Audit 56907

FY End
2022-06-30
Total Expended
$8.62M
Findings
30
Programs
5
Organization: Arizona Christian University (AZ)
Year: 2022 Accepted: 2023-03-12

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
61747 2022-001 Significant Deficiency Yes N
61748 2022-002 Significant Deficiency - E
61749 2022-003 Significant Deficiency - C
61750 2022-001 Significant Deficiency Yes N
61751 2022-002 Significant Deficiency - E
61752 2022-003 Significant Deficiency - C
61753 2022-001 Significant Deficiency Yes N
61754 2022-002 Significant Deficiency - E
61755 2022-003 Significant Deficiency - C
61756 2022-001 Significant Deficiency Yes N
61757 2022-002 Significant Deficiency - E
61758 2022-003 Significant Deficiency - C
61759 2022-001 Significant Deficiency Yes N
61760 2022-002 Significant Deficiency - E
61761 2022-003 Significant Deficiency - C
638189 2022-001 Significant Deficiency Yes N
638190 2022-002 Significant Deficiency - E
638191 2022-003 Significant Deficiency - C
638192 2022-001 Significant Deficiency Yes N
638193 2022-002 Significant Deficiency - E
638194 2022-003 Significant Deficiency - C
638195 2022-001 Significant Deficiency Yes N
638196 2022-002 Significant Deficiency - E
638197 2022-003 Significant Deficiency - C
638198 2022-001 Significant Deficiency Yes N
638199 2022-002 Significant Deficiency - E
638200 2022-003 Significant Deficiency - C
638201 2022-001 Significant Deficiency Yes N
638202 2022-002 Significant Deficiency - E
638203 2022-003 Significant Deficiency - C

Programs

ALN Program Spent Major Findings
84.268 Federal Direct Student Loan Program $6.56M Yes 3
84.063 Federal Pell Grants $1.87M Yes 3
84.007 Federal Supplemental Educational Opportunity Grant Program $85,329 Yes 3
84.033 Federal Work-Study Program $53,982 Yes 3
84.379 Teach Grants $50,442 Yes 3

Contacts

Name Title Type
ZWNFD7D4KFD9 James Tito Auditee
6024895300 Don Loberg 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 represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Arizona Christina University has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. 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 (the Schedule) includes the federal award activity of Arizona Christian 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 2 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 Arizona Christian University, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Arizona Christian University.The University did not provide any federal funds to subrecipients nor did they receive any federal noncash assistance, insurance, loans, or guarantees.

Finding Details

2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-001 National Student Loan Data System (NSLDS) Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to the National Student Loan Data System (NSLDS) through an enrollment roster file. The University is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the University or its third-party servicer. Condition: During our testing, we noted for 1 out of the 40 students tested, the program enrollment effective date did not match the University?s records. For 1 out of the 40 students tested, the enrollment effective date and program enrollment effective date did not match the University?s records. We also noted 3 out of the 40 students tested, the enrollment effective date did not match the enrollment effective date per the University?s records. Furthermore, we noted 3 out of the 40 students tested where the student as not reported in a timely manner. These issues impacted 8 out of the 40 students tested. Questioned costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University did not have a process in place to ensure the effective dates reported matched the University?s records as well as that these changes were reported timely. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By not reporting an incorrect effective date, the grace period begin date for the student will be incorrect. In addition, the University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes, 2021-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the enrollment effective date reported to NSLDS on the campus and program level is aligning with the University. Views of Responsible Officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 690.62, states the amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. In addition, the Code of Federal Regulations, 34 CFR 686.11, states to be eligible for a TEACH grant, a student beyond the first year of an undergraduate program must have a cumulative GPA of at least 3.25. Lastly, the Code of Federal Regulations, 34 CFR 682.604 states a school must ensure that exit counseling is conducted with each direct loan borrower within 30 days after learning the student borrower has withdrawn from school. Condition: During our testing, we noted for 1 out of 40 students tested, they were over awarded and over disbursed Pell grant funds. In addition, for 1 out of 40 students tested, we noted they were not meeting the minimum GPA requirements to be eligible for a TEACH grant. Furthermore, 2 out of 40 students did not receive their exit counseling timely. Questioned Costs: $6,000 Context: During our testing, it was noted an erroneous computation of the student?s eligibility resulted in a Pell grant over award. It was noted all the eligibility requirements were not reviewed for TEACH grants. Lastly, exit counseling was not done timely. Cause: The University did not have procedures in place to detect these eligibility issues. Effect: The University is not in compliance with Department of Education requirements. Repeat Finding: No Recommendation: We recommend the University review their procedures surrounding eligibility and exit counseling to ensure all students are receiving federal aid they are eligible for as well as being sent exit counseling timely upon leaving the University. Views of Responsible Officials: There is no disagreement with the audit finding
2022-003 Cash Management Disbursement (G5 Drawdown) Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ALN Numbers: Various Award Period: July 1, 2021 through June 30, 2022 Type of Finding: ?Significant Deficiency in Internal Control Over Compliance ?Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 668.166 requires institutions to disburse FSA funds as soon as administratively feasible but no later than three business days following the date the institution received those funds. Condition: The University drew excess financial funds during the Fall 2021 and did not return the excess cash within the three-day requirement. Questioned Costs: $351,837 Context: During our testing, we noted the University overdrew financial aid funds from the Department of Education in the amount of $351,837 which was not returned within three days to the Department of Education. The Department of Education had contacted the University on multiple occasion until the funds were returned in December 2021. Cause: The University did not have administrative capability to be able to account for all federal student financial aid dollars expended. Effect: The University is not complying with federal requirements regarding excess cash. This resulted in questioned costs that include return of funds on excess funds drawn down. Repeat Finding: No Recommendation: The University should implement a procedure to ensure federal aid drawn down are accounted for timely and returned within 3 days. Views of Responsible Officials: There is no disagreement with the audit finding.