Finding 1161407 (2024-004)

Material Weakness Repeat Finding
Requirement
C
Questioned Costs
-
Year
2024
Accepted
2025-10-24
Audit: 371273
Organization: Wittenberg University (OH)
Auditor: RSM US LLP

AI Summary

  • Core Issue: The University failed to refund credit balances to eight students within the required 14-day timeframe.
  • Impacted Requirements: This noncompliance violates regulations outlined in the FSA Handbook and Federal Code of Regulations.
  • Recommended Follow-Up: Implement a quality assurance process with stronger controls to ensure timely refunds in the future.

Finding Text

Federal Program: Student Financial Assistance Cluster Federal Assistance Listing Number: 84.063, 84.033, 84.038, 84.007, 84.268, and 84.379 Federal Agency: Department of Education Award Year: 2024 Criteria: The University must establish procedures to ensure credit balances arising from the application of federal aid are refunded in accordance with regulations, within 14 days. Condition: In our testing, we found that eight students out of a sample of 25 did not receive their credit balance refunds within the required timeframe, and one student received only a partial refund on time. Cause: The University lacked sufficient internal controls or monitoring procedures to ensure credit balance refunds were processed in a timely manner. Context: Controls were not in place for the University to refund credit balances within the required timeframe. Effect: The University did not meet specific requirements outlined in the FSA Handbook and Federal Code of Regulations regarding the refunds of credit balances to students. Questioned Costs: None Repeat Finding: No Recommendations: It is advised that the University establish and record a comprehensive quality assurance process with appropriate controls to reduce the risk of noncompliance. Management's Response: Management agrees with the finding. See corrective action plan.

Corrective Action Plan

This finding was related to staff turnover within the financial aid, student accounts and business offices. The hiring of qualified staff properly trained should avoid this error going forward. Implementation of the corrective action plan is expected to be complete by June 30, 2026. Responsible Party Robert Rood Interim Vice President Finance and Administration

Categories

Subrecipient Monitoring Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1161387 2024-004
    Material Weakness Repeat
  • 1161388 2024-005
    Material Weakness Repeat
  • 1161389 2024-006
    Material Weakness Repeat
  • 1161390 2024-007
    Material Weakness Repeat
  • 1161391 2024-008
    Material Weakness Repeat
  • 1161392 2024-009
    Material Weakness Repeat
  • 1161393 2024-011
    Material Weakness Repeat
  • 1161394 2024-004
    Material Weakness Repeat
  • 1161395 2024-008
    Material Weakness Repeat
  • 1161396 2024-011
    Material Weakness Repeat
  • 1161397 2024-004
    Material Weakness Repeat
  • 1161398 2024-008
    Material Weakness Repeat
  • 1161399 2024-011
    Material Weakness Repeat
  • 1161400 2024-010
    Material Weakness Repeat
  • 1161401 2024-004
    Material Weakness Repeat
  • 1161402 2024-008
    Material Weakness Repeat
  • 1161403 2024-011
    Material Weakness Repeat
  • 1161404 2024-004
    Material Weakness Repeat
  • 1161405 2024-008
    Material Weakness Repeat
  • 1161406 2024-011
    Material Weakness Repeat
  • 1161408 2024-005
    Material Weakness Repeat
  • 1161409 2024-006
    Material Weakness Repeat
  • 1161410 2024-008
    Material Weakness Repeat
  • 1161411 2024-009
    Material Weakness Repeat
  • 1161412 2024-011
    Material Weakness Repeat
  • 1161413 2024-002
    Material Weakness Repeat
  • 1161414 2024-003
    Material Weakness Repeat
  • 1161415 2024-011
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $8.07M
84.063 FEDERAL PELL GRANT PROGRAM $2.45M
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $1.72M
84.047 TRIO UPWARD BOUND $428,272
84.033 FEDERAL WORK-STUDY PROGRAM $257,699
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $168,199
84.021 OVERSEAS PROGRAMS - GROUP PROJECTS ABROAD $104,391
47.049 MATHEMATICAL AND PHYSICAL SCIENCES $84,387
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $73,919
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $18,680
43.001 SCIENCE $8,473
45.162 PROMOTION OF THE HUMANITIES TEACHING AND LEARNING RESOURCES AND CURRICULUM DEVELOPMENT $7,260
81.049 OFFICE OF SCIENCE FINANCIAL ASSISTANCE PROGRAM $2,386