Finding Text
2024-010
8540.15
Department Of Education
Student Financial Aid
84.063, 84.268
"P063P218567-2024
P268K228567-2024"
N/A
N/A
7/1/23 - 6/30/24
Significant Deficiency
Control finding did not result in material questioned costs-therefore we will document as a SD.
N/A - I/C Finding Only
Finding is neither systemic nor will it lead to 5% questioned cost.
N/A
Per Uniform Guidance 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.
The University used a third-party servicer to perform key controls, but did not have documented review of the work performed by their third-party servicer. Additionally, we were unable to observe evidence that the University reviewed cash drawdowns prepared by the third party processor.
N/A
During our testing of Credit Balance refunds, CLA observed that the University did not have documentation of formal review. Additionally, during our testing of Cash Management CLA observed two draws that we were unable to verify review occurred.
The college did not have the appropriate resources and staffing in place to verify they were in compliance with all requirements.
Without proper controls the University risks being out of compliance with federal laws and regulations, as well as program compliance requirements.
No
We recommend the College design controls to ensure an adequate review process is in place to ensure compliance with reporting requirements.
Management agrees with this finding.
See 0100.25