most recently certified enrollment. There are two categories of enrollment information, “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. Condition: An instance was identified where a student’s status was not accurately reported. Cause: Administrative oversight with respect to Campus Level enrollment reporting compliance requirements. Effect or Potential Effect: The University was not in compliance with the Campus Level enrollment reporting compliance requirements. Questioned Costs: None. Context: For 1 of 25 students selected for testing, the student status was not accurately reported in NSLDS. Repeat Finding: There was no similar finding identified during the prior year. Recommendation: We recommend the University enhance its procedures to ensure Campus Level enrollment reporting is submitted accurately. Views of Responsible Officials: The University Financial Aid Office will work alongside the Registrar’s Office to identify and correct any enrollment reporting errors which may arise. Corrections may include subsequent reporting to the Clearinghouse and/or manual reporting to NSLDS.
Finding 2024-001
Federal Program Information: Federal Direct Student Loan Program (ALN#: 84.268), Federal Pell Grant Program (ALN#: 84.063) Criteria or Specific Requirement: N. Special Tests and Provisions – Campus Level Enrollment Reporting Institutions are required to report enrollment information under the Pell grant and the Direct and FFEL loan programs via the NSLDS (OMB No. 1845-0035), although FFEL loans are no longer made or a part of the SFA Cluster, a student may have a FFEL loan from previous years that would require enrollment reporting for that student (Pell, 34 CFR 690.83(b)(2); FFEL, 34 CFR 682.610; Direct Loan, 34 CFR 685.309; Perkins 34 CFR 674.19(f)). The administration of the Title IV programs depends heavily on the accuracy and timeliness of the enrollment information reported by institutions. Institutions must review, update, and certify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website which the financial aid administrator can access for the auditor. The data on the institution’s Enrollment Reporting Roster, or Enrollment Maintenance page, is what NSLDS has as the most recently certified enrollment. There are two categories of enrollment information, “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. Condition: An instance was identified where a student’s status was not accurately reported. Cause: Administrative oversight with respect to Campus Level enrollment reporting compliance requirements. Effect or Potential Effect: The University was not in compliance with the Campus Level enrollment reporting compliance requirements. Questioned Costs: None. Context: For 1 of 25 students selected for testing, the student status was not accurately reported in NSLDS. Repeat Finding: There was no similar finding identified during the prior year. Recommendation: We recommend the University enhance its procedures to ensure Campus Level enrollment reporting is submitted accurately. Views of Responsible Officials: The University Financial Aid Office will work alongside the Registrar’s Office to identify and correct any enrollment reporting errors which may arise. Corrections may include subsequent reporting to the Clearinghouse and/or manual reporting to NSLDS.