Corrective Action Plans

Finding 10340 (2023-001)

Significant Deficiency 2023

OR

Matching / Level of Effort / Earmarking Reporting Significant Deficiency § 200.303

Education Stabilization Fund (ESF) – Assistance Listing No. 84.425E and 84.425F Recommendation: We recommend the college review their reporting procedures to ensure they encompass controls regarding timeliness of reporting. Explanation of disagreement with audit finding: There is no disagreement wi...

Education Stabilization Fund (ESF) – Assistance Listing No. 84.425E and 84.425F Recommendation: We recommend the college review their reporting procedures to ensure they encompass controls regarding timeliness of reporting. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: All ESF funds were expended as of June 30, 2023, so there is no continuing reporting requirement. Name(s) of the contact person(s) responsible for corrective action: Margaret Antilla Planned completion date for corrective action plan: Completed

View Audit 14009

Finding 10322 (2023-001)

Significant Deficiency 2023

Illinois Central College District 514

IL

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

The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in pl...

The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.

View Audit 13983

Finding 10297 (2023-002)

Significant Deficiency 2023

University of South Carolina

SC

Matching / Level of Effort / Earmarking Reporting Significant Deficiency

HEERF ANNUAL REPORTING Recommendation: We recommend that the University monitor the reporting requirements of all grants, to ensure they stay in compliance. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The...

HEERF ANNUAL REPORTING Recommendation: We recommend that the University monitor the reporting requirements of all grants, to ensure they stay in compliance. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The University will monitor reporting requirements for HEERF funds for its annual report and will amend the prior report as needed for compliance. Name(s) of the contact person(s) responsible for corrective action: Mandy Kibler, Associate Vice President and University Controller Planned completion date for corrective action plan: The University will submit the final HEERF Annual Report for CY2023 in spring 2024 and will amend the CY2022 in spring 2024 to ensure reporting requirements are met.

View Audit 13962

Finding 10287 (2023-002)

Significant Deficiency 2023

Laramie County Community College

WY

Student Financial Aid Matching / Level of Effort / Earmarking Eligibility

Corrective Action: The College’s Return of Title IV Funds procedure was reviewed. The following language was revised in the post-withdrawal disbursement (PWD) section of this procedure as a control to ensure that advanced written notification is not missed in the future: A written notification will...

Corrective Action: The College’s Return of Title IV Funds procedure was reviewed. The following language was revised in the post-withdrawal disbursement (PWD) section of this procedure as a control to ensure that advanced written notification is not missed in the future: A written notification will be sent to a student (or parent) that is eligible for a PWD of Federal Direct Loan within 30 days of the date of determination. The type and amount of Title IV loan funds that will be credited to the student’s charges and the amount that will directly disburse will be offered to the student, or the parent in the case of a PLUS Loan. The notification will explain that the student or parent can accept all or part of the loan disbursement and will advise the student or parent that no post-withdrawal disbursement of Title IV loan funds will be made unless the school receives a confirmation response within the established timeframe of 14 days. Please note that loan PWDs are very rare at the College because the vast majority of our students that wish to borrow complete their loan requirements and receive their loan disbursement prior to their withdrawal date. In the case of the student noted in the finding, the student completed his loan requirements (i.e., master promissory note and loan entrance counseling) only a couple of days before the date he became ineligible. We acknowledge an advanced written notice was not sent, but please note that a written notification was sent to the student immediately following the loan disbursement informing the student about his right to cancel all or part of the loan and the procedures and timeframe in which to do so. Anticipated Completion Date: July 1, 2023 Contact Person: Brandi Payne Cervera

View Audit 13927

Finding 10269 (2023-001)

Significant Deficiency 2023

Western Wyoming Community College

WY

Questioned Costs Student Financial Aid Eligibility

Pell This finding is the result of manual awarding and revisions by staff that are no longer employed by WWCC. To prevent Pell underpayment, Colleague was reconfigured for 2023-2024 to accurately award and revise awards when students add courses prior to the census date. Additionally, a regular revi...

