Finding 1099092 (2024-001)

Direct Program - Department of Education Student Financial Assistance Cluster Federal Financial Assistance Listing: 84.007, 84.033, 84.063, 84.268 Award Numbers: P007A232416, P033A232416, R063P232851, P268K242851 Compliance Requirement: Special Tests & Provisions – Disbursement to or on Behalf of Students Type of Finding: Significant Deficiency in Internal control over Compliance Criteria: Institutions that implement an affirmative confirmation process (as described in 34 CFR 668.165 (a)(6)(i)) must make this notification to the student or parent no earlier than 30 days before, and no later than 30 days after, crediting the student’s account at the institution with Direct Loan or TEACH Grants. Institutions that do not implement an affirmative confirmation process must notify a student no earlier than 30 days before, but no later than seven days after, crediting the student’s account and must give the student 30 days to cancel all or part of the loan. Condition: In our testing of 60 samples, 12 students did not receive a timely notification of their award from the College. Cause: In the current fiscal year, the College failed to initiate the notification process timely across 265 students. The issue was discovered internally and corrected by the College, notifying those students during the fiscal year, however it was outside of the 30 day requirement. Effect: Students were not notified of their student financial aid award within 30 days of crediting the student account. Questioned Costs: None reported. Context/Sampling: Nonstatistical sample of 60 students receiving financial aid out of 609 total students receiving financial aid. Repeat Finding from Prior Year: No. Recommendation: The College should have a compensating control or process to ensure timely notifications of aid are delivered to students. Views of Responsible Officials: The College’s management agrees with the finding.