Finding 1135468 (2024-004)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-05-01
Audit: 355294
Organization: Manhattan Christian College (KS)

AI Summary

  • Core Issue: A student eligible for a Pell grant was not awarded funds due to a failure in the internal control system.
  • Impacted Requirements: Compliance with 34 CFR 668.16(4)(c)(1) regarding checks and balances in administering Title IV programs.
  • Recommended Follow-Up: Conduct a thorough review of student awards and correct the award package for the affected student to prevent future errors.

Finding Text

ELIGIBILITY - PELL GRANT PROGRAM 84.063 Criteria Per 34 CFR 668.16(4)(c)(1), the College must administer Title IV, HEA programs with adequate checks and balances in its system of internal control. Condition and Context Of our sample of 51 student files, one case was noted where a student was eligible for a Pell grant in the fall semester, but was not awarded and disbursed. Cause The student enrolled in additional classes after the first day classes began and was not identified when awarding and disbursing Pell grant money for the Spring semester. Potential Effect The absence of adequate reviews of student awards could lead to improper awards and disbursements of Federal Financial Aid. Questioned Costs Known questioned costs were $3,697 and likely questioned costs were $5,738. Recommendation We recommend that the College perform an additional review of student awards to ensure information agrees with all other areas within the institution. We also recommend that the College correct the award package for the student for the recalculated difference in the award. Views of Responsible Officials and Planned Corrective Action The College will make the necessary correction to the student's award. Key staff turnover may have lead to not identifying this student as eligible for federal financial aid in the Fall semester. Review procedures will be conducted for student awards and disbursements to ensure accuracy for the next fiscal year.

Categories

Student Financial Aid Internal Control / Segregation of Duties Eligibility

Other Findings in this Audit

  • 559026 2024-004
    Significant Deficiency
  • 559027 2024-003
    Significant Deficiency
  • 559028 2024-003
    Significant Deficiency
  • 559029 2024-003
    Significant Deficiency
  • 559030 2024-003
    Significant Deficiency
  • 559031 2024-005
    Significant Deficiency
  • 1135469 2024-003
    Significant Deficiency
  • 1135470 2024-003
    Significant Deficiency
  • 1135471 2024-003
    Significant Deficiency
  • 1135472 2024-003
    Significant Deficiency
  • 1135473 2024-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $676,108
84.063 Federal Pell Grant Program $333,283
84.033 Federal Work-Study Program $54,308
84.007 Federal Supplemental Educational Opportunity Grants $15,289