Finding 1089417 (2024-002)

Significant Deficiency
Requirement
N
Questioned Costs
$1
Year
2024
Accepted
2024-12-04
Audit: 330798
Organization: Certell, INC (IN)
Auditor: Sikich CPA LLC

AI Summary

  • Core Issue: Disbursement dates reported to the COD System were inaccurate for six students, indicating a significant deficiency.
  • Impacted Requirements: Compliance with reporting actual disbursement amounts and dates as per federal regulations (CFR 34 668.164).
  • Recommended Follow-Up: Correct the disbursement dates in the COD System and enhance controls over reporting processes.

Finding Text

FINDING 2024-002: INACCURATE REPORTING OF DISBURSEMENT DATES TO THE COMMON ORIGINATION AND DISBURSEMENT (COD) SYSTEM: FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: FEDERAL PELL GRANT PROGRAM ALN: 84.063 FEDERAL AWARD YEAR: 2023-2024 Compliance Requirement: Special Tests and Provisions (N.) - Disbursements Criteria: The disbursement amounts and dates reported to the Department of Education must be the amounts and dates of the actual disbursement to the students’ accounts (CFR 34 668.164). Condition: We tested forty files and dates of Title IV disbursements posted to account ledgers did not agree to the dates reported to the Common Origination and Disbursement (COD) System for six students. We consider this finding to be a significant deficiency. Cause: The condition was caused by issues transferring to a new student information system. Effect: The result is incorrect disbursement dates were reported to the Department of Education. Question Costs: $12,575 Statistical sampling was not used when making sample selections. Recommendation: We recommend the Institution correct the disbursement dates in COD and tighten controls over reporting disbursements dates. Views of Responsible Officials: The Institution agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.

Categories

Questioned Costs Student Financial Aid Reporting Special Tests & Provisions Significant Deficiency

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $1.52M
84.063 Federal Pell Grant Program $1.38M
84.007 Federal Supplemental Educational Opportunity Grants $43,187