Audit 346502

FY End
2024-06-30
Total Expended
$6.01M
Findings
30
Programs
10
Organization: Lyon College (AR)
Year: 2024 Accepted: 2025-03-17

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
528490 2024-002 Significant Deficiency Yes L
528491 2024-003 Significant Deficiency - N
528492 2024-004 Significant Deficiency Yes L
528493 2024-002 Significant Deficiency Yes L
528494 2024-003 Significant Deficiency - N
528495 2024-004 Significant Deficiency Yes L
528496 2024-002 Significant Deficiency Yes L
528497 2024-003 Significant Deficiency - N
528498 2024-004 Significant Deficiency Yes L
528499 2024-002 Significant Deficiency Yes L
528500 2024-003 Significant Deficiency - N
528501 2024-004 Significant Deficiency Yes L
528502 2024-002 Significant Deficiency Yes L
528503 2024-003 Significant Deficiency - N
528504 2024-004 Significant Deficiency Yes L
1104932 2024-002 Significant Deficiency Yes L
1104933 2024-003 Significant Deficiency - N
1104934 2024-004 Significant Deficiency Yes L
1104935 2024-002 Significant Deficiency Yes L
1104936 2024-003 Significant Deficiency - N
1104937 2024-004 Significant Deficiency Yes L
1104938 2024-002 Significant Deficiency Yes L
1104939 2024-003 Significant Deficiency - N
1104940 2024-004 Significant Deficiency Yes L
1104941 2024-002 Significant Deficiency Yes L
1104942 2024-003 Significant Deficiency - N
1104943 2024-004 Significant Deficiency Yes L
1104944 2024-002 Significant Deficiency Yes L
1104945 2024-003 Significant Deficiency - N
1104946 2024-004 Significant Deficiency Yes L

Contacts

Name Title Type
LQ5VVQY25V39 Marshall Butler Auditee
8703077320 Ashley Brondel Auditor
No contacts on file

Notes to SEFA

Title: 1. Basis of Presentation Accounting Policies: The schedule of expenditures of federal awards includes only the current year federal grant activity of Lyon College (the 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. Under these standards, Federal Pell Grant Program awards are reported as expenditures, whereas under U. S. generally accepted accounting principles they are not reported in the College’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 College for the year and are not reportable as transactions in the College’s financial statements under U.S. generally accepted accounting principles. 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: N Rate Explanation: The College has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The schedule of expenditures of federal awards includes only the current year federal grant activity of Lyon College (the 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. Under these standards, Federal Pell Grant Program awards are reported as expenditures, whereas under U. S. generally accepted accounting principles they are not reported in the College’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 College for the year and are not reportable as transactions in the College’s financial statements under U.S. generally accepted accounting principles. 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.
Title: 2. Indirect Cost Rate Accounting Policies: The schedule of expenditures of federal awards includes only the current year federal grant activity of Lyon College (the 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. Under these standards, Federal Pell Grant Program awards are reported as expenditures, whereas under U. S. generally accepted accounting principles they are not reported in the College’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 College for the year and are not reportable as transactions in the College’s financial statements under U.S. generally accepted accounting principles. 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: N Rate Explanation: The College has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The College has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.
Finding 2024-002 (continuing finding): Policies and Procedures Related to Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found seven (7) instances where changes in student status due to withdrawal were not reported timely. Criteria: In accordance with 34 CFR 668.22, Treatment of Title IV Funds When a Student Withdrawals, any changes to a student’s enrollment status are required to be reported within thirty (30) days, or within sixty (60) days if a roster file is expected within that time frame. Effect of Condition: We found seven (7) instances where changes in student status due to withdrawal were not reported timely. Cause of Condition: The College does not consistently follow their attendance taking policy, which allows notification to the Financial Aid Office for students that may need to have a Title IV withdrawal calculation. Recommendation: We recommend the College develop policies and procedures to address this issue. These policies should require that an individual, separate from the reporting of enrollment status changes, review a listing of all students with enrollment status changes on a periodic basis to determine these changes and have been properly reported within the allotted time frame as required by the U.S. Department of Education. The College should also enforce its attendance taking policy to ensure that all student withdrawals are reported in a timely manner to the Financial Aid Office. 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 Withdrawals – SFA Cluster (significant deficiency) Statement of Condition: From our testing sample of ten (10) students, we found ten (10) instances where the incorrect dates of the academic calendar were used to calculate the percentage of the semester attended. Criteria: In accordance with Volume 3 Chapter 1 of the Federal Student Aid Handbook, “the number of weeks of instructional time is based on the period that generally begins on the first day of classes in the academic year and ends on the last day of classes or the last day of examinations, whichever is later”. Effect of Condition: We found ten (10) instances where the last of classes (instead of the last day of finals) was used on the student’s R2T4 calculations. Cause of Condition: The College believed the last day of classes was considered the last day of the academic period. Recommendation: We recommend the College 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 2023-004 (continuing finding): 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 the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Criteria: Federal loans, including PLUS Loans, should be disbursed in accordance with Volume 3 of the Federal Student Aid Handbook. Also, in accordance with 34 CFR 668.165, Notices and Authorizations, an institution must notify the student or parent of the date and amount of disbursement of Federal loans to a student’s ledger account within 30-days of the disbursement. Effect of Condition: We found three (3) instances where the student’s parent was not notified of the disbursement of a PLUS Loan within 30-days of the disbursement to the student’s account. Cause of Condition: The College did have a policy to notify parents of their student’s PLUS Loan disbursements until the spring semester of 2024, when the prior audit finding was brought to the attention of management. Recommendation: We recommend the College develop policies and procedures to address this issue. Management’s Response: Management agrees and has a policy in place to implement these recommendations immediately.