FAC Explorer

Audit 4081

FY End
2023-06-30
Total Expended
$9.78M
Findings
2
Programs
5
Organization: Asbury University (KY)
Year: 2023 Accepted: 2023-11-27
Auditor: Dean Dorton Allen Ford PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
2387 2023-002 Significant Deficiency - N
578829 2023-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Loan Program $7.53M Yes 0
84.063 Federal Pell Grant Program $1.88M Yes 0
84.379 Teacher Education Assistance for College and Higher Education Grant $162,431 Yes 1
84.033 Federal College Work Study Program $132,843 Yes 0
84.007 Federal Supplemental Educational Opportunity Grant Program $78,469 Yes 0

Contacts

Name Title Type
CXWFKSLNBE16 Sue McKeown Auditee
8598583511 Megan Crane Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Asbury University (the University) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Asbury University (the University) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Title: Federal Student Loan Programs Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Asbury University (the University) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance The Federal Perkins Loan Program is administered directly by the University and balances and transactions relating to this program are included in the University's financial statements. As of June 30, 2023, the University had loans outstanding totaling $971,173 with an allowance for doubtful accounts of $142,993 under the Federal Perkins Loan Program. The University is responsible only for the performance of certain administrative duties with respect to the Federal Direct Loan Program and, accordingly, these loans are not included in the financial statements of the University. It is not practical to determine the balance of loans outstanding to students and former students of the University under this program as of June 30, 2023. The current expenditures under the Federal Direct Loan Program of $7,527,836 are included in the accompanying Schedule of Expenditures of Federal Awards.
Title: Indirect Cost Rate Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Asbury University (the University) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance The University has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2023-002
Finding 2023-002 Federal Program: U.S. Department of Education: TEACH Grant Criteria: The University must comply with 36 Section 686.37(a) and 36 CFR Section 686.31(e). Condition: During our testing of eligibility, we noted 5 TEACH Grant recipients of 5 sampled did not have the proper time of disbursement reported on COD. The students were also not notified of their right to cancel. Cause: 5 students disbursement dates were improperly report to COD and were not notified of their right to cancel. Effect: The provisions of 36 Section 686.37(a) and 36 CFR Section 686.31(e) were not followed and thus 5 students TEACH disbursements were not properly reported to COD and were not notified of their right to cancel. Recommendation: We recommend the University report to COD monthly the disbursement dates of grants, as well as update their notification to students to include wording about the students right to cancel. Views of Responsible Officials: The financial aid office has had turnover in positions. Submitting a disbursement date adjustment file for TEACH Grant disbursements was missed in training the new employee. This has been corrected and a disbursement date adjustment file is sent after each TEACH Grant disbursement is made to a student's ledger. We have manually reviewed TEACH Grant recipients for the 2022-2023 at COD to insure that our ledger and COD are in agreement. Personnel responsible: Leslie Kurtz, Director of Financial Aid, with appropriate staff.
Finding 2023-002
Finding 2023-002 Federal Program: U.S. Department of Education: TEACH Grant Criteria: The University must comply with 36 Section 686.37(a) and 36 CFR Section 686.31(e). Condition: During our testing of eligibility, we noted 5 TEACH Grant recipients of 5 sampled did not have the proper time of disbursement reported on COD. The students were also not notified of their right to cancel. Cause: 5 students disbursement dates were improperly report to COD and were not notified of their right to cancel. Effect: The provisions of 36 Section 686.37(a) and 36 CFR Section 686.31(e) were not followed and thus 5 students TEACH disbursements were not properly reported to COD and were not notified of their right to cancel. Recommendation: We recommend the University report to COD monthly the disbursement dates of grants, as well as update their notification to students to include wording about the students right to cancel. Views of Responsible Officials: The financial aid office has had turnover in positions. Submitting a disbursement date adjustment file for TEACH Grant disbursements was missed in training the new employee. This has been corrected and a disbursement date adjustment file is sent after each TEACH Grant disbursement is made to a student's ledger. We have manually reviewed TEACH Grant recipients for the 2022-2023 at COD to insure that our ledger and COD are in agreement. Personnel responsible: Leslie Kurtz, Director of Financial Aid, with appropriate staff.