Finding Text
III. Federal Awards Findings and Questioned Costs FINDING 2025‐001 – Special Tests and Provisions – Enrollment Reporting Significant Deficiency in Internal Control over Compliance Student Financial Assistance Cluster U.S. Department of Education Assistance Listing Number: 84.063,84.268, Federal Program Name: Student Financial Assistance Cluster Award Year: 2024-25 Criteria: Pell Grant, Section 34 CFR Section 690.83(b) (2) An institution shall submit, in accordance with deadline dates established by the Secretary (Secretary of the Department of Education), through publication in the Federal Register, other reports and information the Secretary requires and shall comply with the procedures the Secretary finds necessary to ensure that the reports are correct. Direct Loan, Section 34 CFR Section 685.309(b) (2) Unless the institution expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended. Condition and context: A sample of 35 students who possessed status changes during the year were selected for our testing procedures. Our sample was selected using a random and judgmental sampling methodology, from a population of 865 total status changes. Student record changes were compared to updated enrollment reports sent to the Secretary. We noted that of 35 students sampled and tested, three student withdrawals and one graduated student were not reported timely. We did not expand our sample. Questioned costs: None Effect: The University did not report all student status changes in a timely manner. This information is utilized by the Department of Education, the Federal Direct Loan program, lenders, and other institutions to determine in‐school status. Cause: A reconciliation process has not been designed or implemented to ensure that all status changes have been captured from the system of record to the National Student Loan Data System (NSLDS). Repeat finding: Yes, 2024-001. Recommendation: We recommend the University implements a reconciliation between the system of record and the reporting system to ensure all student changes (enrollment status and address changes) are reported on a timely basis.