2022 001 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - Yes - 2021-003 Criteria - Returns of Title IV funds are required to be deposited or transferred into the SFA account or electronic fund transfers initiated to the Department of Education (ED) as soon as possible, but no later than 45 days after the date the institution determines that the student withdrew (34 CFR 668.173(b)). Condition - The University did not return Title IV funds to the Department of Education within the required time frame for certain students who required a return of funds, and it did not initially identify all students who required a return of Title IV funds. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 withdrawn students tested for proper return of Title IV funds, the funds for 7 students requiring a return were not returned to ED by the University within the required time frame. The 7 errors identified were for the summer and fall 2021 terms. Additionally, it was noted that 3 students in the summer and fall 2021 terms who required a return of Title IV had not been identified by the University, consisting of a total return of $5,581. The University ran an updated report that covered missing students and properly calculated and provided returns of Title IV aid for these students after identification as part of audit procedures; as such, there are no questioned costs. Cause and Effect - The University had a change in personnel in the financial aid department and did not have a process in place to ensure calculations performed were processed and returned to ED within the required time frame. This led to returns of Title IV funds to ED being completed outside the required time frame, and/or students who required a return of Title IV funds were missed. Recommendation - We recommend that the University institute a process to ensure that all returns of Title IV aid are calculated and returned within the required time frame. Views of Responsible Officials and Corrective Action Plan - Upon notification of Finding No. 2021-003, a new R2T4 process was created for the spring 2022 academic term. This process consists of creating a new report to identify students who withdrew from all courses during each academic term. Once the R2T4 calculation is completed, the aid adjustment is made in the financial aid system and posted to the student's account the same day. The aid amounts are manually adjusted in COD. All audit errors related to Finding No. 2022-001 are from the summer 2021 and fall 2021 academic terms. There were no errors in the audit sample for spring 2022. The new procedure continues to be in place.
2022 002 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - No Criteria - Federal Pell Grant Program: An institution shall submit, in accordance with deadline dates established by the secretary, through publication in the Federal Register, other reports and information the secretary requires and shall comply with the procedures the secretary finds necessary to ensure that the reports are correct (34 CFR Section 690.83(b)(2)). Federal Direct Student Loans: Changes in student status are required to be reported to the National Student Loan Data System (NSLDS) within 30 days of the change or included in a Student Status Confirmation Report (SSCR) sent to the NSLDS within 60 days of the status change (34 CFR Section 685.309(b)). Condition - Shawnee State University did not report student status changes timely and accurately for certain students who graduated or withdrew during the year. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 students tested for student change status, 15 student status changes were not submitted within the required time frame, and 4 students were not properly reported as graduated or withdrawn. Cause and Effect - The University did not have a process in place in order to ensure timely and proper reporting for all student status changes. As a result, there were instances of reporting outside of the required time frame and instances where reporting was incorrect. Recommendation - We recommend that the University put a control process in place in order to ensure all student status changes are reported timely and accurately. Views of Responsible Officials and Planned Corrective Actions - Prior to an enrollment report being uploaded to the National Student Clearinghouse, the Recalculate Academic Record process in our student information system, currently J1, will be run to identify any student registration records that may be stuck in a current status due to a mixed "Repeat" status. Those records will be corrected as needed. The office underwent major staffing changes, which caused a delay in submitting reports in a timelier manner. The staffing issues have been resolved, and reports are uploaded on the scheduled submission date.
2022 001 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - Yes - 2021-003 Criteria - Returns of Title IV funds are required to be deposited or transferred into the SFA account or electronic fund transfers initiated to the Department of Education (ED) as soon as possible, but no later than 45 days after the date the institution determines that the student withdrew (34 CFR 668.173(b)). Condition - The University did not return Title IV funds to the Department of Education within the required time frame for certain students who required a return of funds, and it did not initially identify all students who required a return of Title IV funds. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 withdrawn students tested for proper return of Title IV funds, the funds for 7 students requiring a return were not returned to ED by the University within the required time frame. The 7 errors identified were for the summer and fall 2021 terms. Additionally, it was noted that 3 students in the summer and fall 2021 terms who required a return of Title IV had not been identified by the University, consisting of a total return of $5,581. The University ran an updated report that covered missing students and properly calculated and provided returns of Title IV aid for these students after identification as part of audit procedures; as such, there are no questioned costs. Cause and Effect - The University had a change in personnel in the financial aid department and did not have a process in place to ensure calculations performed were processed and returned to ED within the required time frame. This led to returns of Title IV funds to ED being completed outside the required time frame, and/or students who required a return of Title IV funds were missed. Recommendation - We recommend that the University institute a process to ensure that all returns of Title IV aid are calculated and returned within the required time frame. Views of Responsible Officials and Corrective Action Plan - Upon notification of Finding No. 2021-003, a new R2T4 process was created for the spring 2022 academic term. This process consists of creating a new report to identify students who withdrew from all courses during each academic term. Once the R2T4 calculation is completed, the aid adjustment is made in the financial aid system and posted to the student's account the same day. The aid amounts are manually adjusted in COD. All audit errors related to Finding No. 2022-001 are from the summer 2021 and fall 2021 academic terms. There were no errors in the audit sample for spring 2022. The new procedure continues to be in place.
