Audit 382696

2025-001: Student Financial Aid Cluster - Reporting (Significant Deficiency; Noncompliance) Criteria: Per 34 CFR 675.19(b)(3) and 676.19(b)(3), each year an institution shall submit a Fiscal Operations Report plus other information the Secretary requires. The institution shall ensure that the information reported is accurate and shall submit it on the form and at the time specified by the Secretary. Per the Fiscal Operations Report for the 2023-24 and Application to Participate for 2025-26 Instructions for Part II (Application) Section E, the tuition and fees revenue entered must only be for those students reported in Section D. Condition/context: Tuition and fees for the award year July 1, 2023 to June 30, 2024 reported under Part II (Application) Section E of the Fiscal Operations Report and Application to Participate (FISAP) was incorrectly reported as $11,024,548. The correct amount was $10,380,652. Cause: Human error. Effect: If the College fails to comply with the terms and conditions of a Federal award, the Federal awarding agency may impose additional conditions, as described in 2 CFR 200.208, or implement other remedies for noncompliance, as described in 2 CFR 200.339. Additionally, incorrect reporting in the FISAP may result in incorrect award calculations by the Department of Education. The College may be required to return funds to which it is not entitled. Questioned costs: None. Identification as a repeat finding: No. Recommendation: The College should develop, implement, and maintains a thorough system of review of the FISAP to ensure that accurate information is reported. Views of responsible officials and planned corrective actions: Management concurs with the finding. See Exhibit I.

2025-002: Student Financial Audit Cluster - Special Tests: Return of Title IV Funds and NSLDS Reporting (Significant Deficiency; Noncompliance) Criteria: Per 34 CFR 668.173(b), returns of Title IV funds are required to be deposited or transferred into the bank account maintained under 34 CFR 668.163 or via electronic fund transfers initiated to the U.S. Department of Education as soon as possible, but no later than 45 days after the institution determines that the student withdrew. Returns by check are late if the check is issued more than 45 days after the institution determined that the student withdrew or the date on the canceled check shows the check was endorsed more than 60 days after the date the institution determined that the student withdrew. Per 34 CFR 685.309(b), “Upon receipt of an enrollment report from the Secretary, a school must update all information included in the report and return the report to the Secretary - (i) In the manner and format prescribed by the Secretary; and (ii) Within the timeframe prescribed by the Secretary.” Condition/context: Of the 15 students selected to test both the proper return of Title IV funds and National Student Loan Data System (NSLDS) reporting, we noted the following errors: • Two instances where the funds were not returned within the 45-day period allowed; and • One instance in which the student was not reported within 60 days of the date of determination. Cause: Human error. Effect: If the College fails to comply with the terms and conditions of a Federal award, the Federal awarding agency may impose additional conditions, as described in 2 CFR 200.208, or implement other remedies for noncompliance, as described in 2 CFR 200.339. Questioned costs: None. Identification as a repeat finding: No. Recommendation: The Student Financial Aid Office and Registrar’s Office should consider additional controls to ensure the proper review and identification of withdrawals for timeliness of refund payments and reporting to NSLDS. Views of responsible officials and planned corrective actions: Management concurs with the finding. See Exhibit I.