Audit 54926

FY End
2022-08-31
Total Expended
$1.31M
Findings
2
Programs
3
Year: 2022 Accepted: 2023-02-19

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
58610 2022-001 - - N
635052 2022-001 - - N

Programs

ALN Program Spent Major Findings
84.063 Federal Pell Grant Program $566,452 Yes 1
84.425 Education Stabilization Fund $370,047 Yes 0
17.258 Wia Adult Program $3,540 - 0

Contacts

Name Title Type
VNTKNNB9XZ27 Jerry Johnson Auditee
9012851880 Jeree Wheat Auditor
No contacts on file

Notes to SEFA

Title: NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of the College under programs of the federal government for the year ended August 31, 2022. 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). 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
Title: NOTE 3 PELL GRANTS Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of the College under programs of the federal government for the year ended August 31, 2022. 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). 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Pell grants are monies the U.S. federal government provides for students who need it to pay for college. It is an entitlement (awards are guaranteed if criteria are met). Federal Pell Grants are limited to students with financial need, who have not earned their first bachelor's degree, or who are enrolled in certain postbaccalaureate programs, through participating institutions. During the year ended August 31, 2022, the College disbursed Pell monies of $566,452. Pell Grants were created by the Higher Education Act of 1965. These federal funded grants are not likeloans and need not be repaid.
Title: NOTE 5 WIOA EMPLOYMENT AND TRAINING ACTIVITIES Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of the College under programs of the federal government for the year ended August 31, 2022. 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). 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. These monies are to be used in assisting eligible adults and dislocated workers to receive training services through scholarships.
Title: NOTE 6 COVID-19 HIGHER EDUCATION EMERGENCY RELIEF FUNDS (CFDA 84.425E AND Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of the College under programs of the federal government for the year ended August 31, 2022. 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). 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. During fiscal 2022, the College was granted a total of $740,094 for programs E (student relief) and F (institutional relief). The College had spent all the funds through August 31, 2022. These funds were awarded herein pursuant to Section 314(a)(1) of the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSAA), Pub. L. 116-260, are governed by Section 314 of CRRSAA.
Title: NOTE 7 CONTINGENCY Accounting Policies: The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal grant activity of the College under programs of the federal government for the year ended August 31, 2022. 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). 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The grant revenue amounts are subject to audit and adjustment. If any expenditures or expenses are disallowed by the grantor agencies as a result of such an audit, any claim for reimbursement to the grantor agencies would become a liability of the College. In the opinion of management, all grant expenditures are in compliance with the terms of the grant agreements and applicable federal laws and regulations.

Finding Details

Condition: Title IV funds for 2 out 5 students examined was not returned timely to the student financial assistance program. The Title IV fund calculations for 1 out 5 students examined was not correctly calculated. 1 out of 5 students, neither a calculation was performed, nor federal funds returned to the student financial assistance. Effect: The University failed to return funds within the 45 day regulatory requirement, and did not perform the correct calculation which permitted the improper retention of federal funds. For the one student that a calculation was performed, it was because it was a dual enrollment student that did not return the following semester and the College had limited information on this new program (dual enrollment students). Cause: Due to oversight, unearned aid was not accurately or timely returned. Questioned costs: $1,216 Context: Of 158 recipients of student financial aid, 20 case files were examined.
Condition: Title IV funds for 2 out 5 students examined was not returned timely to the student financial assistance program. The Title IV fund calculations for 1 out 5 students examined was not correctly calculated. 1 out of 5 students, neither a calculation was performed, nor federal funds returned to the student financial assistance. Effect: The University failed to return funds within the 45 day regulatory requirement, and did not perform the correct calculation which permitted the improper retention of federal funds. For the one student that a calculation was performed, it was because it was a dual enrollment student that did not return the following semester and the College had limited information on this new program (dual enrollment students). Cause: Due to oversight, unearned aid was not accurately or timely returned. Questioned costs: $1,216 Context: Of 158 recipients of student financial aid, 20 case files were examined.