2022 002 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - No Criteria - Federal Pell Grant Program: An institution shall submit, in accordance with deadline dates established by the secretary, through publication in the Federal Register, other reports and information the secretary requires and shall comply with the procedures the secretary finds necessary to ensure that the reports are correct (34 CFR Section 690.83(b)(2)). Federal Direct Student Loans: Changes in student status are required to be reported to the National Student Loan Data System (NSLDS) within 30 days of the change or included in a Student Status Confirmation Report (SSCR) sent to the NSLDS within 60 days of the status change (34 CFR Section 685.309(b)). Condition - Shawnee State University did not report student status changes timely and accurately for certain students who graduated or withdrew during the year. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 students tested for student change status, 15 student status changes were not submitted within the required time frame, and 4 students were not properly reported as graduated or withdrawn. Cause and Effect - The University did not have a process in place in order to ensure timely and proper reporting for all student status changes. As a result, there were instances of reporting outside of the required time frame and instances where reporting was incorrect. Recommendation - We recommend that the University put a control process in place in order to ensure all student status changes are reported timely and accurately. Views of Responsible Officials and Planned Corrective Actions - Prior to an enrollment report being uploaded to the National Student Clearinghouse, the Recalculate Academic Record process in our student information system, currently J1, will be run to identify any student registration records that may be stuck in a current status due to a mixed "Repeat" status. Those records will be corrected as needed. The office underwent major staffing changes, which caused a delay in submitting reports in a timelier manner. The staffing issues have been resolved, and reports are uploaded on the scheduled submission date.
2022 003 Assistance Listing Number, Federal Agency, and Program Name - ALN No. 84.425F; Department of Education; Higher Education Emergency Relief Fund Institutional Portion Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - No Criteria - Per the grant award and frequently asked questions provided by the Department of Education, the Higher Education Emergency Relief Fund Institutional Portion grant was required to be used for activities to "prevent, prepare for, and respond to the coronavirus." Further, the Higher Education Emergency Relief Fund III frequently asked questions guidance released by the Department of Education provides that institutions may use grant funds "to pay for certain payroll costs, including employee benefits, if (1) such costs are newly associated with coronavirus and (2) the costs were incurred on or after March 13, 2020, the date of the declaration of the national emergency due to the coronavirus." Condition - The University charged unallowable payroll expenditures to the grant, as they were for payroll costs and related employee benefits that were not for costs newly associated with the coronavirus or to prevent, prepare for, or respond to the coronavirus. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 50 expenditures selected for testing of activities allowed or unallowed, 1 expenditure for faculty payroll was noted that was not allowable, as it was not newly associated with the coronavirus. The expenditure was allowable through the summer 2021 term, as the faculty role had been hired to provide for decreased class sizes due to the coronavirus. However, beginning with the fall 2021 term, decreased class sizes were no longer required by the University, but the University continued to charge the faculty member's salary to the grant. Total unallowed costs related to this issue were $40,232. However, after including allowable lost revenue of approximately $4.2 million, total expenditures incurred by the University exceeded the total grant award by approximately $2.7 million. As such, these unallowed costs are not questioned costs, as allowable lost revenue would be able to be claimed by the University to replace the unallowed costs. Cause and Effect - The University did not have a fully operating process in place to ensure that periodic costs charged to the grant continued to be for activities to prevent, prepare for, and respond to the coronavirus. Recommendation - We recommend that the University put a control process in place to ensure that all ongoing payroll costs charged to the grant are for costs associated with the coronavirus. Views of Responsible Officials and Planned Corrective Actions - Shawnee State University has discontinued charging salaries to the HEERF award. Any potential new salaries or payments for services will be reviewed and evaluated by the program director to certify that the expenses are costs newly associated with the coronavirus or to prevent, prepare for, or respond to the coronavirus
2022 001 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - Yes - 2021-003 Criteria - Returns of Title IV funds are required to be deposited or transferred into the SFA account or electronic fund transfers initiated to the Department of Education (ED) as soon as possible, but no later than 45 days after the date the institution determines that the student withdrew (34 CFR 668.173(b)). Condition - The University did not return Title IV funds to the Department of Education within the required time frame for certain students who required a return of funds, and it did not initially identify all students who required a return of Title IV funds. