Audit 380607

FY End
2024-06-30
Total Expended
$19.04M
Findings
2
Programs
7
Organization: Flagler College, Inc. (FL)
Year: 2024 Accepted: 2026-01-09

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
1168652 2024-002 Material Weakness Yes N
1168653 2024-002 Material Weakness Yes N

Contacts

Name Title Type
PCWMNA2JK646 Stacey Matthews Auditee
9048269613 Bryan Simkanich Auditor
No contacts on file

Notes to SEFA

The College had Federal Perkins Loans with continuing compliance requirements of $49,676 outstanding at June 30, 2023. During the fiscal year 2024, no new loans were made, resulting in total expenditures of federal awards for Perkins Loans of $49,676 for the year ended June 30, 2024. After considering loan receipts during 2024, the balance outstanding was $41,352 at June 30, 2024. The College also participates in the Federal Direct Loan Program, including Federal Stafford Loans (Stafford) and Federal PLUS Loans (PLUS). The dollar amounts are listed in the schedule of federal awards although the College is not the recipient of the funds. Such programs are considered a component of the student financial assistance cluster. Loans processed by the College under this Loan Program were the following for the year ended June 30, 2024: Stafford: Subsidized $4,438,723 Unsubsidized 4,229,663 PLUS 6,374,521 Total $15,042,907
Below is a summary of significant features and applicable statutes and rules of importance to the administration of the Florida Student Financial Assistance Programs at Flagler College, Inc.: Effective Access to Student Education Program (EASE): The EASE provides financial assistance to Florida undergraduate students attending independent nonprofit Florida colleges or universities. It is a nonrepayable grant available to one-year residents of Florida. The EASE is not based on need. A student may receive the EASE for a maximum of nine undergraduate semesters. The amount to be awarded to each applicant will be determined by the state of Florida. The EASE is a tuition and fee grant; therefore, the amount of the EASE plus all other scholarships and grants specifically designated for payment of tuition and fees cannot exceed the total amount of tuition and fees charged by the institution. EASE is authorized by Section 1009.89, Florida Statutes. Florida Student Assistance Grant Fund (FSAG): The FSAG is a nonrepayable grant awarded only on a need basis to one-year residents of Florida. A student may receive the FSAG for a maximum of nine undergraduate semesters. The amount to be awarded to each applicant will be determined by the state of Florida. FSAG is authorized by Section 1009.50-1009.52, Florida Statutes. Florida Academic Scholars Award (FASA): The FASA is a state of Florida scholarship under the Florida Bright Futures Scholarship Program which provides certain qualified, first-time-incollege, full-time, undergraduate students with assistance in paying for the costs of education. FASA is available only to Florida residents attending eligible colleges and universities located in the state of Florida. The amount awarded to each applicant will be determined by the state of Florida. FASA is authorized by Section 1009.53, Florida Statutes. Minority Teacher Education Scholars Program (MTES): MTES provides financial assistance to minority undergraduate students for up to three undergraduate years. This scholarship shall be made available to eligible students entering programs of study that lead to a degree in a teaching position. The MTES is authorized by Section 1009.60, Florida Statutes. Children and Spouses of Deceased or Disabled Veterans (CSDDV): The applicant must be a dependent child or un-remarried spouse of a Florida veteran or service member who died as a result of service-connected injuries, diseases, or disabilities sustained while on active duty or have been verified by the Florida Department of Veterans Affairs as having service connected 100% total and permanent disabilities. Veterans must have been Florida residents at the time of death or determination of 100% disability. The applicant must enroll in an eligible post-secondary institution at least half-time. Florida Medallion Scholars Award (FMSA): The applicant should be a Florida resident and should be accepted and enrolled in an eligible Florida public or independent post-secondary education institution. The applicant should complete a Bright Futures Scholarship Program Student Authorization Form by spring high school graduation. The amount to be awarded to each applicant will be determined by the state of Florida. The FMSA is authorized by Section 1009.53, Florida Statutes. Florida Work Experience Program (FWEP): FWEP provides financial assistance to Florida residents for up to eight semesters, who meet certain financial need and academic progress requirements, and who attend a qualified post-secondary education institution in Florida. The FWEP is authorized by Section 1009.77, Florida Statutes. Florida Honorably Discharged Graduate Assistance Program: The Honorably Discharged Graduate Assistance Program (HDGAP) was created by the 2015 Florida Legislature as a supplemental, need-based veteran educational benefit. Funds are used to assist in the payment of living expenses during holiday and semester breaks for active duty and honorably discharged members of the Armed Forces who served on or after September 11, 2001.
The populations were provided by the Bureau of Auditing Services, Florida Department of Education. Samples were determined using State of Florida Administrative Code guidelines provided in Rule 6A-20.0021. A random sample of 50 award recipients or 25%, whichever is less, but no less than 10 award recipients or 100% of the recipients if less than 10, were chosen for each program that was deemed to need to be audited. Students were classified as ineligible, if our examination of supporting documentation disclosed instances of noncompliance with eligibility criteria. Awards were classified as questioned costs, if our examination disclosed one or more of the following conditions: awards made to ineligible students, awards for which supporting documentation was missing, and awards or the portions thereof, not properly credited to students' accounts.

Finding Details

Federal agency: Department of Education Federal program title: Student Financial Assistance Cluster Assistance Listing Numbers: 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans Award Period: July 1, 2023, to June 30, 2024 Type of Finding: Other Matters Finding related to Compliance within Uniform Guidance and Significant Deficiency in Internal Controls over Compliance. 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 with separate record types;“"Campus Level" and "Program Level,"”both of which need to be reported accurately and timely. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. Additionally, the College is required to ensure adequate internal controls over compliance are established and maintained in accordance with 2 CFR 200.303. Condition: 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). 10 Students had one or more noncompliant reporting elements noted below. - 2 Instances where a student’s campus-level and program level enrollment effective date did not match the institution’s records. - 9 Instances where students campus level enrollment was not certified every 60 days to NSLDS during active enrollment period. - 3 Instances in which Program Level Program Begin Date per the NSLDS Program Enrollment Detail did not agree to institutional records. Questioned costs Known: None. Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 10 students with exceptions. 4 students had multiple instances of noncompliance. Cause: Turnover within the registrar department and lack of structured review and approval process. 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: Yes, 2023-001. Recommendation: We recommend that the College continue to enhance its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. Views of responsible officials and planned corrective actions: There is no disagreement with the audit finding. Management has addressed their corrective action plan in a separately issued letter.