FAC Explorer

Audit 56825

FY End
2022-06-30
Total Expended
$9.06M
Findings
4
Programs
5
Organization: Thaddeus Stevens College of Technology (PA)
Year: 2022 Accepted: 2022-12-21
Auditor: Maher Duessel CPAS

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
61394 2022-001 Material Weakness - C
61395 2022-001 Material Weakness - C
637836 2022-001 Material Weakness - C
637837 2022-001 Material Weakness - C

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loans $3.63M Yes 0
84.063 Federal Pell Grant Program $2.28M Yes 0
84.425 Covid-19, Education Stabilization Fund $385,009 Yes 1
84.048 Career and Technical Education -- Basic Grants to States $251,802 - 0
84.007 Federal Supplemental Educational Opportunity Grants $57,441 Yes 0

Contacts

Name Title Type
KF8YVJPX1HF8 George Longridge Auditee
7173916947 Lisa Ritter 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of the College 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 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Since 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 position, or cash flows of the College. For purposes of the Schedule, federal awards include all grants, contracts, and similar agreements entered into directly between the College and agencies or departments of the federal government, and all subawards to the College by nonfederal organizations pursuant to federal grants, contracts, and similar agreements.
Title: Student Financial Assistance Loan Program 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. During the year ended June 30, 2022, the College processed $3,629,285 of new loans under the federal Direct Student Loans Program. Since these programs are administered by outside financial institutions, new loans made during the fiscal year relating to these programs are considered current year expenditures in the schedule.

