Audit 385231

2025-001 Direct Program - Department of Education Student Financial Assistance Cluster Federal Financial Assistance Listing: 84.007, 84.033, 84.063, 84.268 Award Numbers: Not Available Compliance Requirement: Special Tests & Provisions – Disbursement to or on Behalf of Students Type of Finding: Significant Deficiency in Internal control over Compliance Criteria: Institutions that implement an affirmative confirmation process (as described in 34 CFR 668.165 (a)(6)(i)) must make this notification to the student or parent no earlier than 30 days before, and no later than 30 days after, crediting the student’s account at the institution with Direct Loan or TEACH Grants. Institutions that do not implement an affirmative confirmation process must notify a student no earlier than 30 days before, but no later than seven days after, crediting the student’s account and must give the student 30 days (instead of 14) to cancel all or part of the loan. Condition: In our testing of 60 students, 3 students did not receive a timely notification of their award from the District. Cause: The District’s existing control procedures to ensure required notification of direct loan awards be sent to students and parents were not functioning properly. Effect: Students were not notified of their student financial aid award within 30 days of crediting the student account. Questioned Costs: None reported Context/Sampling: Nonstatistical sample of 60 students receiving financial aid out of 2,986 total students receiving financial aid. Repeat Finding from Prior Year: Yes Recommendation: The District should implement a control or process to ensure timely notifications of aid are delivered to students. Views of Responsible Officials: The District’s management agrees with the finding.

2025-002 Direct Program - Department of Education Student Financial Assistance Cluster Federal Financial Assistance Listing: 84.007, 84.033, 84.063, 84.268 Award Numbers: Not Available Compliance Requirement: Special Tests & Provisions – Disbursement to or on Behalf of Students Type of Finding: Significant Deficiency in Internal control over Compliance Criteria: The Federal Pell Grant program provides grants to eligible students enrolled in eligible undergraduate programs and certain eligible post-baccalaureate teacher certificate programs and is intended to provide a foundation of financial aid. The program is administered by the Department of Education (ED) and postsecondary educational institutions. Maximum and minimum Pell Grant awards are established by statute, but the amount for which each student is eligible is based on Maximum or Minimum Pell Grant eligibility criteria or the student’s SAI. ED provides funds to the institution based on actual and estimated Pell expenditures. Condition: In our testing of 60 students, we found 1 student who was not awarded the correct amount of Pell. Cause: A student’s account was not flagged with the proper Pell indicator causing the amount of Pell calculated to be lower than it should have been by $319. Effect: A student was awarded the incorrect amount of Pell. Questioned Costs: None reported Context/Sampling: Nonstatistical sample of 60 students receiving financial aid out of 2,986 total students receiving financial aid. Repeat Finding from Prior Year: No Recommendation: The District should have a control or process in place to ensure Pell indicators are properly flagged for each student requesting financial aid, and that students receive the full award for which they qualify. Views of Responsible Officials: The District’s management agrees with the finding.

2025-003 Direct Program - Department of Education Student Financial Assistance Cluster Federal Financial Assistance Listing: 84.007, 84.033, 84.063, 84.268 Award Numbers: Not Available Compliance Requirement: Special Tests & Provisions - Return of Title IV Funds (R2T4) Type of Finding: Significant Deficiency in Internal control over Compliance Criteria: Institutions must determine the amount of Title IV aid earned by the student as of the student’s withdrawal date. If the total amount of Title IV assistance earned by the student is less than the amount that was disbursed to the student or on his or her behalf as of the date of the institution’s determination that the student withdrew, the difference must be returned to the Title IV programs as outlined in this section and no additional disbursements may be made to the student for the payment period or period of enrollment. If the amount the student earned is greater than the amount disbursed, the difference between the amounts must be treated as a post-withdrawal disbursement (34 CFR 668.22(a)(1) through (a)(5)). Condition: In our testing of 60 students, we found one student that was notified of the requirement to return Title IV funds in excess of the amount actually required to be returned. The error was caught by the District, but the student’s account was never corrected to the appropriate amount of the return. Cause: The District’s existing control procedures to ensure accurate calculation, notification, and application of the return of Title IV funds were not functioning properly. Effect: The wrong amount of Title IV awards to be returned was communicated to the student and posted to the student’s account and never corrected. Questioned Costs: None reported Context/Sampling: Nonstatistical sample of 60 students receiving financial aid out of 2,986 total students receiving financial aid. Repeat Finding from Prior Year: No Recommendation: The District should have a control or process to ensure return of Title IV awards are calculated, communicated and applied to the student’s account accurately. Views of Responsible Officials: The District’s management agrees with the finding.