FAC Explorer

Audit 381294

FY End
2025-06-30
Total Expended
$106.28M
Findings
2
Programs
6
Organization: Palmer College Foundation and Palmer College of Chiropractic - West (IA)
Year: 2025 Accepted: 2026-01-13
Auditor: RSM US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1168894 2025-001 Material Weakness Yes N
1168895 2025-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
84.268 FEDERAL DIRECT STUDENT LOANS $23.35M Yes 1
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $1.45M Yes 0
84.033 FEDERAL WORK-STUDY PROGRAM $721,486 Yes 0
84.063 FEDERAL PELL GRANT PROGRAM $129,685 Yes 0
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $59,768 Yes 0
93.213 RESEARCH AND TRAINING IN COMPLEMENTARY AND INTEGRATIVE HEALTH $36,264 Yes 0

Contacts

Name Title Type
NJ24BM8CYWZ3 Jennifer Randazzo Auditee
5638845141 Anna Kyer Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Palmer College Foundation and Palmer College of Chiropractic – West under programs of the federal government for the year ended June 30, 2025. 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 Palmer College Foundation and Palmer College of Chiropractic – West, it is not intended to and does not present the financial position, changes in net assets or cash flows of Palmer College Foundation and Palmer College of Chiropractic – West.
Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. The Foundation and College have elected to not use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
During the fiscal year ended June 30, 2025, the Foundation and College issued new loans to students under the Federal Direct Student Loan Program (FDLP). The loan program includes subsidized and unsubsidized Stafford Loans, Parent PLUS Loans and PLUS Loans for students. The value of loans issued for the FDLP is based on disbursed amounts. The loan amounts issued during the year are disclosed on the Schedule. The Foundation and College are responsible only for the performance of certain administrative duties with respect to the federally guaranteed student loan programs and, accordingly, balances and transactions relating to these loan programs are not included in the Foundation and College’s financial statements. Therefore, it is not practicable to determine the balance of loans outstanding to students and former students of the Foundation and College at June 30, 2025. In addition, the Foundation and College participate in the Federal Perkins Loan Program through the Department of Education. This loan program is directly administered by the Foundation and College and no new loans are allowed to be issued, therefore, the collections received on past loans including interest will be held until the liquidation process occurs and the final federal share of the remaining Federal Perkins Loan Program cash is remitted to the Department of Education. The beginning balance on these loans is disclosed in the Schedule. The outstanding balance at June 30, 2025, was $1,044,209.

Finding Details

Finding 2025-001
2025-001: Late Refunding of Credit Balance U.S. Department of Education Student Financial Assistance Cluster (Direct) Federal Direct Student Loans (84.268) Federal Award Year: 2025 Finding: The Foundation and College did not timely refund a student’s credit balance. Criteria: Per 34 CFR 668.164, when Title IV funds are credited to a student account and they exceed the amount of tuition, fees and other allowable charges assessed to the student, a credit balance is created. The institution must pay the resulting credit balance directly to the student or parent borrower within 14 days after (1) the first day of class of a payment period if the credit balance occurred on or before that day, or (2) the balance occurred if the credit balance occurred after the first day of class. Condition: During audit procedures performed, it was identified that one student did not receive a credit balance refund within the 14 day timeframe as required by federal guidelines. Cause: The criteria used to compile the report that the Foundation and College used to monitor credit balances had a flaw, which resulted in the omission of this student and the delayed refund. There were not sufficiently detailed reviews in place to identify delinquent refunds. Effect or potential effect: Noncompliance with federal regulations for credit balances could impact future funding. Questioned costs: None. Context: One of the forty students selected and tested was not refunded timely in accordance with federal guidelines. This delay only occurred for one trimester for the selected student. Identification as a repeat finding, if applicable: This is not a repeat finding. Recommendation: The Foundation and College should review the controls and procedures in place to verify that credit balances on student’s account are refunded within the 14 day timeframe. Views of responsible officials: Management agrees with this finding. See corrective action plan.