Finding Text
Federal Agency US Department of Education
Federal Program Name Student Financial Assistance Cluster
Assistance Listing Number 84.007, 84.038, 84.063, 84.268
Federal Award Identification Number and Year P007A233410 - 2024, P033A233410 - 2024, P063P232032 - 2024, P268K24032 - 2024
Pass-Through Agency (if applicable) N/A
Pass-Through Number(s) (if applicable) N/A
Award Period 7/1/2023-6/30/2024
Compliance Requirement Affected Eligibility
Type of Finding
Internal Control Significant Deficiency
Document judgment for your assessment Control finding did not result in material questioned costs-therefore we will document as a SD. Additionally qualitatively failure did not have material impact on compliance.
Compliance Not Material
Document judgment for your assessment Not greater than 5% and not a systemic failure
Criteria or specific requirement "34 CFR 682.604, states that a school must ensure that exit counseling is conducted with each Stafford Loan borrower and graduate or professional student PLUS Loan borrower either in person, by audiovisual presentation, or by interactive electronic means. In each case, the school must ensure that this counseling is conducted shortly before the student borrower ceases at least half-time study at the school.
Per 2 CFR 200.303, nonfederal entities receiving federal awards are required to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements."
Condition The College did not properly have documentation of exit counseling notification.
Questioned costs: N/A
Known
Likely
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.
Effect Exit counseling helps federal student loan borrowers understand how to repay their loans and reviews deferment and repayment plans options. If students are not notified of exit counseling, they could be at risk of not understanding their rights and responsibilities regarding loan repayment.
Repeat Finding No
Recommendation We recommend the College review reporting processes to ensure all students that require exit counseling receive it in a timely manner.
Views of Responsible Officials Agree