Audit 397395

2025-001: Incorrect Direct Loans Disbursement Amount - Student Financial Aid Cluster Assistance Listing Number 84.007, 84.033, 84.038, 84.063, 84.268, Grant Period - Year Ended August 31, 2025 Criteria: According to 34 CFR 685.203 an eligible dependent student in their first year of school can borrow up to $3,500 in Subsidized Direct Loans and $2,000 in Unsubsidized Direct Loans. Condition/Context: During our student file testing we noted two students out of forty were disbursed the incorrect Direct Loan amount. Based on the student’s enrollment status and need, the University over awarded the students by $1,229. We consider this error in awarding to be an instance of noncompliance of the Eligibility Compliance Requirement. Statistical sampling was not used when making sample selections. Questioned Costs: $1,229 Effect: Two students were over awarded Subsidized Direct Loans in the amount of $1,229. Cause: The University’s internal controls did not identify the fact that the students were over awarded Subsidized Direct Loans in the amount of $1,229. Recommendation: We recommend the University closely monitor all students who receive direct loans and verify that they receive the proper amount of Subsidized Direct Loans. Views of Responsible Officials: Management agrees with this finding and response is included in Corrective Action Plan.

2025-002: Enrollment Reporting - Student Financial Aid Cluster -Assistance Listing Number 84.007, 84.033, 84.063, and 84.268 - Year Ended August 31, 2025 Criteria: According to 34 CFR 685.309 (b), schools must update enrollment data for students and report to the Secretary in a manner of prescribed format within the required timeframe of sixty days after a student has graduated, ceased attendance or enrolled less than half-time. Condition/Context: During our Enrollment Status Changes testing, we selected forty students for our sample. In our sample of forty we tested twenty graduated students to verify that they were reported within sixty days and we tested twenty current students to note that their student status is reported correctly. We noted ten students were not reported within the required sixty days. We consider this finding to be a significant deficiency relation to the Reporting Compliance Requirement. Statistical sampling was not used in making sample selections. Questioned Costs: $0 Effect: The University did not report ten students’ change in enrollment within the sixty day requirement. Cause: The University’s internal controls did not identify that the student’s enrollment submission was past the required sixty-day requirement. Recommendation: We recommend the University continue to work with the department responsible for the enrollment status submissions to ensure that accurate reporting continues to assure compliance within the required reporting guidelines. Views of Responsible Officials: Management agrees with this finding and response is included in Corrective Action Plan