FAC Explorer

Audit 376003

FY End
2025-06-30
Total Expended
$8.54M
Findings
6
Programs
8
Organization: Union College (KY)
Year: 2025 Accepted: 2025-12-18
Auditor: SIKICH CPA LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1165390 2025-001 Material Weakness Yes N
1165391 2025-001 Material Weakness Yes N
1165392 2025-001 Material Weakness Yes N
1165393 2025-001 Material Weakness Yes N
1165394 2025-001 Material Weakness Yes N
1165395 2025-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
84.268 FEDERAL DIRECT STUDENT LOANS $4.69M Yes 1
84.063 FEDERAL PELL GRANT PROGRAM $2.86M Yes 1
84.042 TRIO STUDENT SUPPORT SERVICES $322,421 Yes 0
84.031 HIGHER EDUCATION INSTITUTIONAL AID $213,693 Yes 0
84.038 FEDERAL PERKINS LOAN PROGRAM $195,979 Yes 1
84.033 FEDERAL WORK-STUDY PROGRAM $172,123 Yes 1
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $62,343 Yes 1
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $26,877 Yes 1

Contacts

Name Title Type
NBEXCUFNFJC3 Jessica Justice Auditee
6065461201 Ray Krouse Auditor
No contacts on file

Notes to SEFA

Expenditures of the Direct Loan program include the total value of the loans awarded and paid to the University’s students during the year ended June 30, 2025. The Perkins loans represent the amounts of the federal Perkins loans outstanding at June 30, 2025. The University had the following loan balances outstanding at June 30, 2025. Loans made during the year are included in the schedule of federal expenditures presented in the schedule.
As of and during the year ended June 30, 2025, the University did not receive any noncash federal assistance or federal insurance. In addition, the University did not pass through any federal grants to sub-recipients.
As part of its Higher Education Institutional Aid grant, Title III the University was authorized to create an endowment fund using federal grant proceeds together with required matching contributions to be held for perpetuity. The cumulative balance of the federal awards and matching contributions was $213,693 as of June 30, 2025. This balance is included in the federal expenditures presented in the Schedule.

Finding Details

Finding 2025-001
2025-001 - Student Financial Assistance Cluster - (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work-Study Program (c) Federal Perkins Loan (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for College and Higher Education Grants (TEACH Grants) (a) 84.007 (b) 84.033 (c) 84.038 (d) 84.063 (e) 84.268 (f) 84.379 - Year Ended June 30, 2025 Criteria: 34 CFR 668.162 (d) states: Under the heightened cash monitoring payment method, an institution must credit a student’s ledger account for the amount of Title IV, HEA program funds that the student or parent is eligible to receive, and pay the amount of any credit balance due before the institution submits a request for funds. Condition: We tested 40 students and credit balances were not paid in a timely manner for 8 students (20%). We consider this condition to be a material weakness for the Special Tests and Provisions compliance requirement and is not a repeated finding. Statistical Sampling was not used in making sample selections. Questioned Costs: $62,882. Cause and Effect: The condition was caused by not paying credit balances prior to requesting funds. As a result, the Institution was holding funds that needed to be returned to the students and violated the special conditions of provisional certification of its Program Participation Agreement (PPA). Recommendation: As the University did refund the credit balances to students within 14 days of receipt of drawdown, we recommend the University increase controls over Heightened Cash Monitoring procedures and refunding credit balances prior to drawdown of funds. Views of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.