Pell This finding is the result of manual awarding and revisions by staff that are no longer employed by WWCC. To prevent Pell underpayment, Colleague was reconfigured for 2023-2024 to accurately award and revise awards when students add courses prior to the census date. Additionally, a regular review of the Pell Eligibility Variance Report in Colleague (which displays students with a Colleague calculated Pell that differs from what the student has been awarded) will identify any student not awarded to their full Pell eligibility. Loan This finding is the result of a miscalculation of single term costs of attendances (COA) for students enrolling spring only. To address the 2022-2023 overpayments identified, all students enrolled for the spring single term while receiving Title IV funding had their COA recalculated, financial need determined using the four (4) month EFC, and SEOG, and subsidized/unsubsidized loan eligibility recalculated. Where required, the SEOG, and subsidized/unsubsidized loans were adjusted to actual eligibility and the student account and COD updated. Documentation that this action was completed has been provided to the auditor. For 2023-2024, Colleague was reconfigured to calculate COA components at a per term level, instead of at an annual level (which was used in 2022-2023). Colleague was also reconfigured to calculate the EFC for a single term student so that the financial need could be determined correctly. As a result, single term students will receive a single term COA and EFC to accurately the student’s financial need. SEOG and subsidized/unsubsidized loans will be awarded based on financial need and remaining costs. Anticipated Completion Date: December 31, 2023 Contact Person: Amy Murphy, Dean of Outreach and Workforce Development & Interim Dean of Enrollment Management

View Audit 13919 Questioned Costs: $1

Finding 10259 (2023-010)

Significant Deficiency 2023

Heritage University

WA

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

2023-010 – Special Tests and Provisions – Federal Perkins Loan Liquidation – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University reconcile the information to the most recent filed FISAP to ensure the entire portfolio of Perkins loans wa...

2023-010 – Special Tests and Provisions – Federal Perkins Loan Liquidation – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University reconcile the information to the most recent filed FISAP to ensure the entire portfolio of Perkins loans was properly liquidated. Planned corrective actions: To ensure the Perkins loan portfolio was correctly liquidated, the University will reconcile the data with the most current FISAP filed. Name of Responsible Party: 1. Financial Aid Director 2. Alysia Stevens, Controller 3. VP of Administration/CFO 4. Dr. Andrew Sund, President Anticipated completion date: 6/30/2024

View Audit 13897

Finding 10253 (2023-009)

Significant Deficiency 2023

Heritage University

WA

Questioned Costs Student Financial Aid Special Tests & Provisions

2023-009 – Special Tests and Provisions – Return of Title IV Funds (R2T4) – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University review their policies and procedures to ensure that all withdrawals have the appropriate documentation to su...

2023-009 – Special Tests and Provisions – Return of Title IV Funds (R2T4) – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University review their policies and procedures to ensure that all withdrawals have the appropriate documentation to support the withdrawal date used in the calculation. Planned corrective actions: In order to make sure that all withdrawals have the proper evidence to support the withdrawal date used in the computation, the University will evaluate its rules and procedures. Name of Responsible Party: 1. Mary Neal, Registrar 2. Financial Aid Director 3. Melissa Hill, Provost 4. VP of Administration/CFO 5. Dr. Andrew Sund, President Anticipated completion date: 6/30/2024

View Audit 13897 Questioned Costs: $1

Finding 10248 (2023-007)

Significant Deficiency 2023

Heritage University

WA

Student Financial Aid Reporting Subrecipient Monitoring

2023-007 – Special Tests and Provisions - Enrollment Reporting – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University follow and enhance existing policies to ensure all student changes in status are identified timely and submitted accu...

