Audit 344704

FY End
2024-06-30
Total Expended
$22.56M
Findings
16
Programs
6
Organization: Central Methodist University (MO)
Year: 2024 Accepted: 2025-03-04

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
525603 2024-001 Significant Deficiency - N
525604 2024-002 Significant Deficiency - N
525605 2024-002 Significant Deficiency - N
525606 2024-001 Significant Deficiency - N
525607 2024-002 Significant Deficiency - N
525608 2024-001 Significant Deficiency - N
525609 2024-001 Significant Deficiency - N
525610 2024-002 Significant Deficiency - N
1102045 2024-001 Significant Deficiency - N
1102046 2024-002 Significant Deficiency - N
1102047 2024-002 Significant Deficiency - N
1102048 2024-001 Significant Deficiency - N
1102049 2024-002 Significant Deficiency - N
1102050 2024-001 Significant Deficiency - N
1102051 2024-001 Significant Deficiency - N
1102052 2024-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $13.39M Yes 2
84.063 Federal Pell Grant Program $8.59M Yes 2
84.007 Federal Supplemental Educational Opportunity Grants $314,664 Yes 2
84.033 Federal Work-Study Program $174,254 Yes 2
21.027 Coronavirus State and Local Fiscal Recovery Funds $83,685 - 0
20.205 Highway Planning and Construction $3,086 - 0

Contacts

Name Title Type
UCG6EBGY8Y66 Julee Sherman Auditee
6602486203 Ashley Brondel Auditor
No contacts on file

Notes to SEFA

Title: Loans Oustanding Accounting Policies: The schedule of expenditures of federal awards includes only the current year federal grant activity of Central Methodist University (the University) 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. Under these standards, Federal Pell Grant Program awards are reported as expenditures, whereas under accounting principles generally accepted in the United States of America they are not reported in the University’s statement of activities as expenses or financial aid. New loan advances under the Federal Direct Student Loans Program represent the amount of such loans processed by the University for the year and are not reportable as transactions in the University’s financial statements under accounting principles generally accepted in the United States of America. Other amounts presented in this schedule as expenditures may differ from amounts presented in, or used in the preparation of, the basic financial statements, although such differences are not material to the basic financial statements. De Minimis Rate Used: Y Rate Explanation: The University has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The University had the following loan balances outstanding as of June 30, 2024.

Finding Details

Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-002: Policies and Procedures Related to Credit Balances – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample, we found six (6) instances where credit balances were not properly refunded to students. Criteria: In accordance with 34 CFR 668.164, Disbursing Funds, a title IV credit balance occurs whenever the amount of title IV program funds credited to a student’s ledger account for a payment period exceeds the amount assessed the student for allowable changes associated with that payment period. A title IV credit balances must be paid directly to the student or parent as soon as possible, but no later than 1) fourteen (14) days after the balance occurred if the credit balance occurred after the first day of classes of a payment period or 2) fourteen (14) days after the first day of class of a payment period if the credit balance occurred on or before the first fay of class of that payment period. Effect of Condition: We found six (6) instances where title IV credit balances were not refunded timely. Cause of Condition: The University does not consistently follow their internal policies. Recommendation: We recommend the University develop policies and procedures to address this issue. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.
Finding 2024-003: Policies and Procedures Related to Packaging Student Financial Aid – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of twenty-five (25) students, we found three (3) instances where student financial aid was incorrectly packaged. One (1) student was under-awarded federal direct subsidized loan and pell grant, one (1) student was under-awarded federal direct subsidized loan, and one (1) student was under-awarded a pell grant. Criteria: Federal direct loans should be disbursed in accordance with the Federal Student Aid Handbook, Volume 3. Effect of Condition: We found three (3) instances where student financial aid was incorrectly packaged; all three (3) students were under-awarded need-based aid. Cause of Condition: The University does not consistently follow its policy to review the packaging of student financial aid. Recommendation: We recommend the University develop policies and procedures to address these issues. Management’s Response: Management agrees and will submit a Corrective Action Plan to implement these recommendations immediately.