FAC Explorer

Audit 415006

FY End
2026-04-30
Total Expended
$47.10M
Findings
1
Programs
6
Organization: Oral Roberts University (OK)
Year: 2026 Accepted: 2026-10-16
Auditor: HOGANTAYLOR LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1240606 2026-001 Material Weakness Yes C

Programs

ALN Program Spent Major Findings
84.268 FEDERAL DIRECT STUDENT LOANS $30.08M Yes 1
84.063 FEDERAL PELL GRANT PROGRAM $10.44M Yes 0
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $5.26M Yes 0
84.031 HIGHER EDUCATION INSTITUTIONAL AID $522,150 Yes 0
84.033 FEDERAL WORK-STUDY PROGRAM $421,843 Yes 0
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $377,611 Yes 0

Contacts

Name Title Type
D9H4X2GC96J6 Neal Stenzel Auditee
9184956203 David Stiles Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal awards activity of the University under programs of the federal government for the year ending April 30, 2026. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the University. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The University has elected not to use the 15% de minimis indirect cost rate as allowed under the Uniform Guidance.
The University administers the Federal Perkins Loan Program (the Program). During the year ended April 30, 2026, there were no disbursements for loans to students and no administrative cost allowances. The loan balance outstanding at April 30, 2026, was $3,320,583, net of an allowance for credit losses. No further loan disbursements can be made due to regulation changes to the Program. Schools have the option of continuing to collect on outstanding loan balances or can voluntarily liquidate the Program. The University has no current plans to begin the Program liquidation process.

Finding Details

Finding 2026-001
Finding: Item 2026-001 – Cash Management Federal Program – Federal Direct Loans Federal ALN – 84.268 Federal Award Year – April 30, 2026 Federal Agency – U.S. Department of Education (DOE) Pass-through Entity – Not Applicable Criteria: Title 34 Section 668.162 (b) states that an institution's request for funds may not exceed the amount of funds the institution needs immediately for disbursements the institution has made or will make to eligible students and parents. An institution must disburse funds requested under the advance payment method as soon as administratively feasible, but no later than three business days following the date the institution received those funds. Title 34 Section 668.166 (b) states that an institution may maintain for up to seven days an amount of excess cash that does not exceed one percent of the total amount of funds the institution drew down in the prior award year. The institution must return immediately any amount of excess cash over the one-percent tolerance and any amount of excess cash remaining in its account after the seven-day tolerance period. Condition: During late April of 2026, the University requested and received approximately $508,000 of Federal Direct Loan funds in excess of the funds disbursed to eligible students. The excess funds were identified by the University during reconciliation procedures in May and were returned to the DOE in June of 2026, which was beyond the seven-day tolerance period. Cause: The amount requested from the DOE was based on financial aid feed reports provided to the Finance Department. The feed reports used in the calculation contained duplicate entries, which resulted in the University overstating its immediate cash needs. Turnover in the position responsible for reviewing and providing the feed reports to the Finance Department led to a disruption in the timing and process used to generate and send the feed reports to the Finance Department.Repeat finding: Not a repeat finding. Questioned costs: The University returned $507,559 after the allowable period. Effect: The University had approximately $508,000 in federal funds before they were needed and did not comply with the requirement to return the excess cash to the DOE within seven days. Recommendation: We recommend the University improves the process for developing the feed reports, which are provided to the University's Finance Department, to ensure duplicate entries cannot occur in future periods. We also recommend review and reconciliation controls are performed timely so that any excess funds can be returned to the DOE within the required timeframe. View of responsible officials: Management's response is reported in "Management's Views and Corrective Action Plan" at the end of this report.