Corrective Action Plans

Finding 512297 (2024-001)

Material Weakness 2024

UT

Special Tests & Provisions Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Corrective Action Report Summary FINDING 2024‐001 Criteria: For each fiscal year, the amount of expenditures for special education and related services provided to federally connected children with disabilities must be at least equal to the amount of funds received or credited under Section 7003(d) ...

Corrective Action Report Summary FINDING 2024‐001 Criteria: For each fiscal year, the amount of expenditures for special education and related services provided to federally connected children with disabilities must be at least equal to the amount of funds received or credited under Section 7003(d) of the ESEA for that fiscal year. This is demonstrated by comparing the amount of Section 7003(d) funds received or credited with the result of the following calculation: a. Divide total LEA expenditures for special education and related services for all children with disabilities by the average daily attendance (ADA) of all children with disabilities served during the year. b. Multiply the amount determined in paragraph a, above by the ADA of the federally connected children with disabilities claimed by the LEA for the year. If the amount of Section 7003(d) funds received or credited is greater than the amount calculated above, an overpayment equal to the excess Section 7003(d) funds exits. This overpayment may be reduced or eliminated to the extent that the LEA can demonstrate that the average per pupil expenditure for special education and related services provided to federally connected children with disabilities exceeded its average per pupil expenditure for serving non-federally connected children with disabilities (Section 7003(d) of ESEA (20 USC 7703(d)); 34 CFR section 222.53(d)). Audit Recommendation: We recommend management of the District review processes related to required level of expenditures for Impact Aid and establish appropriate internal controls to ensure all requirements are met. Auditee Response: The entire current year allocation was expended, however not all the accumulated unearned was spent. In FY 25 management budgeted to expend the entire balance of unearned as well as the actual currently year amounts received. We further will be using a calculation to check if we are in excess, per Section 7003(d), which would require a repayment. Corrective Action Plan: Managements plan is to fully expend Impact Aide funds each fiscal year, prior to using other funding sources for Special Education. Person Responsible: Kim Barnhurst, Chief Financial Officer Timeline: Managements plan is to be in full compliance by end of FY 25.

View Audit 330068

Finding 512235 (2024-002)

Significant Deficiency 2024

Anderson University and Subsidiaries

IN

Student Financial Aid Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Recommendation: We recommend the Office of Financial Aid utilize their financial aid processing software to implement disbursement notifications which include all information required by (34 CFR Section 668.165(a)(2) to be sent electronically to students once disbursements are posted. Explanation of...

Recommendation: We recommend the Office of Financial Aid utilize their financial aid processing software to implement disbursement notifications which include all information required by (34 CFR Section 668.165(a)(2) to be sent electronically to students once disbursements are posted. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Corrective Action Planned: The Office of Financial Aid and Scholarships drafted a letter using best practices laid out by NAFSAA which includes all information required by 34 CFR Section 668.165. The System Specialist, who is responsible for disbursing aid, has created documentation that has been added to the disbursement process. Once a disbursement is complete, the System Specialist will run the process in PowerFAIDS that will send the Loan Disbursement Notification via email to students who have received loans. This includes students who have received Federal Direct Subsidized, Unsubsidized, Parent PLUS, Grad PLUS, and private loans. This process is updated and is now in place. Name of Contact Responsible for Corrective Action: David J. Sarah, Director of Financial Aid, 765.641.4110 Anticipated Completion Date: August 2024

View Audit 330010

Finding 512233 (2024-001)

Material Weakness 2024

Anderson University and Subsidiaries

IN

Questioned Costs Student Financial Aid Special Tests & Provisions

Recommendation: We recommend an individual in financial aid with the appropriate level of experience periodically review R2T4 calculations and returns to help ensure that internal controls over such a process can operate effectively and achieve compliance. We also recommend the University implement ...