2023-007 – Special Tests and Provisions - Enrollment Reporting – Significant Deficiency in Internal Controls over Compliance Recommendation: The auditors recommend the University follow and enhance existing policies to ensure all student changes in status are identified timely and submitted accurately within the required time frame. The auditors also recommend the University establish a formal internal monitoring control whereby a designated individual with NSLDS access, on a sample basis, spot checks the status updates on NSLDS so to internally audit the National Student Clearinghouse submissions. Planned corrective actions: The University will adhere to current regulations and improve them if necessary to guarantee that all student status changes are recognized promptly and filed correctly within the allotted period. In order to internally audit the National Student Clearinghouse submissions, the University established a formal internal monitoring system wherein a designated individual with NSLDS access, on a sample basis, spot-checks the status updates on NSLDS. Name of Responsible Party: 1. Mary Neal, Registrar 2. Financial Aid Director 3. Melissa Hill, Provost 4. VP of Administration/CFO 5. Dr. Andrew Sund, President Anticipated completion date: 6/30/2024

View Audit 13897

Finding 10245 (2023-006)

Material Weakness 2023

Heritage University

WA

Reporting Material Weakness Matching / Level of Effort / Earmarking § 200.329

2023-006 – Reporting – Material Weakness in Internal Controls over Compliance and Material Noncompliance Recommendation: The auditors recommend the University create an internal control to obtain reporting requirements for each award received by the University. The auditors recommend a standard ...

2023-006 – Reporting – Material Weakness in Internal Controls over Compliance and Material Noncompliance Recommendation: The auditors recommend the University create an internal control to obtain reporting requirements for each award received by the University. The auditors recommend a standard process be implemented for each award to track the due dates to ensure they are completed timely. Planned corrective actions: The university will create an internal control policy to ensure that it has the necessary paperwork for each award it receives. This will be the routine procedure followed for every award in order to keep track of the deadlines and finish on time. Name of Responsible Party: 1. Grant P.I’s 2. Terri Slack, Fiscal Officer 3. Yolanda Maltos, Grant Accountant 4. Melissa Hill, Provost 5. Alysia Stevens, Controller 6. VP of Administration, CFO 7. Dr. Andrew Sund, President Anticipated completion date: 6/30/2024

View Audit 13897

Finding 10217 (2023-001)

Significant Deficiency 2023

Laramie County School District #1

WY

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking § 200.208 § 200.318 § 200.339

2023-001: Special Education Cluster – Procurement Context/Condition - Of the four procurement transactions subjected to testing, there were two professional service contracts that the District did not have documentation supporting the sole source procurement method. Corrective Action Plan – Laramie ...

2023-001: Special Education Cluster – Procurement Context/Condition - Of the four procurement transactions subjected to testing, there were two professional service contracts that the District did not have documentation supporting the sole source procurement method. Corrective Action Plan – Laramie County School District No. 1 (LCSD1) appreciates the thorough review conducted by the auditing team, identifying the lack of documentation for two sole source contracts for special education trainers hired in response to the Wyoming Department of Education’s monitoring review. In response, LCSD1 has undertaken a comprehensive corrective action plan to rectify the identified issues and prevent future occurrences. Immediate steps include a detailed review of the existing contract, identification of missing documentation, engagement with legal counsel to ensure compliance, and the development of clear procedures for documenting sole source justifications. To address potential gaps in staff understanding, LCSD1 has implemented additional training programs and reviews by procurement staff. LCSD1 will also evaluate federal, state and district procurement policies and initiate additional internal monitoring requirements for special education contracts. LCSD1 does not dispute the finding and will continue to improve processes and procedures with a focus on periodic reviews to enhance procurement practices. Contact Person – Jed Cicarelli, Chief Financial Officer Anticipated Completion Date – Immediately

View Audit 13858

Finding 10143 (2023-005)

Significant Deficiency 2023

Mater Academy of Nevada

NV

Allowable Costs / Cost Principles School Nutrition Programs Significant Deficiency § 200.303

Finding Number: 2023-005 Approval Of Expense Transactions Corrective Action Plan: A process was put in place in May 2023 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grant...

