FAC Explorer

Audit 347358

FY End
2024-08-31
Total Expended
$7.90M
Findings
4
Programs
7
Organization: Alvin Community College (TX)
Year: 2024 Accepted: 2025-03-21
Auditor: Crowe LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
529348 2024-001 Significant Deficiency - P
529349 2024-001 Significant Deficiency - P
1105790 2024-001 Significant Deficiency - P
1105791 2024-001 Significant Deficiency - P

Programs

ALN Program Spent Major Findings
84.063 Federal Pell Grant Program $5.85M Yes 1
84.268 Federal Direct Student Loans $896,390 Yes 1
84.047 Trio Upward Bound $358,188 - 0
17.207 Employment Service/wagner-Peyser Funded Activities $238,781 - 0
84.048 Career and Technical Education -- Basic Grants to States $162,474 - 0
84.007 Federal Supplemental Educational Opportunity Grants $127,100 Yes 0
84.033 Federal Work-Study Program $11,728 Yes 0

Contacts

Name Title Type
X8J2BXH5SEZ3 Beth Nelson Auditee
2817563509 Robert Belt Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - FEDERAL ASSISTANCE RECONCILIATION Accounting Policies: Federal and State financial assistance programs of the College for the year ended August 31, 2024. Federal financial assistance received directly from Federal agencies is included in these Schedules. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported previously represent funds which have been expended by the College for the purposes of the award during fiscal year 2024. The expenditures reported previously may not have been reimbursed by the funding agencies as of the end of fiscal year 2024. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the Schedules. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Federal revenues: Federal grants and contracts - per Schedule A $ 938,629 Federal revenue, nonoperating - per Schedule C 6,960,234 Total federal revenues $ 7,898,863
Title: NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES USED IN PREPARING THE SCHEDULES Accounting Policies: Federal and State financial assistance programs of the College for the year ended August 31, 2024. Federal financial assistance received directly from Federal agencies is included in these Schedules. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported previously represent funds which have been expended by the College for the purposes of the award during fiscal year 2024. The expenditures reported previously may not have been reimbursed by the funding agencies as of the end of fiscal year 2024. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the Schedules. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Federal and State financial assistance programs of the College for the year ended August 31, 2024. Federal financial assistance received directly from Federal agencies is included in these Schedules. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported previously represent funds which have been expended by the College for the purposes of the award during fiscal year 2024. The expenditures reported previously may not have been reimbursed by the funding agencies as of the end of fiscal year 2024. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the Schedules. The College has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE 3 - RELATIONSHIP TO FEDERAL AND STATE REPORTS Accounting Policies: Federal and State financial assistance programs of the College for the year ended August 31, 2024. Federal financial assistance received directly from Federal agencies is included in these Schedules. Expenditure reports to funding agencies are prepared on the award period basis. The expenditures reported previously represent funds which have been expended by the College for the purposes of the award during fiscal year 2024. The expenditures reported previously may not have been reimbursed by the funding agencies as of the end of fiscal year 2024. Separate accounts are maintained for the different awards to aid in the observance of limitations and restrictions imposed by the funding agencies. The College has followed all applicable guidelines issued by various entities in the preparation of the Schedules. De Minimis Rate Used: N Rate Explanation: The College has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Differences between amounts reflected in the financial reports filed with grantor agencies for the programs and in the Schedules are due to different program year ends and accruals that will be reflected in the next report filed with the grantor agencies.

