Finding 1164254 (2024-005)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-12-09
Audit: 373530
Organization: Manor College (PA)
Auditor: SMITH+HOWARD PC

AI Summary

  • Core Issue: The College failed to return unearned Title IV funds within the required 45 days due to inaccurate calculations and lack of timely documentation.
  • Impacted Requirements: Compliance with CFR 667.22(j)(1) was not met, leading to potential unidentified return requirements for students.
  • Recommended Follow-up: Implement procedures to synchronize financial aid and registrar systems, ensuring consistent documentation of student enrollment changes.

Finding Text

Federal Agency: Department of Education ALN Number: 84.063, 84.268, 84.033, 84.007 Criteria: Per the requirements under the program under CFR 667.22(j)(1), institutions must return unearned Title IV funds within 45 days of the date the institution determined the student withdrew. Condition: During our testing, we noted that the College did not properly (or timely) calculate (or return timely) Title IV funds. While some of our testing selections resulted in the ability to calculate amounts that needed to be returned, many of our testing selections were unable to be completely tested in order to derive exact amounts that should be returned. Context: Out of a sample of 25 students selected for testing, we identified 2 students that would have had a return requirement that went unidentified until the audit was conducted. Further, during our testing, the College had trouble providing supporting documentation to support the exact withdrawal date, therefore, we were unable to accurately determine the exact amounts that should be returned for some of our selections. Out of our 25 student selections, 12 of our selections were unable to be fully tested to determine whether a return requirement was present. Questioned Costs: Unknown. Cause: Lack of clear and timely documentation and communication between registrar and financial aid office. Effect: The College did not operate in accordance with the special reporting compliance requirement. Recommendation: The College should develop procedures to have the financial aid and registrar information systems be kept in sync with each other, and clear and definitive documentation relating to student changes in enrollment should be kept consistently between offices. This will ensure proper consideration of the special reporting compliance requirement is properly given. Grantee Comment: Refer to Corrective Action Plan

Corrective Action Plan

Policy and Procedure on coordination and reconciliation

Categories

Student Financial Aid Reporting

Other Findings in this Audit

  • 1164244 2024-003
    Material Weakness Repeat
  • 1164245 2024-004
    Material Weakness Repeat
  • 1164246 2024-005
    Material Weakness Repeat
  • 1164247 2024-003
    Material Weakness Repeat
  • 1164248 2024-003
    Material Weakness Repeat
  • 1164249 2024-003
    Material Weakness Repeat
  • 1164250 2024-004
    Material Weakness Repeat
  • 1164251 2024-004
    Material Weakness Repeat
  • 1164252 2024-004
    Material Weakness Repeat
  • 1164253 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 STUDENT FINANCIAL ASSISTANCE $2.95M
84.063 FEDERAL PELL GRANT PROGRAM $1.58M
84.116 FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION $732,055
84.031 HIGHER EDUCATION INSTITUTIONAL AID $242,097
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $49,633
84.033 FEDERAL WORK-STUDY PROGRAM $35,048