FAC Explorer

Audit 351333

FY End
2024-06-30
Total Expended
$14.38M
Findings
4
Programs
30
Organization: Furman University (SC)
Year: 2024 Accepted: 2025-03-31
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
546953 2024-001 Significant Deficiency - N
546954 2024-002 Significant Deficiency - E
1123395 2024-001 Significant Deficiency - N
1123396 2024-002 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $9.13M Yes 2
84.063 Federal Pell Grant Program $1.69M Yes 0
43.001 Science $447,652 - 0
84.033 Federal Work-Study Program $162,248 Yes 0
93.859 Biomedical Research and Research Training $101,288 - 0
94.006 Americorps State and National 94.006 $98,983 - 0
93.847 Diabetes, Digestive, and Kidney Diseases Extramural Research $90,655 - 0
93.137 Community Programs to Improve Minority Health Grant Program $70,934 - 0
93.395 Cancer Treatment Research $68,436 - 0
93.912 Rural Health Care Services Outreach, Rural Health Network Development and Small Health Care Provider Quality Improvement $67,140 - 0
11.431 Climate and Atmospheric Research $63,897 - 0
10.525 Farm and Ranch Stress Assistance Network Competitive Grants Program $57,665 - 0
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $55,521 - 0
93.304 Racial and Ethnic Approaches to Community Health $46,679 - 0
47.074 Biological Sciences $41,290 - 0
93.575 Child Care and Development Block Grant $28,781 - 0
10.215 Sustainable Agriculture Research and Education $25,271 - 0
84.027 Special Education Grants to States $22,125 - 0
12.006 National Defense Education Program $21,240 - 0
47.076 Stem Education (formerly Education and Human Resources) $20,380 - 0
84.007 Federal Supplemental Educational Opportunity Grants $14,636 Yes 0
93.048 Special Programs for the Aging, Title Iv, and Title Ii, Discretionary Projects $11,343 - 0
47.083 Integrative Activities $10,277 - 0
84.324 Research in Special Education $8,809 - 0
45.163 Promotion of the Humanities Professional Development $6,997 - 0
43.008 Office of Stem Engagement (ostem) $4,805 - 0
93.945 Assistance Programs for Chronic Disease Prevention and Control $4,379 - 0
47.049 Mathematical and Physical Sciences $2,778 - 0
15.657 Endangered Species Recovery Implementation $2,307 - 0
47.075 Social, Behavioral, and Economic Sciences $804 - 0

Contacts

Name Title Type
DZLTJ59VMX17 Dawn Durham Auditee
8642943496 Aaron Crall Auditor
No contacts on file

Notes to SEFA

Title: FEDERAL DIRECT STUDENT LOANS Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Furman University (the University) under programs of the federal government for the year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the consolidated statements of financial position, activities, and cash flows of the University. The University has not passed through any federal or state funding to any subrecipients. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. Federal Direct Student Loans amounting to $9,120,845 were made to students of the University during the year ended June 30, 2024. Included in this amount are Parent Loans for Undergraduate Studies amounting to $4,128,790 that were made to parents of students of the University during the year ended June 30, 2024.
Title: CAMPUS-BASED WAIVERS/REALLOCATION AND FSEOG EMERGENCY AID GRANTS Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Furman University (the University) under programs of the federal government for the year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the consolidated statements of financial position, activities, and cash flows of the University. The University has not passed through any federal or state funding to any subrecipients. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. Section 3503 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) waived the institutional share (match) requirement associated with the Federal Work-Study (FWS) and Federal Supplemental Educational Opportunity Grant (FSEOG) programs for the 2023-2024 award year. As a result of the waiver, the FWS and FSEOG amounts on the schedule reflect 100% of expenditures for the year ended June 30, 2024.
Title: STUDENT FINANCIAL AID INSTITUTIONAL AND PROGRAM ELIGIBILITY METRICS Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Furman University (the University) under programs of the federal government for the year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the consolidated statements of financial position, activities, and cash flows of the University. The University has not passed through any federal or state funding to any subrecipients. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The University has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. The University is in compliance with the following institutional and program eligibility requirements under the Higher Education Act of 1965 and Federal regulations under 34 CFR 668.23: • Correspondence courses the institution offers under 34 CFR 600.7(b) and (g) • Regular students that enroll in correspondence courses under 34 CFR 600.7(b) and (g) • Institution’s regular students that are incarcerated under 34 CFR 600.7(c) and (g) • Completion rates for confined or incarcerated individuals enrolled in non-degree programs at nonprofit institutions under 34 CFR 600.7(c)(3)(ii) and (g) • Institution’s regular students that lack a high school diploma or its equivalent under 34 CFR 600.7(d) and (g) • Completion rates for short-term programs under 34 CFR 668.8(f) and (g) • Placement rates for short-term programs under https://www.ecfr.gov/current/title- 34/subtitle-B/chapter-VI/part-668/subpart-A/section-668.8 34 CFR 668.8(e)(2)

