Finding Text
U.S. Department of Education Student Financial Aid Cluster 84.038 84.038 does not have a FAIN # on the USASpending.gov website Requirements: (N7) Perkins Condition: The College could not locate two (2) promissory notes out of twenty-seven (27) people tested. Criteria: Per 34 CFR 674.19, institutions must retain promissory and master promissory notes, and repayment records for each Perkins Loan program loan made. Cause: Management was not aware of the document retention requirements and did not establish proper physical security controls over the original promissory notes. Effect: The College is unable to prove the validity of amounts borrowed under these loans. Repeat Finding: Not a repeat finding Recommendation: RBT suggests that the College develop and follow detailed controls over grant federal requirements. Perspective: This issue does not appear to be systemic as original promissory notes were provided for the other selections. Management’s Response: See corrective action plan.