Recommendation: We recommend an individual in financial aid with the appropriate level of experience periodically review R2T4 calculations and returns to help ensure that internal controls over such a process can operate effectively and achieve compliance. We also recommend the University implement controls to track and remind when returns need to be returned once the withdrawal determination has been made. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Corrective Action Planned: ● Moving forward, for each year, when the academic calendar is released prior to the beginning of the fall semester, The Office of Financial Aid and Scholarships will immediately determine the dates and number of days used for the R2T4 calculations. ● The Senior Financial Aid Counselor within the Office of Financial Aid and Scholarships, who is responsible for preparing the R2T4 calculations, has enrolled for R2T4 training from NASFAA, which takes place starting on September 3, 2024. The Senior Financial Aid Counselor will also complete a PowerFAIDS training on the R2T4 process within the system. ● The Systems Specialist within the Office of Financial Aid and Scholarships will also be trained on the R2T4 process to provide quality control for the senior financial aid counselor and to ensure we are cross-trained within the Office of Financial Aid. With two individuals working to keep each other accountable, we will be able to avoid similar issues in the future. The Systems Specialist will also complete the NASFAA and PowerFAIDS training. ● All R2T4s will be tracked on a shared file starting in the Fall 2024. The Senior Financial Aid Counselor, Systems Specialist, and Director of Financial Aid will have access to the file for review and quality control. ● The Systems Specialist and Director of Financial Aid will be added to the student withdrawal form workflow through Etrieve. This team of three will all receive a notification when a student withdrawal needs to be processed. ● The Director of Financial Aid will check at least weekly on the shared R2T4 file and will monitor the dates and timelines to ensure calculations are completed within the timeframe allowed. Name of Contact Responsible for Corrective Action: David J. Sarah, Director of Financial Aid, 765.641.4110 Anticipated Completion Date: September 2024

View Audit 330010 Questioned Costs: $1

Finding 512229 (2024-001)

Material Weakness 2024

Goodwill Industries of Upstate/midlands South Carolina, Inc.

SC

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Contact Person: Andretta Robinson Management’s Response: The Organization staff will conduct review dates to ensure the In-Kind tracker is accurately updated with current wage information and that all supporting documentation for those wages have been submitted. Monitoring staff will randomly select...

Contact Person: Andretta Robinson Management’s Response: The Organization staff will conduct review dates to ensure the In-Kind tracker is accurately updated with current wage information and that all supporting documentation for those wages have been submitted. Monitoring staff will randomly select at least 20 entries for auditing, cross-referencing them with the documentation to verify accuracy. Completion Date: 6/28/2025

View Audit 329994

Finding 512219 (2024-004)

None 2024

Texas Wesleyan University

TX

Questioned Costs Student Financial Aid Eligibility

Finding: 2024-004 Satisfactory Academic Progress Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: July 31, 2024 The audit noted one student was awarded financial aid despite not meeting Satisfactory Academic Progress (SAP) standards. The issue stemmed from a ...

Finding: 2024-004 Satisfactory Academic Progress Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: July 31, 2024 The audit noted one student was awarded financial aid despite not meeting Satisfactory Academic Progress (SAP) standards. The issue stemmed from a lapse in the SAP review process at the end of the Fall 2023 term, which was primarily attributed to staff turnover and insufficient training for remaining personnel. When the student did not enroll for the Spring term but later registered for the Summer 2024 session, there were no safeguards in place to prevent the system from awarding financial aid. This oversight highlighted a gap in the current process, emphasizing the need for a more robust mechanism to flag students who are not in compliance with SAP prior to awarding financial aid. In the new organizational structure, the Financial Aid Business Analyst is responsible for executing the SAP process. This individual has approximately 10 years of experience working with SAP processes. During the 2023-2024 academic year the University worked diligently to respond to a Federal Program Review from the U.S. Department of Education, (ED). As a result of the corrective actions being undertaken by the University new procedures in many areas were being drafted and implemented. A new Director of Financial Aid, with over 30 years of experience in financial aid, was hired to improve the overall student service and compliance with the Federal Title IV program. The new director commenced his duties on February 1, 2024. Since that time the University has reorganized the financial aid office by creating an Assistant Director and Financial Aid Business Analyst position who have increased the expertise and overall years of financial aid experience. A leadership team including the Director of Financial Aid, Registrar, Director of Student Accounts, Associate Provost, Provost and Vice President for Finance and Administration was created in January 2024 and meet bi-weekly to discuss Title IV compliance topics, process improvement and customer service. Most of the Financial Aid team’s time in the spring and summer was spent working on the new FAFSA. The team has redirected their efforts in training, standardizing, documenting and improving processes to ensure Title IV compliance and better serve students.