Finding Details

Finding 2024-001
Federal Program: Title IV - Student Financial Assistance Program Cluster (AL No. 84.063 and 84.268) Compliance Requirement: Return of Title IV Funds (R2T4) as per 34 CFR 668.22 Criteria: The College is required to ensure that R2T4 calculations are reviewed by someone other than the person performing the original calculations to ensure accuracy and compliance. Condition: During our review of the College's adherence to R2T4 requirements, we identified a significant deficiency in internal controls over compliance. Specifically, there was a lack of documented evidence showing that the R2T4 calculations were reviewed by an individual other than the one who performed the original calculations. Cause: The College did not have adequate procedures in place to ensure segregation of duties in the R2T4 review process, leading to insufficient documentation of independent reviews. Effect: The lack of segregation of duties and proper documentation could result in incorrect R2T4 calculations, non-compliance with federal regulations, and potential financial impact on the College and its students. Questioned Costs: None identified. Recommendation: The college should implement procedures that ensure segregation of duties in R2T4 calculations, designate a separate individual to review and verify the accuracy of the calculations, and maintain comprehensive documentation to provide evidence of the review process, including the reviewer's signature, date of review, and any findings or corrections made. Views of responsible officials and planned corrective actions: See Corrective Action Plan
Finding 2024-001
Federal Program: Title IV - Student Financial Assistance Program Cluster (AL No. 84.063 and 84.268) Compliance Requirement: Return of Title IV Funds (R2T4) as per 34 CFR 668.22 Criteria: The College is required to ensure that R2T4 calculations are reviewed by someone other than the person performing the original calculations to ensure accuracy and compliance. Condition: During our review of the College's adherence to R2T4 requirements, we identified a significant deficiency in internal controls over compliance. Specifically, there was a lack of documented evidence showing that the R2T4 calculations were reviewed by an individual other than the one who performed the original calculations. Cause: The College did not have adequate procedures in place to ensure segregation of duties in the R2T4 review process, leading to insufficient documentation of independent reviews. Effect: The lack of segregation of duties and proper documentation could result in incorrect R2T4 calculations, non-compliance with federal regulations, and potential financial impact on the College and its students. Questioned Costs: None identified. Recommendation: The college should implement procedures that ensure segregation of duties in R2T4 calculations, designate a separate individual to review and verify the accuracy of the calculations, and maintain comprehensive documentation to provide evidence of the review process, including the reviewer's signature, date of review, and any findings or corrections made. Views of responsible officials and planned corrective actions: See Corrective Action Plan
Finding 2024-001
Federal Program: Title IV - Student Financial Assistance Program Cluster (AL No. 84.063 and 84.268) Compliance Requirement: Return of Title IV Funds (R2T4) as per 34 CFR 668.22 Criteria: The College is required to ensure that R2T4 calculations are reviewed by someone other than the person performing the original calculations to ensure accuracy and compliance. Condition: During our review of the College's adherence to R2T4 requirements, we identified a significant deficiency in internal controls over compliance. Specifically, there was a lack of documented evidence showing that the R2T4 calculations were reviewed by an individual other than the one who performed the original calculations. Cause: The College did not have adequate procedures in place to ensure segregation of duties in the R2T4 review process, leading to insufficient documentation of independent reviews. Effect: The lack of segregation of duties and proper documentation could result in incorrect R2T4 calculations, non-compliance with federal regulations, and potential financial impact on the College and its students. Questioned Costs: None identified. Recommendation: The college should implement procedures that ensure segregation of duties in R2T4 calculations, designate a separate individual to review and verify the accuracy of the calculations, and maintain comprehensive documentation to provide evidence of the review process, including the reviewer's signature, date of review, and any findings or corrections made. Views of responsible officials and planned corrective actions: See Corrective Action Plan
Finding 2024-001
Federal Program: Title IV - Student Financial Assistance Program Cluster (AL No. 84.063 and 84.268) Compliance Requirement: Return of Title IV Funds (R2T4) as per 34 CFR 668.22 Criteria: The College is required to ensure that R2T4 calculations are reviewed by someone other than the person performing the original calculations to ensure accuracy and compliance. Condition: During our review of the College's adherence to R2T4 requirements, we identified a significant deficiency in internal controls over compliance. Specifically, there was a lack of documented evidence showing that the R2T4 calculations were reviewed by an individual other than the one who performed the original calculations. Cause: The College did not have adequate procedures in place to ensure segregation of duties in the R2T4 review process, leading to insufficient documentation of independent reviews. Effect: The lack of segregation of duties and proper documentation could result in incorrect R2T4 calculations, non-compliance with federal regulations, and potential financial impact on the College and its students. Questioned Costs: None identified. Recommendation: The college should implement procedures that ensure segregation of duties in R2T4 calculations, designate a separate individual to review and verify the accuracy of the calculations, and maintain comprehensive documentation to provide evidence of the review process, including the reviewer's signature, date of review, and any findings or corrections made. Views of responsible officials and planned corrective actions: See Corrective Action Plan