Finding Number: 2023-005 Approval Of Expense Transactions Corrective Action Plan: A process was put in place in May 2023 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grants submitted, until proper approval is received. Personnel Responsible for Corrective Action: Nachum Golodner, Academica Director of Accounting Anticipated Completion Date: June 30, 2024

View Audit 13766

Finding 10114 (2023-004)

Significant Deficiency 2023

Mater Academy of Nevada

NV

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Finding Number: 2023-004 and 2022-005 – Review and Approval of the Schedule of Expenditures of Federal Awards (SEFA) Corrective Action Plan: While there was a review of the SEFA, the documentation of said review did not occur properly. Management has put in place a process to document preparation/r...

Finding Number: 2023-004 and 2022-005 – Review and Approval of the Schedule of Expenditures of Federal Awards (SEFA) Corrective Action Plan: While there was a review of the SEFA, the documentation of said review did not occur properly. Management has put in place a process to document preparation/review of the SEFA evidenced by signature and date. Personnel Responsible for Corrective Action: Nachum Golodner, Academica Director of Accounting Anticipated Completion Date: June 30, 2024

View Audit 13766

Finding 10058 (2023-006)

Significant Deficiency 2023

Heartland Care Center Inc.

IA

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

Criteria: The funds set aside for debt service reserve are to be used to make USDA loan payments, but must be approved by the USDA before they can be used. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified funds were used durin...

Criteria: The funds set aside for debt service reserve are to be used to make USDA loan payments, but must be approved by the USDA before they can be used. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified funds were used during the year for operational purposes and did not ask or receive permission from the USDA to use the funds. Cause: The requirement was not met due to an oversight of management. Potential Effect: As a result, the Agency reserves the right to withdraw Agency funding. Recommendation: The Organization should request permission before using reserve funds. Client Response: The Organization will request permission in the future.

View Audit 13681

Finding 10057 (2023-005)

Significant Deficiency 2023

Heartland Care Center Inc.

IA

Matching / Level of Effort / Earmarking

Criteria: The Organization is required to submit complete and accurate quarterly financial statements within 20 days of the quarter end, the annual budget must be submitted to the Agency 30 days prior to the beginning of the borrower's fiscal year, and audit report within 150 days of borrower's fisc...

Criteria: The Organization is required to submit complete and accurate quarterly financial statements within 20 days of the quarter end, the annual budget must be submitted to the Agency 30 days prior to the beginning of the borrower's fiscal year, and audit report within 150 days of borrower's fiscal year end. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified the quarterly financial statements were not submitted timely for the second quarter of 2023, third quarter of 2023, and fourth quarter of 2023, the annual budget was not submitted timely, and the 6/30/22 audit report was not submitted. Cause: The submission of timely and complete reports was not met due to turnover in the administrator position. Potential Effect: As a result, the Agency reserves the right to withdraw Agency funding. Recommendation: The Organization should implement reminders and additional review to ensure the quarterly reports, annual budget, are submitted timely, are complete, and are accurate. Client Resronse: The Organization will be diligent to get the reports submitted on time and accurately. All reports except the budget have been submitted as of report date.

View Audit 13681

Finding 10056 (2023-004)

None 2023

Heartland Care Center Inc.

IA

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

Criteria: The funds set aside for debt service reserve are to be used to make USDA loan payments, but must be approved by the USDA before they can be used. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified funds were used durin...

Criteria: The funds set aside for debt service reserve are to be used to make USDA loan payments, but must be approved by the USDA before they can be used. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified funds were used during the year for operational purposes and did not ask or receive permission from the USDA to use the funds. Cause: The requirement was not met due to an oversight of management. Potential Effect: As a result, the Agency reserves the right to withdraw Agency funding. Recommendation: The Organization should request permission before using reserve funds. Client Response: The Organization will request permission in the future.

View Audit 13681

Finding 10055 (2023-003)

None 2023

Heartland Care Center Inc.

IA

Matching / Level of Effort / Earmarking

Criteria: The Organization is required to submit complete and accurate quarterly financial statements within 20 days of the quarter end, the annual budget must be submitted to the Agency 30 days prior to the beginning of the borrower’s fiscal year, and audit report within 150 days of borrower’s fisc...