View Audit 329972 Questioned Costs: $1

Finding 512214 (2024-003)

None 2024

Texas Wesleyan University

TX

Student Financial Aid Special Tests & Provisions Matching / Level of Effort / Earmarking

Finding: 2024-003 Verification Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: October 17, 2024 The auditors identified two issues related to verification of financial aid data supplied on the FAFSA by students. Both findings were from the fall of 2023 and i...

Finding: 2024-003 Verification Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: October 17, 2024 The auditors identified two issues related to verification of financial aid data supplied on the FAFSA by students. Both findings were from the fall of 2023 and in both cases a secondary review was completed and still was not accurately completed. The Office of Financial Aid developed and implemented a comprehensive Business Process Guide (BPG) on October 17, 2024. The guide is aimed at ensuring that all required fields within the verification process are meticulously reviewed and corrected as needed. This guide serves as a crucial resource for staff involved in the financial aid verification process, outlining best practices and standard procedures to maintain compliance and accuracy. The verification correction process follows a two-step approach: 1. Initial Review and Correction: Staff members are required to conduct a thorough review of the required data fields. This involves checking the required ISIR data fields against other supplemental information to identify any discrepancies or inaccuracies. Once identified, corrections are made to ensure that all data aligns with federal and institutional requirements. 2. Final Confirmation and Awarding: After the necessary corrections are implemented, a secondary review is conducted by the Assistant Director to confirm that the adjustments are accurate. This ensures that students receive the correct financial aid awards based on updated and verified information. To maintain transparency, accountability, and an adequate documentation trail. It is imperative that any comments added to student accounts are detailed and include pertinent information regarding the verification process. This documentation serves as a record of the actions taken and aids in future audits and reviews. The Assistant Director of Financial Aid is a very experienced financial aid professional and holds NASFAA certifications in Verification, R2T4, Student Eligibility, Direct Loans and Professional Judgement. The Assistant Director plays a pivotal role in the verification process, being responsible for updating the BPG to reflect any changes in regulations or best practices. Additionally, the Assistant Director will lead training sessions for staff members to ensure they are well-versed in the verification procedures outlined in the BPG. Ongoing training will be provided as needed to accommodate changes in policies or technologies. By implementing this structured approach to verification corrections, the University aims to enhance the accuracy of financial aid processing and improve the overall student experience.

View Audit 329972

Finding 512212 (2024-002)

Significant Deficiency 2024

Texas Wesleyan University

TX

Student Financial Aid Reporting Special Tests & Provisions

Finding: 2024-002 Enrollment Reporting Responsible Party: Dr. Karen Jarrell, Director of Office of Student Records and Registrar Completion Date: December 30, 2024 The Deputy Registrar from the Office of Student Records (OSR) is responsible for enrollment reporting to the National Student Loan Data ...

Finding: 2024-002 Enrollment Reporting Responsible Party: Dr. Karen Jarrell, Director of Office of Student Records and Registrar Completion Date: December 30, 2024 The Deputy Registrar from the Office of Student Records (OSR) is responsible for enrollment reporting to the National Student Loan Data System (NSLDS). The university uses a servicer, National Student Clearinghouse (NSC) to complete the reporting requirement. Enrollment data is scheduled to be transmitted to the NSC every thirty days to ensure timely reporting to the National Student Loan Data System (NSLDS). The University has consistently met this 30-day reporting to NSC. The audit noted four students had incorrect program start dates in NSLDS from April 2022 and August 2022, each off by one day. The University’s Student Information System (SIS) reflects the correct program start dates, indicating a potential issue in the data transmission between NSC and NSLDS. In July 2022, several announcements were made concerning the technical issues with NSLDS which prevented reporting for periods of time, including “NSLDS Professional Access – Documentation of Enrollment Reporting and Post-screening Delays for Audit Purposes” published on August 31, 2022. The audit noted three errors related to timely reporting. The university’s SIS records indicate these records were reported to NSC within the 30-day timeframe. However, these records were not transmitted from NSC to NSLDS timely. The Deputy Registrar is currently collaborating with the NSC Compliance division to determine the cause of these discrepancies and how best to correct the records in NSLDS. A response from NSC is anticipated by October 31, 2024. The audit also noted three students who were less than full-time that were not reported to NSC or NSLDS. The Deputy Registrar is researching the SIS system rules to determine the root cause of these errors so they can be corrected. The Deputy Registrar will ensure the reporting rules will be corrected by November 30, 2024, and will ensure any less than full time students are corrected in NSLDS by December 30, 2024. To enhance the enrollment reporting process, the Deputy Registrar, Registrar, and Director of Financial Aid will meet with NSC staff and IT staff to establish a method for comparing monthly data submitted to NSC with the data in the NSLDS system. This will help identify any discrepancies for immediate correction. This project is expected to be completed by December 30, 2024.

