Finding 1160846 (2023-008)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-10-16
Audit: 370935
Organization: Richland Community College (IL)
Auditor: Sikich CPA LLC

AI Summary

  • Core Issue: The College inaccurately reported tuition and fees on the FISAP for the 2021-2022 academic year, leading to noncompliance with federal reporting requirements.
  • Impacted Requirements: This finding violates the requirement to maintain accurate financial records for Title IV programs as outlined in 34 CFR 668.24.
  • Recommended Follow-Up: Implement stronger controls to verify all data submitted in the FISAP to ensure accuracy and compliance with federal regulations.

Finding Text

2023-008 - Student Financial Aid Cluster - (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Pell Grant Program (d) Federal Direct Student Loans, Assistance Listing No. (a) 84.007 (b) 84.033 (c) 84.063 (d) 84.268 - Year Ended June 30, 2023 Criteria: The College must establish and maintain the financial records that reflect each Title IV program transaction on a current basis (34 CFR 668.24). Condition: The College incorrectly reported tuition and fees on the Fiscal Operations Report and Application to Participate (FISAP) for the 2021-2022 academic year. We consider this to be an instance of noncompliance of the Reporting compliance requirement and is a repeat finding shown in Section IV of this report as prior year finding 2022-004. Statistical sampling was not used in making sample selections. Questioned Costs: $0 Cause and Effect: This condition was caused by inadequate controls over Reporting and incorrect information provided when preparing the FISAP. Therefore, the College did not correctly report tuition and fees on the FISAP that was submitted to the Department of Education. Recommendation: We recommend that the College puts controls in place to review all inputs to the FISAP report to ensure all amounts reported are accurate and agree with the College’s records. View of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.

Corrective Action Plan

2023-008 - Student Financial Aid Cluster - (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Pell Grant Program (d) Federal Direct Student Loans, Assistance Listing No. (a) 84.007 (b) 84.033 (c) 84.063 (d) 84.268 - Year Ended June 30, 2023 Condition: The College incorrectly reported tuition and fees on the Fiscal Operations Report and Application to Participate (FISAP) for the 2021-2022 academic year. We consider this to be an instance of noncompliance of the Reporting compliance requirement and is a repeated finding shown in Section IV of this report as prior year finding 2022-004. Statistical sampling was not used in making sample selections. Corrective Action Plan: The responsible parties listed below will thoroughly review all FISAP reporting requirements and necessary data elements prior to FISAP submission to ensure accuracy. Responsible Party for Corrective Action Plan: Director of Financial Aid and Veteran Affairs, Controller, Vice President of Financial Services Implementation Date for Correction Action Plan: Correction to FISAP will be submitted as soon as the amount of tuition and fees is confirmed by the Controller or Vice President of Financial Services. By September 2025 to accurately report the amount of tuition and fees on the upcoming FISAP reporting cycle due by September 30, 2025.

Categories

Student Financial Aid

Other Findings in this Audit

  • 1160835 2023-006
    Material Weakness Repeat
  • 1160836 2023-006
    Material Weakness Repeat
  • 1160837 2023-006
    Material Weakness Repeat
  • 1160838 2023-006
    Material Weakness Repeat
  • 1160839 2023-007
    Material Weakness Repeat
  • 1160840 2023-007
    Material Weakness Repeat
  • 1160841 2023-007
    Material Weakness Repeat
  • 1160842 2023-007
    Material Weakness Repeat
  • 1160843 2023-008
    Material Weakness Repeat
  • 1160844 2023-008
    Material Weakness Repeat
  • 1160845 2023-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $3.02M
84.268 Federal Direct Student Loans $871,277
84.002 Adult Education - Basic Grants to States $163,411
84.048 Career and Technical Education -- Basic Grants to States $162,697
93.575 Child Care and Development Block Grant $150,216
84.425 Education Stabilization Fund $43,594
84.007 Federal Supplemental Educational Opportunity Grants $40,000
17.268 H-1b Job Training Grants $18,924
84.033 Federal Work-Study Program $17,828