Finding 1101080 (2024-002)

Significant Deficiency Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-02-27
Audit: 344088
Organization: Eureka College (IL)
Auditor: Sikich CPA LLC

AI Summary

  • Core Issue: The College failed to report actual loan disbursement dates for 4 out of 40 students, which is a significant internal control deficiency.
  • Impacted Requirements: This finding violates 34 CFR 668.164 (a)(1), affecting compliance with federal student aid regulations.
  • Recommended Follow-Up: The College should establish procedures to ensure accurate reporting of disbursement dates to the NSLDS.

Finding Text

2024-002 - Student Financial Aid Cluster - (a) Federal Pell Grant (b) Federal Supplemental Educational Opportunity Grant (c) Federal Work Study Grant (d) Federal Perkins Loan Program (e) Federal Direct Student Loans (f) Teacher education Assistance for College and Higher Education ALN No. (a) 84.063 (b) 84.007 (c) 84.033 (d) 84.038 (e) 84.268 (f) 84.379 - Year Ended June 30, 2024. Criteria: 34 CFR 668.164 (a)(1) states “Except as provided under paragraph (a)(2) of this section, a disbursement of title IV, HEA program funds occurs on the date that the institution credits the student’s ledger account or pays the student or parent directly with- (i) Funds received form the Secretary; (ii) Institutional funds received from a lender under title IV, HEA program funds; Condition: The College did not report actual loan disbursement dates to the COD system for 4 of 40 students in the sample (10%). We consider this condition to be a significant deficiency of internal control over compliance relating to the Special Tests and Provisions compliance requirement and is part a repeat finding shown in Section IV of this report as prior year finding 2023-003. Statistical sampling was not used in making sample selections. Questioned Costs: $0 Effect: The College posted the batches incorrectly resulting in a variance in the date of the disbursement per the student account and the date per NSLDS. Recommendation: We recommend the College implement procedures in order to report accurate disbursements dates for Direct Loans to NSLDS. Views of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.

Categories

Student Financial Aid Special Tests & Provisions Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.56M
84.063 Federal Pell Grant Program $1.43M
11.307 Economic Adjustment Assistance $797,429
84.033 Federal Work-Study Program $82,440
84.031 Higher Education_institutional Aid $67,920
84.007 Federal Supplemental Educational Opportunity Grants $57,084
84.038 Federal Perkins Loan Program $54,815
45.301 Museums for America $34,003
45.149 Promotion of the Humanities_division of Preservation and Access $5,160
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $3,772