Audit 370810

Finding 2025-001 Department of Education Student Financial Aid Cluster Federal Financial Assistance Listing #84.268 – Federal Direct Student Loans, Award Year 2025, Award Numbers P268K252288 Special Tests and Provisions – Enrollment Reporting Significant Deficiency in Internal Controls over Compliance and Compliance Criteria: 34 CFR 685.309 sets forth the criteria for administrative and fiscal control and accounting requirements for schools participating in the Federal Direct Loan Program in regard to enrollment reporting requirements. Condition: Four students had incorrect status change effective dates reported to NSLDS. Cause: An error in system parameters caused the automated reporting module to transmit the date of student file change rather than the actual date of enrollment status changes. Effect: The errors in reporting resulted in reporting dates incorrectly or not reported to NSLDS. Questioned Costs: None reported. Context/Sampling: A nonstatistical sample of 60 students with a change in status out of 1,473 students with a change in status were selected for enrollment reporting requirements. Repeat Finding from Prior Year(s): No Recommendation: We recommend a spot check be completed on a monthly basis of changes to ensure those changes are properly reported. We specifically recommend any known, unusual situations be reviewed on the NSLDS site to ensure they were properly reported. Views of Responsible Officials: Management agrees with the finding.