Finding Text
2023-010 – Special Tests and Provisions – Federal Perkins Loan Liquidation – Significant Deficiency in Internal Controls over Compliance
Department of Education
Student Financial Assistance Cluster
Federal Assistance Listing Number: 84.038
Federal Program Name: Federal Perkins Loan Program
Award Year: 2022-23
Criteria – In accordance with 34 CFR 674.19(d) the institutional must maintain program and fiscal records of all Perkins funds since the most recent Fiscal Operations Report (FISAP) was submitted and reconcile this information at least monthly.
Condition/context – The University could not provide the required reconciliations as required by 34 CFR section 674.19(d).
Our sample was not, and was not intended to be, statistically valid.
Questioned costs – None.
Cause/effect – This occurred because of a lack of understanding of the compliance requirements for Perkins program and fiscal records. The University is unable to provide support that the program and fiscal records of all the Perkins funds reconciles to the most recent FISAP.
Repeat finding – No
Recommendation – We recommend the University reconcile the information to the most recent filed FISAP to ensure the entire portfolio of Perkins loans was properly liquidated.
Views of responsible officials and planned corrective actions – To ensure the Perkins loan portfolio was correctly liquidated, the University will reconcile the data with the most current FISAP filed.