Criteria: The Organization is required to submit complete and accurate quarterly financial statements within 20 days of the quarter end, the annual budget must be submitted to the Agency 30 days prior to the beginning of the borrower’s fiscal year, and audit report within 150 days of borrower’s fiscal year end. Condition: During our review of compliance requirements for the Community Facilities Loans & Grants Cluster, we identified the quarterly financial statements were not submitted timely for the second quarter of 2023, third quarter of 2023, and fourth quarter of 2023, the annual budget was not submitted timely, and the 6/30/22 audit report was not submitted. Cause: The submission of timely and complete reports was not met due to turnover in the administrator position. Potential Effect: As a result, the Agency reserves the right to withdraw Agency funding. Recommendation: The Organization should implement reminders and additional review to ensure the quarterly reports, annual budget , are submitted timely, are complete, and are accurate. Client Response: The Organization will be diligent to get the reports submitted on time and accurately. All reports except the budget have been submitted as of report date.

View Audit 13681

Finding 10023 (2023-001)

Material Weakness 2023

Anna-Jonesboro Community High School District #81

IL

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Name of Contact Person: Rob Wright, Superintendent. Recommendation: We recommend the District Check the Excluded Parties List System or collect certifications from the entity for any vendor in which the District expects to spend more than $25,000 of federal grant funds for the year. Corrective A...

Name of Contact Person: Rob Wright, Superintendent. Recommendation: We recommend the District Check the Excluded Parties List System or collect certifications from the entity for any vendor in which the District expects to spend more than $25,000 of federal grant funds for the year. Corrective Action: We were not aware of this requirement, but we will ensure that we comply going forward. Proposed Completion Date: Immediately.

View Audit 13665

Finding 9981 (2023-001)

Significant Deficiency 2023

Harford Community College

MD

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

U.S. Department of Education 2023-001: Special Tests and Provisions - National Student Loan Data System (NSLDS) Reporting Condition: Student’s change in enrollment status was not properly reported to National Student Loan Data System (NSLDS). Recommendation: We recommend the College review its repor...

U.S. Department of Education 2023-001: Special Tests and Provisions - National Student Loan Data System (NSLDS) Reporting Condition: Student’s change in enrollment status was not properly reported to National Student Loan Data System (NSLDS). Recommendation: We recommend the College review its reporting procedures to ensure that students’ statuses and enrollment information are correctly and timely reported to NSLDS as required by regulations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The College worked with the National Student Clearinghouse (NSC) to correct and update the students’ statuses to graduation. Per the recommendation of the NSC Audit Resource Division, the College will now add an additional graduate only file to the enrollment verify file and submit the degree verify file after the enrollment graduate file had been submitted. After these reports are run any students who are still being put on the graduate not applied list will be manually updated by the Registrar Office. Name of the contact person responsible for corrective action: Courtney Mitchell, Registrar Planned completion date for corrective action plan: November 30, 2023

View Audit 13614

Finding 9921 (2023-002)

Significant Deficiency 2023

Florida Southern College

FL

Student Financial Aid Reporting Significant Deficiency

Enrollment Reporting Recommendation: We recommend that the College review and implement procedures to ensure the correct date and status is reported to the NSLDS in all cases. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response...

Enrollment Reporting Recommendation: We recommend that the College review and implement procedures to ensure the correct date and status is reported to the NSLDS in all cases. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: For the two students who were dual degree, manual entry errors were the cause and were corrected. The College will implement a process in September 2023 where a second reviewer from Institutional Research will review the manual entry for student status changes to ensure that the correct dates are reported to NSDLS. For the third student, the timing of the notification of withdrawal, which had to be processed retroactively, and when the certification file was sent to NSDLS caused the student to be left out of the certification file. The College has added additional College officials (in Institutional Research) to the daily and monthly withdrawal lists so students who are processed retroactively will not be missed. Name(s) of the contact person(s) responsible for corrective action: Lindsay Thibodaux Planned completion date for corrective action plan: September 2023

View Audit 13554

Finding 9919 (2023-001)

Significant Deficiency 2023

Florida Southern College

FL

Questioned Costs Student Financial Aid Significant Deficiency

2023-001 Return to Title IV Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. ...