View Audit 329972

Finding 512207 (2024-001)

Significant Deficiency 2024

Texas Wesleyan University

TX

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

Finding: 2024-001 R2T4 Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: November 30, 2024 With the new Financial Aid leadership, the university has already implemented many new strategies to strengthen the Return of Title IV Funds (R2T4) process. The Universi...

Finding: 2024-001 R2T4 Responsible Party: Douglas Cleary, Director of Financial Aid Anticipated Completion Date: November 30, 2024 With the new Financial Aid leadership, the university has already implemented many new strategies to strengthen the Return of Title IV Funds (R2T4) process. The University created a new position, Financial Aid Business Analyst, whose primary responsibility is to maintain financial aid systems, maintain process documentation and provide staff system training and to oversee the R2T4 process. The Financial Aid Business Analyst has two years of previous experience being responsible for R2T4 calculations, completed the National Association of Student Financial Aid Administrators (NASFAA) R2T4 five-week certification program on October 14, 2024, and is in the process of training a Financial Advisor in performing R2T4 calculations. Other areas that have been identified will improve the R2T4 process are as follows: 1. Earlier Availability of the Academic Calendar: The Financial Aid Office leadership (Director, Assistant Director, Financial Aid Business Analyst) will work with the Office of Student Records (Registrar and Deputy Registrar) to ensure that there is an accurate R2T4/academic calendar. Both offices will work to develop such calendars with a clear description of the dates the University is closed for students, and that calendars can be developed years in advance. This will facilitate accurate determination of begin/end dates, break days and the total number of class days within any term. This will also encourage greater levels of transparency and oversight by both offices. The R2T4/academic calendar will also be shared with the Student Accounts Office, adding additional transparency and understanding. Timeline: The calendar for the Spring semester 2025 and the 2025-2026 academic calendar has already been developed and approved. The 2026-2027 academic calendar has been submitted to faculty for their input and will be completed by November 30, 2024. 2. Daily Percentage Calculator: The Financial Aid Business Analyst developed a daily percentage calculator that, implemented for Fall 2024, when combined with the academic calendar, will enable the accurate input of all term dates to generate precise daily percentage calculations for R2T4 purposes. This is also being expanded to create sub-term daily percentage calculations to eliminate the need for manual completion with each module-type calculation. 3. Post-Withdrawal Disbursements: The Financial Aid Business Analyst worked with Information Technology to ensure required communications related to R2T4 including post withdrawals (PWD) are now an automated process after completion of the calculations. This automation was implemented in August 2024. The PWD findings in this audit were the work by previous leadership within the Financial Aid Office. 4. Collaboration with IT for Updated Reporting: Financial Aid Office leadership (Financial Aid Business Analyst, Director) are collaborating with the IT to develop updated reports that will help accurately identify students who have unofficially withdrawn and require review during the R2T4 process. This initiative aims to create a preventive control that identifies errors and ensure timely calculations. The timeline for completion of the updated report is November 30, 2024. 5. Strengthening Internal Controls: The Director of Financial Aid has identified a Financial Aid Advisor who is currently being trained on R2T4 process, and who will eventually assume the primary responsibility for R2T4 calculations. The Financial Aid Business Analyst will provide secondary reviews to ensure accuracy and consistency. Note: The two PWDs from the Fall 2023 semester highlight a significant oversight by previous financial aid leadership. The inadvertent miscalculation of break days stemmed from confusion about the academic calendar. It appeared to suggest that students were required to attend classes on the weekend proceeding Thanksgiving week, while in reality, classes concluded the prior Friday. As a result, the Fall break should have been calculated as 9 days instead of 7.

