Audit 401402

BRIGHAM YOUNG UNIVERSITY-HAWAII SCHEDULE OF FINDINGS AND QUESTIONED COSTS for the year ended December 31, 2025 Section III – Federal Award Findings and Questioned Costs Finding 2025-001 - Non-Compliance with Accurate Student Enrollment Change Submissions to the National Student Loan Data System Grantor: U.S. Department of Education Program: Student Financial Assistance Cluster Assistance Listing #: 84.063, 84.268 Award Titles: Federal Pell Grant Program, Federal Direct Student Loan Program Award Years: 7/2024 – 6/2026 Criteria 34 CFR 685.309(b): (1) Upon receipt of an enrollment report from the Secretary, a school must update all information included in the report and return the report to the Secretary - (i) In the manner and format prescribed by the Secretary; and (ii) Within the timeframe prescribed by the Secretary. (2) 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 - (i) 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; or (ii) A student who is enrolled at the school and who received a loan under title IV of the Act has changed his or her permanent address. Condition Of the population of students who had a status change and received Pell Grants and/or Direct Loans during the period January 1, 2025 through December 31, 2025, 60 students were selected for enrollment reporting testing of the campus level and program level records. Of the 60 students selected, there were two exceptions noted during the Winter 2025 semester. In both instances, the students’ campus effective date of their withdrawal from classes was incorrectly reported to the National Student Loan Data System (NSLDS) while their program effective date was correctly reported. Cause As part of the prior year corrective action plan, Brigham Young University-Hawaii (the University) was in the process of implementing a new review process to extract student data from PeopleSoft and transmit it to the National Student Clearinghouse (NSC) and NSLDS. Both exceptions had a status change date prior to the execution of the prior year corrective action plan on May 31, 2025. Effect A student’s campus enrollment status determines eligibility for in-school status, deferment, and grace periods, as well as for payment of interest subsidies, all of which are impacted by inaccurate and untimely reporting. Questioned Costs None. Repeat Finding in the Prior Year Yes. Recommendation We recommend that the University continue to execute its prior year corrective action plan to monitor its enrollment reporting accuracy under its new review process. Management’s Views and Corrective Action Plan Management’s response is reported in management’s views and corrective action plan included at the end of this report.

BRIGHAM YOUNG UNIVERSITY-HAWAII SCHEDULE OF FINDINGS AND QUESTIONED COSTS for the year ended December 31, 2025 Section III – Federal Award Findings and Questioned Costs Finding 2025-002 – Untimely Reporting of Disbursement Records Grantor: U.S. Department of Education Program: Student Financial Assistance Cluster Assistance Listing #: 84.063 Award Title: Federal Pell Grant Program Award Years: 7/2024 – 6/2026 Criteria Federal Register Volume 86, Issue 119 (June 24, 2021) – 86 FR 33246: An institution must submit Pell Grant, Iraq and Afghanistan Service Grant, Direct Loan, and TEACH Grant disbursement records to the U.S. Department of Education’s Common Origination and Disbursement (COD) system, no later than 15 days after making the disbursement or becoming aware of the need to adjust a previously reported disbursement. Condition Of the population of students who were disbursed Federal Pell Grants and/or Direct Loans during the period January 1, 2025 through December 31, 2025, 25 students were selected to validate that the disbursement information was timely and accurately submitted to the U.S. Department of Education’s (ED) Common Origination and Disbursement (COD) system within 15 days of funds being disbursed to the student. Of the 25 students selected, three instances were noted in January 2025 in which disbursement information was not reported to the COD system within 15 days. The disbursement information was reported 35 days after the disbursement occurred. Cause For the three instances that occurred in January 2025, the Financial Aid Senior Manager involved in timely reporting of disbursements as the primary control owner was unavailable and there was no back-up individual who was trained to ensure timely reporting of disbursements. Effect Brigham Young University-Hawaii's (the University) failure to submit disbursement records within the required timeframe may result in the Department of Education rejecting all or part of the reported disbursement and/or additional adverse actions in accordance with 34 CFR 668. Questioned Costs None. Repeat Finding in the Prior Year No. Recommendation We recommend that the University train additional personnel to perform the relevant COD disbursement controls to ensure that back-up individual(s) are in place to perform the necessary procedures to ensure timely and accurate reporting as part of the COD reporting process. Management’s Views and Corrective Action Plan Management’s response is reported in management’s views and corrective action plan included at the end of this report.