2023-001 Return to Title IV Recommendation: We recommend that the College review and implement procedures to ensure that withdrawals are properly communicated to all departments and processed timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The College will implement a plan to require faculty to update the last date of attendance at the end of the term in the portal for students attending distance learning classes. This date will be used by the Registrar’s Office and Financial Aid Office for reporting. Name(s) of the contact person(s) responsible for corrective action: Dr. Tracy Tedder Planned completion date for corrective action plan: August 2023

View Audit 13554 Questioned Costs: $1

Finding 9884 (2023-003)

None 2023

Millikin University

IL

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

2023-003 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for Coll...

2023-003 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for College and Higher Education (TEACH), Assistance Listing No. (a) 84.007 (b) 84.033 (c) 84.038 (d) 84.063 (e) 84.268 (f) 84.379 – Year Ended June 30, 2023 Condition: During our testing of forty individuals receiving federal work study, we noted 2 individuals (5%) that either had timecards for hours worked that were not approved by a supervisor or had incorrect time entry. We consider this condition to be an instance of noncompliance relating to the Activities Allowed or Unallowed compliance requirement. Statistical sampling was not used in making sample selections. Management Response: There were 2 individuals improperly paid. In the first incident an electronic student timecard was submitted in error and not approved by the supervisor. The payroll administrator erroneously paid the employee for the time in the amount of $82 without supervisor approval. In the second incident the employee submitted a manual timecard with the incorrect number of hours indicated per shift. The supervisor and the payroll administrator both missed the incorrect calculation in the amount of $72. Corrective Action Plan: The University has implemented electronic timecards that will mitigate manual errors in calculation. A new payroll administrator has been hired and the University is focused on documentation of student-payroll procedures and supervisor training. Responsible Person: Student Payroll Accounting Specialist Implementation Date: September 5, 2023.

View Audit 13525 Questioned Costs: $1

Finding 9883 (2023-002)

None 2023

Millikin University

IL

Questioned Costs Student Financial Aid Special Tests & Provisions

2023-002 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for Coll...

2023-002 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for College and Higher Education (TEACH), Assistance Listing No. (a) 84.007 (b) 84.033 (c) 84.038 (d) 84.063 (e) 84.268 (f) 84.379 – Year Ended June 30, 2023 Condition: The University did not properly calculate the refunds for no passing grades withdrawal students for 1 out of the 16 students tested (6.3%) due to excluding SEOG Grant from the calculation. We consider this finding to be an instance of noncompliance in relation to Special Tests and Provisions. Statistical sampling was not used. Management Response: Student Identifier 6 - The student was identified after the conclusion of the term to have earned no passing grades and a determination was made as to when the student stopped attending classes for the term. The determined last date of attendance required a manual return of Title IV funds to be calculated. The calculation and subsequent return of funds was performed timely, however, an SEOG award of $250 was not included in error when the calculation was made. Corrective Action Plan: Student Identifier 6 - When notified of the finding by auditors, the return of Title IV funds calculation was performed with the $250 SEOG funds included. The corrected calculation resulted in an additional $127 in PELL grant funds to return. The return was corrected and completed on October 12, 2023. A secondary review of all manual Return of Title IV calculations has been implemented to mitigate manual errors. Responsible Person: Director, Student Financial Services Implementation Date: Fall 2023 term.

View Audit 13525 Questioned Costs: $1

Finding 9882 (2023-001)

None 2023

Millikin University

IL

Student Financial Aid Eligibility Matching / Level of Effort / Earmarking

2023-001 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for Coll...

