Audit 50214

FY End
2022-06-30
Total Expended
$13.00M
Findings
6
Programs
7
Organization: Thiel College (PA)
Year: 2022 Accepted: 2023-03-30

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
62042 2022-001 - - N
62043 2022-002 - - L
62044 2022-002 - - L
638484 2022-001 - - N
638485 2022-002 - - L
638486 2022-002 - - L

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $9.24M Yes 0
84.063 Federal Pell Grant Program $1.58M Yes 1
84.038 Federal Perkins Loan Program $978,949 Yes 0
84.033 Federal Work-Study Program $90,010 Yes 0
84.007 Federal Supplemental Educational Opportunity Grants $75,625 Yes 0
84.425 Education Stabilization Fund $43,260 Yes 0
93.364 Nursing Student Loans $11,594 Yes 0

Contacts

Name Title Type
H2KFASHQHRS1 Amy Arbogast Auditee
7245892102 Thomas Walenchok Auditor
No contacts on file

Notes to SEFA

Title: Loan/Loan guarantee outstanding balances Accounting Policies: The accompanying schedule of expenditures of federal awards (the schedule) presents the expenditures of all federal awards programs of Thiel College (the College) using the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. FEDERAL PERKINS LOAN PROGRAM (84.038) - Balances outstanding at the end of the audit period were 632,000. NURSING STUDENT LOANS (93.364) - Balances outstanding at the end of the audit period were 3,000.
Title: Relationship to Basic Financial Statements Accounting Policies: The accompanying schedule of expenditures of federal awards (the schedule) presents the expenditures of all federal awards programs of Thiel College (the College) using the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the College, it is not intended to and does not present the financial position, changes in net assets or cash flows of the College.

