FAC Explorer

Audit 353822

FY End
2024-08-31
Total Expended
$1.07M
Findings
2
Programs
2
Organization: Gratz College (PA)
Year: 2024 Accepted: 2025-04-16
Auditor: Kreischer Miller

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
555196 2024-002 Significant Deficiency - N
1131638 2024-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $1.03M Yes 1
84.063 Federal Pell Grant Program $36,051 Yes 0

Contacts

Name Title Type
PHA8ECZ7E2E3 Thomas R. Cipriano, Jr. Auditee
2156357300 Elizabeth Pilacik Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Gratz College has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the College under programs of the federal government for the year ended August 31, 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 College, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the College.

Finding Details

Finding 2024-002
Finding 2024-002 Federal Assistance Listing Number: 84.268 Subprogram Number(s): 84.268 Federal Agency: U.S. Department of Education Program Name: Federal Direct Student Loans Type(s) of Compliance Requirements: Special Tests and Provisions Type of Finding: Internal Control over Compliance – Significant Deficiency; Noncompliance Criteria: Under the disbursement to or on behalf of students requirements, credit balances are to be paid to the student or parent borrower (1) within 14 days after a) the first day of class of a payment period if the credit balance occurred on or before that day, or b) the balance occurred if that was after the first day of class or 2) if the institution obtained an authorization to hold credit balances and was not on the reimbursement or heightened cash monitoring payment methods, by the end of the loan period or last payment period in the award year for which the funds were awarded. Condition: The College refunded a credit balance 22 days after the first day of class without authorization to hold the balance. Cause: The College failed to process the refund in a timely manner due to turnover in staff. Effect: The College is noncompliant with the requirements of the Student Financial Aid program. Recommendation: We recommend that the College develop procedures and related controls to ensure a timely processing of the refunds.
Finding 2024-002
Finding 2024-002 Federal Assistance Listing Number: 84.268 Subprogram Number(s): 84.268 Federal Agency: U.S. Department of Education Program Name: Federal Direct Student Loans Type(s) of Compliance Requirements: Special Tests and Provisions Type of Finding: Internal Control over Compliance – Significant Deficiency; Noncompliance Criteria: Under the disbursement to or on behalf of students requirements, credit balances are to be paid to the student or parent borrower (1) within 14 days after a) the first day of class of a payment period if the credit balance occurred on or before that day, or b) the balance occurred if that was after the first day of class or 2) if the institution obtained an authorization to hold credit balances and was not on the reimbursement or heightened cash monitoring payment methods, by the end of the loan period or last payment period in the award year for which the funds were awarded. Condition: The College refunded a credit balance 22 days after the first day of class without authorization to hold the balance. Cause: The College failed to process the refund in a timely manner due to turnover in staff. Effect: The College is noncompliant with the requirements of the Student Financial Aid program. Recommendation: We recommend that the College develop procedures and related controls to ensure a timely processing of the refunds.