Audit 385439

2025-001 Special Tests and Provisions - Enrollment Reporting Finding Type. Immaterial Noncompliance/Significant Deficiency in Internal Control over Compliance (Special Tests and Provisions). Program. Student Financial Assistance Cluster; U.S. Department of Education; Assistance Listing Numbers 84.063 and 84.268; Award Numbers P063P231631, P063P241631, P268K241631 and P268K251631. Criteria. 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; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. Condition. During our testing we noted that two students out of a testing population of eleven did not have their status change reported timely to NSLDS, one of which also had differences in their program level enrollment and campus level enrollment details. Another student had an incorrect effective date reported to NSLDS. Cause. The College relies on the National Student Clearinghouse (NSC) as a third-party servicer to submit enrollment status changes to the National Student Loan Data System (NSLDS). There were incorrect inputs in the enrollment rosters, as well as a delay in NSC accepting the files. Although the College utilizes NSC for reporting, it remains the College’s responsibility to ensure that enrollment status changes are reported accurately and timely in accordance with federal requirements. Effect. As a result of this condition, the College was exposed to an increased risk that incorrect information would be reported to NSLDS. Questioned Costs. No costs were required to be questioned as a result of this finding inasmuch as our testing did not reveal any unallowed costs. Recommendation. We recommend that the College enhance its policies and procedures regarding enrollment reporting to ensure that reporting is completed accurately and timely. View of Responsible Officials. Management agrees with this finding and has prepared a Corrective Action Plan.