Finding 1094105 (2024-002)

Eligibility Type of Finding - Noncompliance with Eligibility compliance requirement and significant deficiency in internal control over compliance Program: Student Financial Assistance Cluster Assistance Listing Number: Federal Supplemental Educational Opportunity Grant (FSEOG) 84.007 Federal Agency: U.S. Department of Education Criteria - 34 CFR 676.10 and 676.20 provide regulations to institutions on minimum and maximum amount of Federal Supplemental Education Opportunity Grant (FSEOG) amounts that can be awarded. The institution should have sufficient internal controls over program compliance to prevent, identify and correct grant amounts awarded incorrectly. Condition - One error was identified when testing the amount awarded for Federal Supplemental Education Opportunity Grant (FSEOG). One student was awarded $68 in FSEOG funds when the minimum amount to be awarded is $100. This resulted in an under-award of $32. Cause - The internal controls over the review of awarded assistance was not effective at preventing or detecting and correcting noncompliance with the requirements. Effect - Incorrect award amounts could go undetected resulting in an under- or over-award of student financial assistance. Questioned Costs - The one error identified within our forty-item sample resulted in an under-award of $32 for an FSEOG recipient. Context - One student was under-awarded aid out of a sample of 40 students. Identification as a Repeat Finding - Not Applicable. Recommendation - The College needs to ensure the reconciliation of the amounts awarded in the College’s system to the eligible award per the Department of Education is being performed by an individual with appropriate knowledge of award compliance requirements. Views of Responsible Official - Management concurs with the finding and is providing those responsible for compliance with appropriate education on the compliance requirements. The College is reviewing the processes and controls and will make changes as necessary to prevent and/or detect and correct noncompliance on a timely basis.