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 withdrawn students tested for proper return of Title IV funds, the funds for 7 students requiring a return were not returned to ED by the University within the required time frame. The 7 errors identified were for the summer and fall 2021 terms. Additionally, it was noted that 3 students in the summer and fall 2021 terms who required a return of Title IV had not been identified by the University, consisting of a total return of $5,581. The University ran an updated report that covered missing students and properly calculated and provided returns of Title IV aid for these students after identification as part of audit procedures; as such, there are no questioned costs. Cause and Effect - The University had a change in personnel in the financial aid department and did not have a process in place to ensure calculations performed were processed and returned to ED within the required time frame. This led to returns of Title IV funds to ED being completed outside the required time frame, and/or students who required a return of Title IV funds were missed. Recommendation - We recommend that the University institute a process to ensure that all returns of Title IV aid are calculated and returned within the required time frame. Views of Responsible Officials and Corrective Action Plan - Upon notification of Finding No. 2021-003, a new R2T4 process was created for the spring 2022 academic term. This process consists of creating a new report to identify students who withdrew from all courses during each academic term. Once the R2T4 calculation is completed, the aid adjustment is made in the financial aid system and posted to the student's account the same day. The aid amounts are manually adjusted in COD. All audit errors related to Finding No. 2022-001 are from the summer 2021 and fall 2021 academic terms. There were no errors in the audit sample for spring 2022. The new procedure continues to be in place.
2022 002 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - No Criteria - Federal Pell Grant Program: An institution shall submit, in accordance with deadline dates established by the secretary, through publication in the Federal Register, other reports and information the secretary requires and shall comply with the procedures the secretary finds necessary to ensure that the reports are correct (34 CFR Section 690.83(b)(2)). Federal Direct Student Loans: Changes in student status are required to be reported to the National Student Loan Data System (NSLDS) within 30 days of the change or included in a Student Status Confirmation Report (SSCR) sent to the NSLDS within 60 days of the status change (34 CFR Section 685.309(b)). Condition - Shawnee State University did not report student status changes timely and accurately for certain students who graduated or withdrew during the year. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 students tested for student change status, 15 student status changes were not submitted within the required time frame, and 4 students were not properly reported as graduated or withdrawn. Cause and Effect - The University did not have a process in place in order to ensure timely and proper reporting for all student status changes. As a result, there were instances of reporting outside of the required time frame and instances where reporting was incorrect. Recommendation - We recommend that the University put a control process in place in order to ensure all student status changes are reported timely and accurately. Views of Responsible Officials and Planned Corrective Actions - Prior to an enrollment report being uploaded to the National Student Clearinghouse, the Recalculate Academic Record process in our student information system, currently J1, will be run to identify any student registration records that may be stuck in a current status due to a mixed "Repeat" status. Those records will be corrected as needed. The office underwent major staffing changes, which caused a delay in submitting reports in a timelier manner. The staffing issues have been resolved, and reports are uploaded on the scheduled submission date.
2022 001 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - Yes - 2021-003 Criteria - Returns of Title IV funds are required to be deposited or transferred into the SFA account or electronic fund transfers initiated to the Department of Education (ED) as soon as possible, but no later than 45 days after the date the institution determines that the student withdrew (34 CFR 668.173(b)). Condition - The University did not return Title IV funds to the Department of Education within the required time frame for certain students who required a return of funds, and it did not initially identify all students who required a return of Title IV funds. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 withdrawn students tested for proper return of Title IV funds, the funds for 7 students requiring a return were not returned to ED by the University within the required time frame. The 7 errors identified were for the summer and fall 2021 terms. Additionally, it was noted that 3 students in the summer and fall 2021 terms who required a return of Title IV had not been identified by the University, consisting of a total return of $5,581. The University ran an updated report that covered missing students and properly calculated and provided returns of Title IV aid for these students after identification as part of audit procedures; as such, there are no questioned costs. Cause and Effect - The University had a change in personnel in the financial aid department and did not have a process in place to ensure calculations performed were processed and returned to ED within the required time frame. This led to returns of Title IV funds to ED being completed outside the required time frame, and/or students who required a return of Title IV funds were missed. Recommendation - We recommend that the University institute a process to ensure that all returns of Title IV aid are calculated and returned within the required time frame. Views of Responsible Officials and Corrective Action Plan - Upon notification of Finding No. 2021-003, a new R2T4 process was created for the spring 2022 academic term. This process consists of creating a new report to identify students who withdrew from all courses during each academic term. Once the R2T4 calculation is completed, the aid adjustment is made in the financial aid system and posted to the student's account the same day. The aid amounts are manually adjusted in COD. All audit errors related to Finding No. 2022-001 are from the summer 2021 and fall 2021 academic terms. There were no errors in the audit sample for spring 2022. The new procedure continues to be in place.