2023-001 – Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program – Federal Capital Contributions (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for College and Higher Education (TEACH), Assistance Listing No. (a) 84.007 (b) 84.033 (c) 84.038 (d) 84.063 (e) 84.268 (f) 84.379 – Year Ended June 30, 2023 Condition: In two of the 40 student files tested (5%), Subsidized and Unsubsidized Direct loans we not properly awarded. The University over awarded one student by $500 in Unsubsidized loans. Another student was under awarded $938 in Subsidized loans and under awarded $562 in Unsubsidized loans. Management Response: Student Identifier 22 - The student's loan limits were determined automatically by our student information system during the awarding process expecting the student to successfully complete the hours in which they were enrolled and progress to the next class level for the subsequent term. The student failed one course and missed progressing to the next academic level. When the manual adjustment was made to the student's awarded loan amounts after the end of the term, the subsidized loan was adjusted and the unsubsidized loan was missed, causing the over-award of $500 for one term. Student Identifier 23 - A pro-ration of loan limits was required for this student due to graduation at mid-term. Instead of using the full annual loan limit to calculate the pro-rated amount, the remaining aggregate eligibility was used as the amount from which the pro-ration was calculated. The manual mis-calculation resulted in the student being offered $938 less Subsidized loan and $562 less in Unsubsidized loan funds than they were eligible to receive. Corrective Action Plan: Student Identifier 22 - The $500 unsubsidized direct loan over payment was corrected and returned on July 31, 2023. Student Identifier 23 - The miscalculation of total loan eligibility was realized after the payment period ended and the student had completed their program of study/graduated with a zero account balance. No additional loan eligibility was offered. Additional staff has been trained to provide secondary verification of revised and pro-rated loan calculations. Responsible Person: Director, Student Financial Services Asst. Director/Loan Coordinator, Student Financial Services Implementation Date: Fall 2023 academic term.

View Audit 13525

Finding 9736 (2023-003)

Material Weakness 2023

Redford Union School District #1

MI

Questioned Costs Special Tests & Provisions Procurement, Suspension & Debarment

Finding: 2023-003 – Special Tests and Provisions – Wage Rate Requirements Auditor Description of Condition and Effect: The amounts tested that were subject to the Wage Rate Requirements did not include the required provision, and the District did not obtain the required certified payrolls. The Dist...

Finding: 2023-003 – Special Tests and Provisions – Wage Rate Requirements Auditor Description of Condition and Effect: The amounts tested that were subject to the Wage Rate Requirements did not include the required provision, and the District did not obtain the required certified payrolls. The District did not follow federal requirements to include the prevailing wage rate provision in its contract. Auditor Recommendation: We recommend that the District reviews its policies to ensure that applicable prevailing wage requirements are included in construction contracts whenever federal funds are used and certified payrolls are obtained. Corrective Action: District officials will ensure that construction contracts contain these requirements during the bid process. Responsible Person: Mike Beltnick, CFO Anticipated Completion Date: June 30, 2024

View Audit 13486 Questioned Costs: $1

Finding 9717 (2023-004)

None 2023

Redford Union School District #1

MI

Subrecipient Monitoring School Nutrition Programs Matching / Level of Effort / Earmarking

Finding: 2023-004 – Written Policies Required by the Uniform Grant Guidance Auditor Description of Condition and Effect: Although the District has processes in place to cover these areas, there are no formal written policies covering payments, allowability of costs, and compensation. As a result of...

Finding: 2023-004 – Written Policies Required by the Uniform Grant Guidance Auditor Description of Condition and Effect: Although the District has processes in place to cover these areas, there are no formal written policies covering payments, allowability of costs, and compensation. As a result of this condition, the District did not fully comply with the Uniform Guidance applicable to the above noted grants. Auditor Recommendation: We are aware that the District is evaluating options using internal and external resources to take corrective action. We recommend that the District proceed with its selected option as soon as practical, but no later than the end of the next fiscal year. Corrective Action: As noted, the District has processes in place that cover all grant guidelines related to federal funds. However, upon bringing it to our attention that these policies should be in writing, we are making every endeavor to comply. The District is currently working on drafting policies that will meet the criteria set out in the Uniform Guidance and plan to have those in place by the end of the fiscal year. Responsible Person: Mike Beltnick, CFO Anticipated Completion Date: June 30, 2024

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