Finding Details

Finding 2022-001
Finding 2022-001: Cash Management U.S. Department of Education- COVID-19 Education Stabilization Fund (ALN 84.425) Statement of Condition: The College drew down all Higher Educational Emergency Relief Funding (HEERF) 1 and 2 money and maintained an excess cash balance (funds drew down were greater than expenditures claimed on previous SEFAs). In the current year the College drew down the correct amount of HEERF money. Criteria: Per 48 CFR section 53.216.7(b) and the Certification Agreements for the Educational Stabilization Fund, any cash drawn down should occur after or shortly before the expenditure is paid. For student aid related payments, the funds drawn down should be disbursed within 15 calendar days to students and for the institutional aid portion the funds should be disbursed within 3 calendar days from the drawn down date in the G5 system. Cause: The College drew down all HEERF money made available to them to expend and only began to draw down money as needed during fiscal year 2022. All money withdrawn in previous years were not expended in full before additional draws were made. Effect of the Condition: The College has drawn down monies in excess of expenditures in the amount of $421,437. Recommendation: We recommend that the College review their excess cash and utilize that cash before drawing additional funds from the HEERF funding to ensure that there is not any additional excess cash on hand. In addition, we recommend that the College implements a procedures or additional procedure to ensure that cash draw downs only occur shortly before or after eligible expenses are paid. Repeat Finding: This is not considered a repeat finding. Views of Responsible Officials: Management agrees with the Finding. Management will put a process in place to review and monitor changes in HEERF reporting requirements. As part of this revised process, all data will be subject to final review prior to submission of any HEERF information to ensure accuracy and consistency.
Finding 2022-001
Finding 2022-001: Cash Management U.S. Department of Education- COVID-19 Education Stabilization Fund (ALN 84.425) Statement of Condition: The College drew down all Higher Educational Emergency Relief Funding (HEERF) 1 and 2 money and maintained an excess cash balance (funds drew down were greater than expenditures claimed on previous SEFAs). In the current year the College drew down the correct amount of HEERF money. Criteria: Per 48 CFR section 53.216.7(b) and the Certification Agreements for the Educational Stabilization Fund, any cash drawn down should occur after or shortly before the expenditure is paid. For student aid related payments, the funds drawn down should be disbursed within 15 calendar days to students and for the institutional aid portion the funds should be disbursed within 3 calendar days from the drawn down date in the G5 system. Cause: The College drew down all HEERF money made available to them to expend and only began to draw down money as needed during fiscal year 2022. All money withdrawn in previous years were not expended in full before additional draws were made. Effect of the Condition: The College has drawn down monies in excess of expenditures in the amount of $421,437. Recommendation: We recommend that the College review their excess cash and utilize that cash before drawing additional funds from the HEERF funding to ensure that there is not any additional excess cash on hand. In addition, we recommend that the College implements a procedures or additional procedure to ensure that cash draw downs only occur shortly before or after eligible expenses are paid. Repeat Finding: This is not considered a repeat finding. Views of Responsible Officials: Management agrees with the Finding. Management will put a process in place to review and monitor changes in HEERF reporting requirements. As part of this revised process, all data will be subject to final review prior to submission of any HEERF information to ensure accuracy and consistency.
Finding 2022-001
Finding 2022-001: Cash Management U.S. Department of Education- COVID-19 Education Stabilization Fund (ALN 84.425) Statement of Condition: The College drew down all Higher Educational Emergency Relief Funding (HEERF) 1 and 2 money and maintained an excess cash balance (funds drew down were greater than expenditures claimed on previous SEFAs). In the current year the College drew down the correct amount of HEERF money. Criteria: Per 48 CFR section 53.216.7(b) and the Certification Agreements for the Educational Stabilization Fund, any cash drawn down should occur after or shortly before the expenditure is paid. For student aid related payments, the funds drawn down should be disbursed within 15 calendar days to students and for the institutional aid portion the funds should be disbursed within 3 calendar days from the drawn down date in the G5 system. Cause: The College drew down all HEERF money made available to them to expend and only began to draw down money as needed during fiscal year 2022. All money withdrawn in previous years were not expended in full before additional draws were made. Effect of the Condition: The College has drawn down monies in excess of expenditures in the amount of $421,437. Recommendation: We recommend that the College review their excess cash and utilize that cash before drawing additional funds from the HEERF funding to ensure that there is not any additional excess cash on hand. In addition, we recommend that the College implements a procedures or additional procedure to ensure that cash draw downs only occur shortly before or after eligible expenses are paid. Repeat Finding: This is not considered a repeat finding. Views of Responsible Officials: Management agrees with the Finding. Management will put a process in place to review and monitor changes in HEERF reporting requirements. As part of this revised process, all data will be subject to final review prior to submission of any HEERF information to ensure accuracy and consistency.
Finding 2022-001
Finding 2022-001: Cash Management U.S. Department of Education- COVID-19 Education Stabilization Fund (ALN 84.425) Statement of Condition: The College drew down all Higher Educational Emergency Relief Funding (HEERF) 1 and 2 money and maintained an excess cash balance (funds drew down were greater than expenditures claimed on previous SEFAs). In the current year the College drew down the correct amount of HEERF money. Criteria: Per 48 CFR section 53.216.7(b) and the Certification Agreements for the Educational Stabilization Fund, any cash drawn down should occur after or shortly before the expenditure is paid. For student aid related payments, the funds drawn down should be disbursed within 15 calendar days to students and for the institutional aid portion the funds should be disbursed within 3 calendar days from the drawn down date in the G5 system. Cause: The College drew down all HEERF money made available to them to expend and only began to draw down money as needed during fiscal year 2022. All money withdrawn in previous years were not expended in full before additional draws were made. Effect of the Condition: The College has drawn down monies in excess of expenditures in the amount of $421,437. Recommendation: We recommend that the College review their excess cash and utilize that cash before drawing additional funds from the HEERF funding to ensure that there is not any additional excess cash on hand. In addition, we recommend that the College implements a procedures or additional procedure to ensure that cash draw downs only occur shortly before or after eligible expenses are paid. Repeat Finding: This is not considered a repeat finding. Views of Responsible Officials: Management agrees with the Finding. Management will put a process in place to review and monitor changes in HEERF reporting requirements. As part of this revised process, all data will be subject to final review prior to submission of any HEERF information to ensure accuracy and consistency.