2022 002 Assistance Listing Number, Federal Agency, and Program Name - ALN Nos. 84.063 and 84.268; Department of Education; Federal Pell Grant Program and Federal Direct Loan Program Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - No Criteria - Federal Pell Grant Program: An institution shall submit, in accordance with deadline dates established by the secretary, through publication in the Federal Register, other reports and information the secretary requires and shall comply with the procedures the secretary finds necessary to ensure that the reports are correct (34 CFR Section 690.83(b)(2)). Federal Direct Student Loans: Changes in student status are required to be reported to the National Student Loan Data System (NSLDS) within 30 days of the change or included in a Student Status Confirmation Report (SSCR) sent to the NSLDS within 60 days of the status change (34 CFR Section 685.309(b)). Condition - Shawnee State University did not report student status changes timely and accurately for certain students who graduated or withdrew during the year. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 25 students tested for student change status, 15 student status changes were not submitted within the required time frame, and 4 students were not properly reported as graduated or withdrawn. Cause and Effect - The University did not have a process in place in order to ensure timely and proper reporting for all student status changes. As a result, there were instances of reporting outside of the required time frame and instances where reporting was incorrect. Recommendation - We recommend that the University put a control process in place in order to ensure all student status changes are reported timely and accurately. Views of Responsible Officials and Planned Corrective Actions - Prior to an enrollment report being uploaded to the National Student Clearinghouse, the Recalculate Academic Record process in our student information system, currently J1, will be run to identify any student registration records that may be stuck in a current status due to a mixed "Repeat" status. Those records will be corrected as needed. The office underwent major staffing changes, which caused a delay in submitting reports in a timelier manner. The staffing issues have been resolved, and reports are uploaded on the scheduled submission date.
2022 003 Assistance Listing Number, Federal Agency, and Program Name - ALN No. 84.425F; Department of Education; Higher Education Emergency Relief Fund Institutional Portion Federal Award Identification Number and Year - N/A Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - No Criteria - Per the grant award and frequently asked questions provided by the Department of Education, the Higher Education Emergency Relief Fund Institutional Portion grant was required to be used for activities to "prevent, prepare for, and respond to the coronavirus." Further, the Higher Education Emergency Relief Fund III frequently asked questions guidance released by the Department of Education provides that institutions may use grant funds "to pay for certain payroll costs, including employee benefits, if (1) such costs are newly associated with coronavirus and (2) the costs were incurred on or after March 13, 2020, the date of the declaration of the national emergency due to the coronavirus." Condition - The University charged unallowable payroll expenditures to the grant, as they were for payroll costs and related employee benefits that were not for costs newly associated with the coronavirus or to prevent, prepare for, or respond to the coronavirus. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - Of the 50 expenditures selected for testing of activities allowed or unallowed, 1 expenditure for faculty payroll was noted that was not allowable, as it was not newly associated with the coronavirus. The expenditure was allowable through the summer 2021 term, as the faculty role had been hired to provide for decreased class sizes due to the coronavirus. However, beginning with the fall 2021 term, decreased class sizes were no longer required by the University, but the University continued to charge the faculty member's salary to the grant. Total unallowed costs related to this issue were $40,232. However, after including allowable lost revenue of approximately $4.2 million, total expenditures incurred by the University exceeded the total grant award by approximately $2.7 million. As such, these unallowed costs are not questioned costs, as allowable lost revenue would be able to be claimed by the University to replace the unallowed costs. Cause and Effect - The University did not have a fully operating process in place to ensure that periodic costs charged to the grant continued to be for activities to prevent, prepare for, and respond to the coronavirus. Recommendation - We recommend that the University put a control process in place to ensure that all ongoing payroll costs charged to the grant are for costs associated with the coronavirus. Views of Responsible Officials and Planned Corrective Actions - Shawnee State University has discontinued charging salaries to the HEERF award. Any potential new salaries or payments for services will be reviewed and evaluated by the program director to certify that the expenses are costs newly associated with the coronavirus or to prevent, prepare for, or respond to the coronavirus