Finding 1081695 (2024-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2024-11-11
Audit: 327876
Organization: Lenoir-Rhyne University (NC)
Auditor: Bdo

AI Summary

  • Core Issue: The University failed to report changes in student enrollment status accurately and on time, violating federal regulations.
  • Impacted Requirements: Compliance with 34 CFR 685.309, which mandates reporting within 30 days of status changes.
  • Recommended Follow-Up: Implement new procedures to ensure timely reporting of student status changes and monitor compliance closely.

Finding Text

Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268) Criteria or Specific Requirement: N. Special Tests and Provisions – Enrollment Reporting: Federal regulation 34 CFR 685.309 states that the institution shall accurately report a change in a student’s enrollment status directly to the lender or guarantee agency within 30 days if a student has graduated, withdrawn, or ceased to be enrolled (or failed to enroll) at least half-time and the school does not expect its next Roster File to NSLDS within 60 days. Condition: The University did not report students’ status changes accurately and within the required timeframe. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with required federal guidelines. Questioned Costs: None. Context: Program Level: Based on a sample of 40 students, 38 students’ enrollment status were not accurately reported to the NSLDS. Campus Level: Based on a sample of 40 students, 16 students selected were not reported to the NSLDS within the required timeframe. Identification of Repeat Finding: This is a repeat of prior year finding 2023-001. Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner. Views of Responsible Officials: The University experienced significant turnover of staff in the Registrar’s Office in late fiscal year 2023 through fiscal year 2024. This turnover unfortunately was the catalyst for untimely student status change submissions to the NSLDS. This was identified during the 2023 fiscal year-end audit; however, the situation was not able to be rectified until well into the 2024 fiscal year. The University has hired three new permanent staff and an interim registrar, as we search for a permanent registrar. This group has been working with the clearinghouse personnel to work out errors, and reporting is now being addressed in a timely manner.

Categories

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

Other Findings in this Audit

  • 505251 2024-001
    Material Weakness Repeat
  • 505252 2024-001
    Material Weakness Repeat
  • 505253 2024-001
    Material Weakness Repeat
  • 505254 2024-001
    Material Weakness Repeat
  • 505255 2024-002
    Significant Deficiency Repeat
  • 505256 2024-002
    Significant Deficiency Repeat
  • 505257 2024-002
    Significant Deficiency Repeat
  • 505258 2024-002
    Significant Deficiency Repeat
  • 505259 2024-003
    Significant Deficiency
  • 505260 2024-004
    Significant Deficiency
  • 505261 2024-005
    Significant Deficiency
  • 505262 2024-005
    Significant Deficiency
  • 505263 2024-005
    Significant Deficiency
  • 505264 2024-005
    Significant Deficiency
  • 1081693 2024-001
    Material Weakness Repeat
  • 1081694 2024-001
    Material Weakness Repeat
  • 1081696 2024-001
    Material Weakness Repeat
  • 1081697 2024-002
    Significant Deficiency Repeat
  • 1081698 2024-002
    Significant Deficiency Repeat
  • 1081699 2024-002
    Significant Deficiency Repeat
  • 1081700 2024-002
    Significant Deficiency Repeat
  • 1081701 2024-003
    Significant Deficiency
  • 1081702 2024-004
    Significant Deficiency
  • 1081703 2024-005
    Significant Deficiency
  • 1081704 2024-005
    Significant Deficiency
  • 1081705 2024-005
    Significant Deficiency
  • 1081706 2024-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $18.57M
84.063 Federal Pell Grant Program $3.30M
84.007 Federal Supplemental Educational Opportunity Grants $236,994
84.033 Federal Work-Study Program $131,386