Audit 382851

FY End
2025-06-30
Total Expended
$16.28M
Findings
4
Programs
15
Organization: Hagerstown Community College (MD)
Year: 2025 Accepted: 2026-01-20

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
1169760 2025-001 Material Weakness Yes N
1169761 2025-001 Material Weakness Yes N
1169762 2025-001 Material Weakness Yes N
1169763 2025-001 Material Weakness Yes N

Contacts

Name Title Type
Q7K8PNLA8WP1 David Bittorf Auditee
2405002266 Sean Walker Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards includes the federal grant activity of Hagerstown Community College (the College) for the year ended June 30, 2025. The information in this schedule is presented in accordance with requirements of 2 CFR 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 the College, it is not intended to and does not present the financial position, change in net position or cash flows of the College.
During the year ended June 30, 2025, the College processed the following amount of new loans under the Federal Direct Lending Program. Since this program is administered by outside financial institutions, new loans made during the fiscal year relating to this program are considered current year expenditures in the schedule. Federal ALN Program Name Loan Expenditures 84.268 Federal Direct Lending $4,132,321
Colleges participating in the Work-Study Program and Supplemental Education Opportunity Grant Program normally are required to provide an institutional share under the program. However, the College qualified for and was granted a waiver of the institutional share requirements under 34 CFR 675.26D of the Work-Study regulations and under Title III or Title V of the Higher Education Act of 1965, as amended.
he Institution is in compliance with the following institutional and program eligibility requirements under the Higher Education Act of 1965 and Federal regulations under 34 CFR 668.23: • Correspondence courses the institution offers under 34 CFR 600.7(b) and (g) • Regular students that enroll in correspondence courses under 34 CFR 600.7(b) and (g) • Institution’s regular students that are incarcerated under 34 CFR 600.7(c) and (g) • Completion rates for confined or incarcerated individuals enrolled in non-degree programs at nonprofit institutions under 34 CFR 600.7(c)(3)(ii) and (g) • Institution’s regular students that lack a high school diploma or its equivalent under 34 CFR 600.7(d) and (g) • Completion rates for short-term programs under 34 CFR 668.8(f) and (g) • Placement rates for short-term programs under https://www.ecfr.gov/current/

Finding Details

Federal Agency: U.S. Department of Education Federal Program: Student Financial Aid Cluster ALN: 84.063, 84.268 Federal Award Identification Number: P063P241225 - 2025 ; P268K251553 - 2025 Award Period: July 1, 2024 – June 30, 2025 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Internal Control – Per 2 CFR section 200.303(a), a non-Federal entity must: Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non- Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Compliance – The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Condition: During our testing of enrollment status reporting, we noted the change in enrollment status was not reported within 60 days. Questioned Costs: None Context: The change in enrollment data was not reported timely for 1 out of 40 students. Cause: Hagerstown Community College did not have a process in place to ensure the students who changed status were reported timely and accurately. Effect: Student enrollment status changes was not reported timely to NSLDS. Repeat Finding: No Recommendation: We recommend Hagerstown Community College reevaluate their procedures and review policies surrounding reporting status changes to NSLDS to ensure timely and accurate reporting. Views of responsible officials: Management agrees with the finding and has a plan to correct the finding