Audit 54570

FY End
2022-06-30
Total Expended
$26.65M
Findings
4
Programs
19
Organization: Saint Francis University (PA)
Year: 2022 Accepted: 2023-03-28

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
60333 2022-001 Significant Deficiency Yes N
60334 2022-001 Significant Deficiency Yes N
636775 2022-001 Significant Deficiency Yes N
636776 2022-001 Significant Deficiency Yes N

Contacts

Name Title Type
LBCNAREKWMY9 Tom Fritz Auditee
8144723262 Susan Maloney Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: 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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10% de minimis indirect cost rate allowed under the UniformGuidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Saint Francis University (the University) under programs of the federal government for the year ended June 30, 2022. 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 of the amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the consolidated financial statements. 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.
Title: Federal Student Loan Programs Accounting Policies: 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. Negative amounts shown on the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The University has not elected to use the 10% de minimis indirect cost rate allowed under the UniformGuidance. The total loans granted under the Federal Direct Student Loan Program, which were not made by the University but were received by its students were approximately $17,455,000 for the year ended June 30, 2022. 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 consolidated financial statements.Loans outstanding at the beginning of the year and loans made during the year of $1,142,755, are included in the federal expenditures presented in the Schedule. Federal Perkins loans outstanding at June 30, 2022 totaled $1,068,837.

Finding Details

Federal Program: Student Financial Assistance Cluster, Federal Direct Student Loan Program, Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not Applicable Assistance Listing Number: 84.268, 84.063 Federal Award Year: June 30, 2022 Criteria: Title IV regulations (34 CFR 668.22) require the University to require the University to return the unearned portion of grants or loans to the student based on the correct calculations. Condition: The federal aid refunds for 2 students out of 2 tested were not calculated correctly and resulted in the University not refunding the correct amounts to the students. The sample was not a statistically valid sample but was determined using Chapter 21 - Audit Sampling Considerations of Uniform Guidance Compliance Audits of the Government Auditing Standards and Single Audits Audit Guide. Cause: The University did not calculate the refunds correctly, causing the students to not receive the correct refund. Effect: The University refunded the students the incorrect amount based on the calculation. Questioned Costs: The total amount that was under-refunded to students was $4,116. Recommendation: The University should modify its procedures for refunding awards to ensure the proper refund is calculated correctly, as well as disbursing refunds in a timely manner. Views of Responsible Officials: The University acknowledges and concurs with the finding and has corrected the student records discovered in the audit. The University has already implemented additional training for all Student Financial Services staff. In addition, the procedure for documenting, calculating and returning federal funds as a result of the refund process has been modified to provide an additional level of review.
Federal Program: Student Financial Assistance Cluster, Federal Direct Student Loan Program, Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not Applicable Assistance Listing Number: 84.268, 84.063 Federal Award Year: June 30, 2022 Criteria: Title IV regulations (34 CFR 668.22) require the University to require the University to return the unearned portion of grants or loans to the student based on the correct calculations. Condition: The federal aid refunds for 2 students out of 2 tested were not calculated correctly and resulted in the University not refunding the correct amounts to the students. The sample was not a statistically valid sample but was determined using Chapter 21 - Audit Sampling Considerations of Uniform Guidance Compliance Audits of the Government Auditing Standards and Single Audits Audit Guide. Cause: The University did not calculate the refunds correctly, causing the students to not receive the correct refund. Effect: The University refunded the students the incorrect amount based on the calculation. Questioned Costs: The total amount that was under-refunded to students was $4,116. Recommendation: The University should modify its procedures for refunding awards to ensure the proper refund is calculated correctly, as well as disbursing refunds in a timely manner. Views of Responsible Officials: The University acknowledges and concurs with the finding and has corrected the student records discovered in the audit. The University has already implemented additional training for all Student Financial Services staff. In addition, the procedure for documenting, calculating and returning federal funds as a result of the refund process has been modified to provide an additional level of review.
Federal Program: Student Financial Assistance Cluster, Federal Direct Student Loan Program, Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not Applicable Assistance Listing Number: 84.268, 84.063 Federal Award Year: June 30, 2022 Criteria: Title IV regulations (34 CFR 668.22) require the University to require the University to return the unearned portion of grants or loans to the student based on the correct calculations. Condition: The federal aid refunds for 2 students out of 2 tested were not calculated correctly and resulted in the University not refunding the correct amounts to the students. The sample was not a statistically valid sample but was determined using Chapter 21 - Audit Sampling Considerations of Uniform Guidance Compliance Audits of the Government Auditing Standards and Single Audits Audit Guide. Cause: The University did not calculate the refunds correctly, causing the students to not receive the correct refund. Effect: The University refunded the students the incorrect amount based on the calculation. Questioned Costs: The total amount that was under-refunded to students was $4,116. Recommendation: The University should modify its procedures for refunding awards to ensure the proper refund is calculated correctly, as well as disbursing refunds in a timely manner. Views of Responsible Officials: The University acknowledges and concurs with the finding and has corrected the student records discovered in the audit. The University has already implemented additional training for all Student Financial Services staff. In addition, the procedure for documenting, calculating and returning federal funds as a result of the refund process has been modified to provide an additional level of review.
Federal Program: Student Financial Assistance Cluster, Federal Direct Student Loan Program, Federal Pell Grant Program Federal Agency: U.S. Department of Education Pass-Through Entity: Not Applicable Assistance Listing Number: 84.268, 84.063 Federal Award Year: June 30, 2022 Criteria: Title IV regulations (34 CFR 668.22) require the University to require the University to return the unearned portion of grants or loans to the student based on the correct calculations. Condition: The federal aid refunds for 2 students out of 2 tested were not calculated correctly and resulted in the University not refunding the correct amounts to the students. The sample was not a statistically valid sample but was determined using Chapter 21 - Audit Sampling Considerations of Uniform Guidance Compliance Audits of the Government Auditing Standards and Single Audits Audit Guide. Cause: The University did not calculate the refunds correctly, causing the students to not receive the correct refund. Effect: The University refunded the students the incorrect amount based on the calculation. Questioned Costs: The total amount that was under-refunded to students was $4,116. Recommendation: The University should modify its procedures for refunding awards to ensure the proper refund is calculated correctly, as well as disbursing refunds in a timely manner. Views of Responsible Officials: The University acknowledges and concurs with the finding and has corrected the student records discovered in the audit. The University has already implemented additional training for all Student Financial Services staff. In addition, the procedure for documenting, calculating and returning federal funds as a result of the refund process has been modified to provide an additional level of review.