Finding Details

Finding 2024-001
Federal agency: Department of Education Federal program title: Student Financial Aid Cluster CFDA Numbers: 84.268 – Federal Direct Student Loans Award Period: July 1, 2023 through June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance (Other Matters) Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify 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. 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. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Condition: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act (GLBA), schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Questioned costs: None Context: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). Twenty-one instances where the student's change in statuses were not certified and/or received by NSLDS within the required sixty days. Cause: The University’s processes and controls did not ensure that student status changes were properly reported to NSLDS within the required sixty days. Effect: The NSLDS system is not updated with the student information in time which can cause over awarding should the student transfer to another institution and the students may not properly enter the repayment period. Repeat finding: No Recommendation: We recommend the University review its reporting procedures to ensure that students’ statuses are accurately reported to NSLDS as required by regulations. Views of responsible officials: There is no disagreement with the audit finding. Management has addressed their corrective action plan in a separately issued letter.
Finding 2024-002
Federal Agency: Department of Education Federal Program Title: Student Financial Aid Cluster CFDA Number: 84.268 Federal Direct Student Loans Award Period: July 1, 2023 through June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance (Other Matters) Criteria or specific requirement: Per CR685.200a(2)(i) a Direct Subsidized Loan borrower must demonstrate financial need in accordance with title IV, part F of the Act. Per 20 USC CHAPTER 28, SUBCHAPTER IV, Part F: Need Analysis. Except as otherwise provided therein, for award year 2023–2024 and each subsequent award year, the amount of need of any student for financial assistance under this subchapter (except subpart 1 or 2 of part A) is equal to— (1) the cost of attendance of such student, minus (2) the student aid index (as defined in section 1087mm of this title) for such student, minus (3) other financial assistance not received under this subchapter (as defined in section 1087vv(i) of this title). Condition: The University calculated award amounts prior to applying certain scholarships to student accounts and did not update the award amounts prior to disbursing the subsidized awards to students. Questioned costs: $9,758. Context: Out of a sample of 40 students, three students were awarded subsidized award greater than their calculated remaining need. Cause: The Institution's processes and controls did not ensure the student received the proper award amount. Effect: Institution did not review the student's award packaging to ensure awards were appropriate based on the student's remaining need. This caused over awarding of subsidized loans to students which was offset by an under awarding of unsubsidized loans. Repeat Finding: No. Recommendation: We recommend that during the financial aid package review, additional procedures are put in place to ensure that student awards are appropriately calculated. Views of responsible officials: There is no disagreement with the audit finding. Management has addressed their corrective action plan in a separately issued letter.
Finding 2024-001
Federal agency: Department of Education Federal program title: Student Financial Aid Cluster CFDA Numbers: 84.268 – Federal Direct Student Loans Award Period: July 1, 2023 through June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance (Other Matters) Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify 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. 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. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Condition: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act (GLBA), schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Questioned costs: None Context: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 students to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). Twenty-one instances where the student's change in statuses were not certified and/or received by NSLDS within the required sixty days. Cause: The University’s processes and controls did not ensure that student status changes were properly reported to NSLDS within the required sixty days. Effect: The NSLDS system is not updated with the student information in time which can cause over awarding should the student transfer to another institution and the students may not properly enter the repayment period. Repeat finding: No Recommendation: We recommend the University review its reporting procedures to ensure that students’ statuses are accurately reported to NSLDS as required by regulations. Views of responsible officials: There is no disagreement with the audit finding. Management has addressed their corrective action plan in a separately issued letter.
Finding 2024-002
Federal Agency: Department of Education Federal Program Title: Student Financial Aid Cluster CFDA Number: 84.268 Federal Direct Student Loans Award Period: July 1, 2023 through June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance (Other Matters) Criteria or specific requirement: Per CR685.200a(2)(i) a Direct Subsidized Loan borrower must demonstrate financial need in accordance with title IV, part F of the Act. Per 20 USC CHAPTER 28, SUBCHAPTER IV, Part F: Need Analysis. Except as otherwise provided therein, for award year 2023–2024 and each subsequent award year, the amount of need of any student for financial assistance under this subchapter (except subpart 1 or 2 of part A) is equal to— (1) the cost of attendance of such student, minus (2) the student aid index (as defined in section 1087mm of this title) for such student, minus (3) other financial assistance not received under this subchapter (as defined in section 1087vv(i) of this title). Condition: The University calculated award amounts prior to applying certain scholarships to student accounts and did not update the award amounts prior to disbursing the subsidized awards to students. Questioned costs: $9,758. Context: Out of a sample of 40 students, three students were awarded subsidized award greater than their calculated remaining need. Cause: The Institution's processes and controls did not ensure the student received the proper award amount. Effect: Institution did not review the student's award packaging to ensure awards were appropriate based on the student's remaining need. This caused over awarding of subsidized loans to students which was offset by an under awarding of unsubsidized loans. Repeat Finding: No. Recommendation: We recommend that during the financial aid package review, additional procedures are put in place to ensure that student awards are appropriately calculated. Views of responsible officials: There is no disagreement with the audit finding. Management has addressed their corrective action plan in a separately issued letter.