View Audit 329972

Finding 512193 (2024-002)

Significant Deficiency 2024

L'anse Area Schools

MI

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking

Wage rate requirements were discussed during the bidding process. However, the School District and engineers were not aware the specific language needed to be included in the bid and contract. The School District used a contractor that did pay at and above the required wage rates; however, certified...

Wage rate requirements were discussed during the bidding process. However, the School District and engineers were not aware the specific language needed to be included in the bid and contract. The School District used a contractor that did pay at and above the required wage rates; however, certified payrolls were not required to be provided and the subcontractor agreement was not required to have prevailing wage language. The School District is aware of the written requirement for future projects.

View Audit 329944

Finding 512135 (2024-006)

Significant Deficiency 2024

Connors State College

OK

Matching / Level of Effort / Earmarking Student Financial Aid Cash Management § 200.303

Student Financial Assistance Cluster- Assistance Listing No. 84.268 Finding: The College did not have documentation that Direct Loan Reconciliation was performed. Context: During our testing we identified the March 2024 Direct Loan Reconciliation was not timely performed and documented. Cause: Due t...

Student Financial Assistance Cluster- Assistance Listing No. 84.268 Finding: The College did not have documentation that Direct Loan Reconciliation was performed. Context: During our testing we identified the March 2024 Direct Loan Reconciliation was not timely performed and documented. Cause: Due to staff turnover, direct loan reconciliation for March 2024 was not performed timely. Recommendation: We recommend the College implement a formal review procedure to document that the direct loan reconciliations are performed on a timely basis each month. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: A formal review process was already in place. The issue came from the turnover in the FA department leading to a loss of access. This will be remediated moving forward with more than one FA staff having reporting access and knowledge of reconciliations. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 11/01/2024

View Audit 329878

Finding 512130 (2024-005)

Significant Deficiency 2024

Connors State College

OK

Questioned Costs Student Financial Aid Matching / Level of Effort / Earmarking § 200.303

Student Financial Assistance Cluster- Assistance Listing No. 84.063, Finding: The College under-awarded funds for the Pell Grant. Context: During our testing, we identified 2 out of 40 students were awarded and disbursed less Pell funds than should have been awarded based on the 23-24 Pell payment s...

Student Financial Assistance Cluster- Assistance Listing No. 84.063, Finding: The College under-awarded funds for the Pell Grant. Context: During our testing, we identified 2 out of 40 students were awarded and disbursed less Pell funds than should have been awarded based on the 23-24 Pell payment schedule. The Pell payment schedule considers the cost of attendance, the student's Expected Family Contribution and the enrollment status of the student. Cause: Student was initially not disbursed Pell funds due to electronic terms & conditions not being completed. However, when the student completed this requirement in the Spring, Pell was not disbursed for the Fall semester Recommendation: We recommend the College review its current procedures for awarding Title IV funds and implement any changes necessary to ensure federal funds are awarded and disbursed in accordance with federal regulations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: This is due to a loss of knowledge due to turnover within the FA department. Moving forward, knowledge procedures and knowledge will be disseminated to all FA staff to ensure there are no gaps causing a reoccurring issue. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 11/01/2024

View Audit 329878 Questioned Costs: $1

Finding 512121 (2024-004)

Significant Deficiency 2024

Connors State College

OK

Matching / Level of Effort / Earmarking Student Financial Aid Eligibility § 200.303

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.038, 84.063, 84.268 Finding: The College did not properly have documentation of exit counseling notification. Context: During our testing of 40 students, we identified 5 students that did not have documentation of exit counselin...

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.038, 84.063, 84.268 Finding: The College did not properly have documentation of exit counseling notification. Context: During our testing of 40 students, we identified 5 students that did not have documentation of exit counseling notification. Cause: The College did not have proper procedures in place to ensure that notification of required exit counseling was sent to applicable students. Recommendation: We recommend the College review reporting processes to ensure all students that require exit counseling receive it in a timely manner Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: This is due to a loss of knowledge due to turnover within the FA department. Moving forward, knowledge about loan exit counseling will be disseminated to all FA staff to ensure there are no gaps causing a reoccurring issue. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 12/15/2024

View Audit 329878

Finding 512120 (2024-003)

Significant Deficiency 2024

Connors State College

OK

Matching / Level of Effort / Earmarking Student Financial Aid Significant Deficiency § 200.303

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.038, 84.063, 84.268 Finding: The College did not properly notify students when loans were credited to student's ledger account. Context: During our testing of 40 students, we identified that there were 5 students that did not re...