Finding Details

Finding 2022-001: Return of Title IV Funds Federal Program: Student Financial Assistance Cluster - Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063 Federal Award Year: June 30, 2022 Criterion: 34 CFR 668.22 requires that when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student's withdrawal date in accordance with Federal regulations and return the unearned portion of the grant or loan funds to the Title IV programs as soon as possible but no later than 45 days after the withdrawal date. Condition and Context: For one student out of ten selected for testing, return of the unearned portion of Title IV funds return was not submitted within the required 45-day window. Our sample was not statistically valid. Cause and Effect: The College did not have an adequate control to ensure that the Title IV funds were returned within the required 45 days, and as a result, the funds were not timely remitted. Recommendation: The College should implement a process and related control to ensure that the Title IV funds are returned timely to the Department of Education. Management Response: Management agrees with the finding. The Director of Financial Aid will ensure the implementation of procedures and controls in 2023 to ensure timely return of Title IV funds.
Finding 2022-002: Improper HEERF Student and Institutional Aid Reporting Federal Program: COVID-19 - Education Stabilization Fund - Higher Education Emergency Relief Fund - Student and Institutional Aid Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.425E, 84.425F Federal Award Year: June 30, 2022 Criterion: The U.S. Department of Education (the Department) has issued guidance for the Education Stabilization Funds (ESF) Higher Education Emergency Relief Funds (HEERF) for quarterly reporting for all Sections (a)(1), (a)(2), (a)(3) and (a)(4) that requires that institutions to prepare a report for each quarter for funds that are drawn down and disbursed/spent. The reports are to be posted on the institution?s website within 10 days of the calendar quarter end. Additionally, institutions are required to prepare an annual report and submit to the Department summarizing the uses of the HEERF funds for the calendar year. Condition and Context: The College reported an inaccurate amount of institutional expenses on the quarterly report for the quarter ending September 30, 2021. There was also no evidence maintained of timely reporting for the student or institutional reports for the quarters ending September 30, 2021, December 31, 2021, March 31, 2022, and June 30, 2022. Cause and Effect: The College did not have an adequate control to ensure that the institutional expenses were accurately reported on the quarterly report, and as a result, the quarterly report contained inaccurate information. The College also did not have sufficient documentary controls in place to maintain records of timely submission of the quarterly reports for the year. Recommendation: The College should implement a process and related control to ensure that HEERF reporting requirements are accurately met in a timely manner. Management Response: Management agrees with the finding. The Associate Vice President for Finance and Administration will ensure the implementation of procedures and controls in 2023 to ensure timely and accurate submission of HEERF student and institutional quarterly reports as well as evidence of their timely submission.
Finding 2022-002: Improper HEERF Student and Institutional Aid Reporting Federal Program: COVID-19 - Education Stabilization Fund - Higher Education Emergency Relief Fund - Student and Institutional Aid Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.425E, 84.425F Federal Award Year: June 30, 2022 Criterion: The U.S. Department of Education (the Department) has issued guidance for the Education Stabilization Funds (ESF) Higher Education Emergency Relief Funds (HEERF) for quarterly reporting for all Sections (a)(1), (a)(2), (a)(3) and (a)(4) that requires that institutions to prepare a report for each quarter for funds that are drawn down and disbursed/spent. The reports are to be posted on the institution?s website within 10 days of the calendar quarter end. Additionally, institutions are required to prepare an annual report and submit to the Department summarizing the uses of the HEERF funds for the calendar year. Condition and Context: The College reported an inaccurate amount of institutional expenses on the quarterly report for the quarter ending September 30, 2021. There was also no evidence maintained of timely reporting for the student or institutional reports for the quarters ending September 30, 2021, December 31, 2021, March 31, 2022, and June 30, 2022. Cause and Effect: The College did not have an adequate control to ensure that the institutional expenses were accurately reported on the quarterly report, and as a result, the quarterly report contained inaccurate information. The College also did not have sufficient documentary controls in place to maintain records of timely submission of the quarterly reports for the year. Recommendation: The College should implement a process and related control to ensure that HEERF reporting requirements are accurately met in a timely manner. Management Response: Management agrees with the finding. The Associate Vice President for Finance and Administration will ensure the implementation of procedures and controls in 2023 to ensure timely and accurate submission of HEERF student and institutional quarterly reports as well as evidence of their timely submission.
Finding 2022-001: Return of Title IV Funds Federal Program: Student Financial Assistance Cluster - Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.063 Federal Award Year: June 30, 2022 Criterion: 34 CFR 668.22 requires that when a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV grant or loan assistance that the student earned as of the student's withdrawal date in accordance with Federal regulations and return the unearned portion of the grant or loan funds to the Title IV programs as soon as possible but no later than 45 days after the withdrawal date. Condition and Context: For one student out of ten selected for testing, return of the unearned portion of Title IV funds return was not submitted within the required 45-day window. Our sample was not statistically valid. Cause and Effect: The College did not have an adequate control to ensure that the Title IV funds were returned within the required 45 days, and as a result, the funds were not timely remitted. Recommendation: The College should implement a process and related control to ensure that the Title IV funds are returned timely to the Department of Education. Management Response: Management agrees with the finding. The Director of Financial Aid will ensure the implementation of procedures and controls in 2023 to ensure timely return of Title IV funds.
Finding 2022-002: Improper HEERF Student and Institutional Aid Reporting Federal Program: COVID-19 - Education Stabilization Fund - Higher Education Emergency Relief Fund - Student and Institutional Aid Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.425E, 84.425F Federal Award Year: June 30, 2022 Criterion: The U.S. Department of Education (the Department) has issued guidance for the Education Stabilization Funds (ESF) Higher Education Emergency Relief Funds (HEERF) for quarterly reporting for all Sections (a)(1), (a)(2), (a)(3) and (a)(4) that requires that institutions to prepare a report for each quarter for funds that are drawn down and disbursed/spent. The reports are to be posted on the institution?s website within 10 days of the calendar quarter end. Additionally, institutions are required to prepare an annual report and submit to the Department summarizing the uses of the HEERF funds for the calendar year. Condition and Context: The College reported an inaccurate amount of institutional expenses on the quarterly report for the quarter ending September 30, 2021. There was also no evidence maintained of timely reporting for the student or institutional reports for the quarters ending September 30, 2021, December 31, 2021, March 31, 2022, and June 30, 2022. Cause and Effect: The College did not have an adequate control to ensure that the institutional expenses were accurately reported on the quarterly report, and as a result, the quarterly report contained inaccurate information. The College also did not have sufficient documentary controls in place to maintain records of timely submission of the quarterly reports for the year. Recommendation: The College should implement a process and related control to ensure that HEERF reporting requirements are accurately met in a timely manner. Management Response: Management agrees with the finding. The Associate Vice President for Finance and Administration will ensure the implementation of procedures and controls in 2023 to ensure timely and accurate submission of HEERF student and institutional quarterly reports as well as evidence of their timely submission.
Finding 2022-002: Improper HEERF Student and Institutional Aid Reporting Federal Program: COVID-19 - Education Stabilization Fund - Higher Education Emergency Relief Fund - Student and Institutional Aid Federal Agency: U.S. Department of Education Pass-Through Entity: Not applicable Assistance Listing Number: 84.425E, 84.425F Federal Award Year: June 30, 2022 Criterion: The U.S. Department of Education (the Department) has issued guidance for the Education Stabilization Funds (ESF) Higher Education Emergency Relief Funds (HEERF) for quarterly reporting for all Sections (a)(1), (a)(2), (a)(3) and (a)(4) that requires that institutions to prepare a report for each quarter for funds that are drawn down and disbursed/spent. The reports are to be posted on the institution?s website within 10 days of the calendar quarter end. Additionally, institutions are required to prepare an annual report and submit to the Department summarizing the uses of the HEERF funds for the calendar year. Condition and Context: The College reported an inaccurate amount of institutional expenses on the quarterly report for the quarter ending September 30, 2021. There was also no evidence maintained of timely reporting for the student or institutional reports for the quarters ending September 30, 2021, December 31, 2021, March 31, 2022, and June 30, 2022. Cause and Effect: The College did not have an adequate control to ensure that the institutional expenses were accurately reported on the quarterly report, and as a result, the quarterly report contained inaccurate information. The College also did not have sufficient documentary controls in place to maintain records of timely submission of the quarterly reports for the year. Recommendation: The College should implement a process and related control to ensure that HEERF reporting requirements are accurately met in a timely manner. Management Response: Management agrees with the finding. The Associate Vice President for Finance and Administration will ensure the implementation of procedures and controls in 2023 to ensure timely and accurate submission of HEERF student and institutional quarterly reports as well as evidence of their timely submission.