Audit 386736

Finding – Special Tests and Provisions: Enrollment Reporting – Federal Direct Student Loan Program, Assistance Listing Number 84.268; June 30, 2025 Award Year; U.S. Department of Education Criteria or Specific Requirement Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended (CFR 685.309(b)(2)(i)). Condition Found Three students out of the 16 selected for status change testing had their status change reported to the National Student Loan Data System (“NSLDS”) outside of the maximum 60-day window. Changes were reported 5 days later than the requirement of 60 days. This was not a statistically valid sample. Questioned Costs None. Cause The University utilizes a third-party, the National Student Clearinghouse (“NSC”), to submit student status changes to NSLDS. The University reported information relating to fall end of term student status changes to NSC within 44 days, however, NSC reported the information to NSLDS 21 days later, thereby causing the late reporting. Effect A student’s enrollment status determines eligibility for in-school status, deferment, grace periods, and repayments, as well as the government’s payment of interest subsidies. The notification of student status changes to NSLDS will cause a student to enter into a grace period and determine a repayment date and, therefore, timely notification to NSLDS is important. Identification as a Repeat Finding This is not a repeat finding. Recommendation The University should work with NSC to adjust their reporting timeline for status changes occurring at the end of a semester in order to ensure timely transmittal of data to NSLDS. Views of Responsible Officials See the University’s Corrective Action Plan.