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.038, 84.063, 84.268 Finding: The College did not properly notify students when loans were credited to student's ledger account. Context: During our testing of 40 students, we identified that there were 5 students that did not receive the required notification of Direct Loan disbursements Cause: Due to staff turnover, loan notifications were missed being sent out to students. Recommendation: We recommend the College evaluate its procedures around disbursements of loans and ensure that notifications of disbursements are sent and contain all the required elements outlined in the FSA handbook. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: This is due to a loss of knowledge due to turnover within the FA department. Moving forward, knowledge about loan notifications will be disseminated to all FA staff to ensure there are no gaps causing a reoccurring issue. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 12/15/2024

View Audit 329878

Finding 512119 (2024-002)

Significant Deficiency 2024

Connors State College

OK

Student Financial Aid Matching / Level of Effort / Earmarking Reporting § 200.303

Student Financial Assistance Cluster-Assistance Listing No. 84.007, 84.038, 84.063, 84.268 ...

Student Financial Assistance Cluster-Assistance Listing No. 84.007, 84.038, 84.063, 84.268 Finding: The College did not properly report student enrollment changes for students who received federal student aid to the National Student Loan Data System (NSLDS). Context: During our testing of 40 students, we identified 3 students that did not have their Program enrollment reported to NSLDS and 3 students that had Program enrollment effective dates that did not match institutional records. Cause: The College didn't have proper procedures in place to verify students' status in NSLDS matched the institution's records accurately. Recommendation: We recommend the College review current processes for reporting to NSLDS and implement procedures to ensure submissions are reported accurately. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: CSC will put in place procedures that will ensure that submissions are reported accurately. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 01/01/2025

View Audit 329878

Finding 512118 (2024-001)

Significant Deficiency 2024

Connors State College

OK

Questioned Costs Student Financial Aid Significant Deficiency § 200.303

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Finding: The College used the incorrect withdrawal date when calculating Return to Title IV (R2T4) calculations and did not have formal procedures in place to document review of calculations. Context: During ...

Student Financial Assistance Cluster- Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Finding: The College used the incorrect withdrawal date when calculating Return to Title IV (R2T4) calculations and did not have formal procedures in place to document review of calculations. Context: During our testing, we identified 2 out of 15 R2T4 calculations used an incorrect withdrawal date in their calculation. Also, during our testing, we identified 13 instances of no documentation of a formal review of R2T4 calculations. Cause: The College was using the date a withdrawal form was processed, rather than the date the withdrawal process began. Recommendation: We recommend that the College review policies and procedures related to R2T4 calculations to ensure calculations are performed accurately. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Staff will review policies and procedures and make adjustments as needed to ensure that the calculations are accurate. Name(s) of the contact person(s) responsible for corrective action: Tina Ballinger Planned completion date for corrective action plan: 11/01/2024

View Audit 329878 Questioned Costs: $1

Finding 512114 (2024-003)

Material Weakness 2024

Lutheran Social Services of South Dakota

SD

Questioned Costs Eligibility Material Weakness § 200.303

Federal Agency Name: Department of Health and Human Services Assistance Listing Number: 93.566 Program Name: Refugee and Entrant Assistance - State Administered Programs Eligibility Finding Summary: a. One instance in which a family was overpaid for one month due to the family obtaining employment...

Federal Agency Name: Department of Health and Human Services Assistance Listing Number: 93.566 Program Name: Refugee and Entrant Assistance - State Administered Programs Eligibility Finding Summary: a. One instance in which a family was overpaid for one month due to the family obtaining employment. b. One instance in which a family was underpaid for one month based upon their family size and eligibility for the month. Additionally, documentation was not retained to support one month's redetermination of eligibility and check copies for two months were not retained to support the payment to the family. c. Three instances in which a family was underpaid based upon their family size and eligibility for the month. d. One instance in which a check was written to a family who out-migrated from the state of South Dakota and the family did not cash the check; however, the expenses remained to be charged under the Refugee Cash Assistance program. Responsible Individuals: Nathan Beyer, Staci Jonson, Dana Boraas Corrective Action Plan: a. The procedures will be reviewed with staff, and an additional review put in place where necessary, to ensure staff are fully trained on how to calculate the proration when a client obtains employment during the month. b. The procedures will be reviewed with staff, and an additional review put in place where necessary, to ensure staff are fully trained on how to calculate family size and eligibility. Additionally, document retention requirements will be reviewed with staff. c. The procedures will be reviewed with staff, and an additional review put in place where necessary, to ensure staff are fully trained on how to calculate family size and eligibility. d. The procedures will be reviewed with staff for removing a client from the program, and notifying appropriate staff to void checks. LSS also implemented a new software program during the fiscal year to make the review process more efficient, and less reliant on manual processes. Checks and balances will be integrated into the software, allowing for electronic review of files. The software will also automate some of the ongoing documentation requirements. Anticipated Completion Date: December 31, 2024

