Audit 395771

2025-002 Department of Education Student Financial Aid Cluster Federal Financial Assistance Listing 84.268 – Federal Direct Student Loans, 84.063 - Federal Pell Grant Program, 84.007 – FSEOG Program 2024-2025 Award Year Special Tests and Provision – Disbursements to or on Behalf of Students Significant Deficiency in Internal Controls over Compliance Criteria: When Title IV funds are credited to a student account and they exceed the amount of tuition and fees, food and housing, and other authorized charges assessed the student, a credit balance is created. The institution must pay the resulting credit balance directly to the student or parent borrower within 14 days after (1) the first day of class of a payment period if the credit balance occurred on or before that day, or (2) the balance occurred if that was after the first day of class. Also, as allowed under 34 CFR 668.164(c)(3), a school may pay prior award year charges up to $200. If over $200, student authorization is required to apply the payments to a prior-year balance. Condition: During testing over credit balances, one student did not receive the refund on a timely basis. Cause: The student was awarded aid at an off time in the semester, and the refund was not provided within the 14-day window. Effect: The students were not given the refund in a timely manner. Questioned Costs: None. Context/Sampling: A nonstatistical sample of 60 students who received Title IV disbursements out of 1,903 students who received aid. Repeat Finding from Prior Year(s): Yes. Recommendation: We recommend disbursements made be reviewed to ensure that the refunds are being provided to students on a timely basis. Views of Responsible Officials: Management agrees with the finding.

2025-003 Department of Education Student Financial Aid Cluster Federal Financial Assistance Listing 84.268 – Federal Direct Student Loans 2024-2025 Award Year Special Tests and Provision – NSLDS Reporting Significant Deficiency in Internal Controls over Compliance Criteria: 34 CFR section 685.309 sets forth the criteria for administrative and fiscal control and fund accounting requirements for schools participating in the Direct Loan Program in regard to enrollment reporting requirements. Condition: We identified through our testing over enrollment reporting one instance of a student’s program begin date incorrectly reported to NSLDS. Cause: An error in entry of the date was made in the system which is used to report to NSLDS, so the date was incorrectly reported. Effect: The error in reporting resulted in incorrect program start date for the student. Questioned Costs: None. Context/Sampling: A nonstatistical sample of 60 students with a change in status out of approximately 820 students with a change in status were selected for testing of enrollment reporting requirements. Repeat Finding from Prior Year(s): Yes. Recommendation: We recommend the financial aid and registrar’s offices review controls over information being entered into the software for dates and other academic information that is required to be reported to ensure that status changes and other academic information are certified within 60 days of the effective date. Views of Responsible Officials: Management agrees with the finding.