View Audit 329857 Questioned Costs: $1

Finding 512081 (2024-005)

Significant Deficiency 2024

Eastern Oregon University

OR

Matching / Level of Effort / Earmarking Student Financial Aid

Student Financial Assistance Cluster – Assistance Listing No. 84.268 Recommendation: We recommend the University implement procedures to ensure exit counseling notifications are sent to students who graduated or withdrew. Explanation of disagreement with audit finding: There is no disagreement with ...

Student Financial Assistance Cluster – Assistance Listing No. 84.268 Recommendation: We recommend the University implement procedures to ensure exit counseling notifications are sent to students who graduated or withdrew. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Financial Aid Office will work with our IS department to rebuild the exit counseling notifications so they are more accurate and notify the correct student population. Name(s) of the contact person(s) responsible for corrective action: Jason Hibbert Planned completion date for corrective action plan: March 21, 2025

View Audit 329796

Finding 512076 (2024-004)

Significant Deficiency 2024

Eastern Oregon University

OR

Matching / Level of Effort / Earmarking Student Financial Aid Reporting § 200.303

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend the University evaluate its procedures and policies around reporting disbursements to COD to ensure that student information is reported accurately and timely, and to sto...

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend the University evaluate its procedures and policies around reporting disbursements to COD to ensure that student information is reported accurately and timely, and to store evidence of the key control having occurred. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Financial Aid Office will work with our IS department to rebuild the original PELL unreported disbursements. Any unreported disbursements greater than 7 days will be reported to the financial aid director, information systems, and the vice president for finance and administration via email from Fast. This will allow for a review and timely reporting. Name(s) of the contact person(s) responsible for corrective action: Jason Hibbert Planned completion date for corrective action plan: January 6, 2025.

View Audit 329796

Finding 512071 (2024-003)

Significant Deficiency 2024

Eastern Oregon University

OR

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend the University enhance procedures for reviewing professional judgement to ensure documentation of review is stored. Explanation of disagreement with audit finding: There ...

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend the University enhance procedures for reviewing professional judgement to ensure documentation of review is stored. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Financial Aid office (FAO) plans to do more expansive training for the Financial Aid Administrators upon hire. FAO is exploring the option of National Association of Student Financial Aid Administrators training certification for a Professional Judgment credential. Name(s) of the contact person(s) responsible for corrective action: Jason Hibbert Planned completion date for corrective action plan: February 28, 2025

View Audit 329796

Finding 512066 (2024-002)

Significant Deficiency 2024

Eastern Oregon University

OR

Student Financial Aid Matching / Level of Effort / Earmarking Reporting § 200.303

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend that the University implement a key control to ensure that enrollment data, changes in status and effective dates within NSLDS match the records of the institution and ar...

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.007, 84.033, 84.379 Recommendation: We recommend that the University implement a key control to ensure that enrollment data, changes in status and effective dates within NSLDS match the records of the institution and are reported timely, and to store evidence of the key control having occurred. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Review of Banner job to check for errors in reporting format or potential junk data that could cause a report to be rejected. New drop and withdrawal codes that only pertain to post term withdrawals and will only be used for a post term withdrawal to allow the dates to match, are being discussed. As well as internal discussion about developing key control tracking to show evidence that the controls in place are being followed. Name(s) of the contact person(s) responsible for corrective action: Emily Sharratt Planned completion date for corrective action plan: December 13, 2024

View Audit 329796

Finding 512065 (2024-001)

Significant Deficiency 2024

Eastern Oregon University

OR

Questioned Costs Matching / Level of Effort / Earmarking Student Financial Aid § 200.303

Student Financial Assistance Cluster – Assistance Listing No. 84.268 Recommendation: We recommend that the University review their awarding procedures and implement procedures to ensure direct loans are awarded within student eligibility. Explanation of disagreement with audit finding: There is no d...

Student Financial Assistance Cluster – Assistance Listing No. 84.268 Recommendation: We recommend that the University review their awarding procedures and implement procedures to ensure direct loans are awarded within student eligibility. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Financial Aid office (FAO) plans to do more expansive training for the Financial Aid Administrators upon hire. FAO is exploring the option of National Association of Student Financial Aid Administrators training certification for a Need Analysis credential. Name(s) of the contact person(s) responsible for corrective action: Jason Hibbert Planned completion date for corrective action plan: February 28, 2025

View Audit 329796 Questioned Costs: $1

Finding 512059 (2024-003)

Significant Deficiency 2024

Bradley University

IN

Student Financial Aid Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

2024-003: U.S. Department of Education. Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program). Criteria or specific requirement: The G...

2024-003: U.S. Department of Education. Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program). Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the University to establish and maintain effective internal controls over Federal awards. Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The University has continued to make progress in updating the University’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Recommendation: We recommend the University work to update the written security program to ensure compliance with all the standards. Views of responsible officials: There is no disagreement with the audit finding.

View Audit 329791

Finding 512057 (2024-002)

Significant Deficiency 2024

Bradley University

IN

Student Financial Aid Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

2024-002: U.S. Department of Education. Assistance Listing Numbers: 84.063 - Federal Pell Grant Program, 84.268 - Federal Direct Student Loans. Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes ...

2024-002: U.S. Department of Education. Assistance Listing Numbers: 84.063 - Federal Pell Grant Program, 84.268 - Federal Direct Student Loans. Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to the National Student Loan Data System (NSLDS) within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, 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 school or its third-party servicer. Errors must be corrected within 10 days. Cause: The University’s processes and controls did not ensure that student status changes were properly and timely reported to NSLDS. Effect: The errors were caused by National Student Clearinghouse's communication with NSLDS, as a result of the modernization of NSLDS in 2022. The University was told the errors would be fixed and there was nothing more they needed to do. The errors were not fixed. Recommendation: We recommend the University review its reporting procedures to ensure that students’ statuses are accurately and timely reported to NSLDS as required by regulations. Views of responsible officials: There is no disagreement with the audit finding.

View Audit 329791

Finding 512056 (2024-001)

Significant Deficiency 2024

Bradley University

IN

Reporting Significant Deficiency Matching / Level of Effort / Earmarking

2024-001: Student Financial Assistance Cluster. Assistance Listing Number: 84.268 - Federal Direct Student Loans. Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 675.16 states whenever an institution di...

2024-001: Student Financial Assistance Cluster. Assistance Listing Number: 84.268 - Federal Direct Student Loans. Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 675.16 states whenever an institution disburses FWS funds by crediting a student's account and the result is a credit balance, the institution must pay the credit balance directly to the student as soon as possible, but no later than 14 days after the credit balance occurred on the account. Cause: The student's refund was set to be sent out on but it fell on Labor day it didn't get sent out until after the 14 days. Effect: The University is not in compliance with Department of Education requirements that all credit balances be paid directly to the student as soon as possible, but no later than 14 days after the credit balance occurred. Recommendation: We recommend the University implement a process to ensure that any credit balances arising from federal student financial aid are made within the 14 day time limit imposed by the Department of Education. Views of responsible officials: There is no disagreement with the audit finding.

View Audit 329791

Finding 512048 (2024-002)

Significant Deficiency 2024

Vermont State Colleges

VT

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

This was an isolated instance and attributed to the merger of three institution into one institution effective July 1, 2023. The registrar is monitoring the re-enrollment of students that have taken a leave of absences or have not enrolled in VTSU since the merger to identify additional errors and w...

This was an isolated instance and attributed to the merger of three institution into one institution effective July 1, 2023. The registrar is monitoring the re-enrollment of students that have taken a leave of absences or have not enrolled in VTSU since the merger to identify additional errors and will take appropriate action to correct them as the occur.

View Audit 329772

Corrective Action Plans

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