Finding 1165648 (2025-001)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2025-12-19
Audit: 376312
Organization: Berry College (GA)
Auditor: BDO USA PC

AI Summary

  • Core Issue: The estimated cost of attendance for 5 out of 25 students was calculated incorrectly due to administrative oversight.
  • Impacted Requirements: The College failed to comply with federal requirements for calculating the cost of attendance for Title IV programs.
  • Recommended Follow-Up: Enhance procedures for cost of attendance calculations and consider automating the programming process to prevent future errors.

Finding Text

Finding 2025-001 Federal Program Information: Student Financial Aid Cluster (ALN: Various) Criteria or Specific Requirement: E. Eligibility - Cost of Attendance - For Title IV programs, the cost of attendance is generally the sum of the following: tuition and fees; an allowance for books, course materials, supplies, equipment, transportation, and miscellaneous personal expenses; an allowance for food and housing; when applicable, allowances for costs for dependent care; cost of obtaining a license, certification, or a first professional credential; costs associated with study abroad and cooperative education; costs related to disabilities; and fees charged for Federal student loans (34 CFR 668.43). Condition: For 5 students selected for testing, the student’s estimated cost of attendance was not properly calculated. Cause: Administrative oversight. Effect or Possible Effect: The College was not in compliance with requirements for calculating cost of attendance. Questioned Costs: $0 Context: 5 out of 25 students selected for testing. Identification of Repeat Finding: There were no similar findings identified during the prior year. Recommendation: We recommend the College enhance its procedures over cost of attendance to ensure it is calculated correctly. Views of Responsible Officials: Management agrees with the finding that the estimated Cost of Attendance (COA) for the summer term was calculated incorrectly for five students. Because the summer term includes multiple sessions, the COA multi-step programming process in PowerFAIDS, the College’s financial aid management software, including the review of COA selection metrics, are manual. In April 2025, the College migrated its ERP software and PowerFAIDS to cloud-based platforms. This transaction required significant time from Office of Financial Aid (OFA) staff to test system functionality and validate migrated data to ensure a smooth go-live. As these efforts coincided with summer COA programming, the capacity for thorough review and comprehensive functional testing of summer COA setup was reduced. Going forward, the OFA will assign a staff member, separate from the individual handling COA programming, to review the COA selection metrics. In addition, the OFA will evaluate the potential of automating COA programming processes.

Corrective Action Plan

Finding 2025-001 Name of Responsible Individual: Noemi Sarrion, Director of Financial Aid Corrective Action Plan: Management agrees with the finding that the estimated Cost of Attendance (COA) for the summer term was calculated incorrectly for five students. Because the summer term includes multiple sessions, the COA multi-step programming process in PowerFAIDS, the College’s financial aid management software, including the review of COA selection metrics, are manual. In April 2025, the College migrated its ERP software and PowerFAIDS to cloud-based platforms. This transaction required significant time from Office of Financial Aid (OFA) staff to test system functionality and validate migrated data to ensure a smooth go-live. As these efforts coincided with summer COA programming, the capacity for thorough review and comprehensive functional testing of summer COA setup was reduced. Going forward, the OFA will assign a staff member, separate from the individual handling COA programming, to review the COA selection metrics. In addition, the OFA will evaluate the potential of automating COA programming processes. Anticipated Completion Date: May 1, 2026

Categories

Student Financial Aid Eligibility Equipment & Real Property Management Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1165644 2025-001
    Material Weakness Repeat
  • 1165645 2025-001
    Material Weakness Repeat
  • 1165646 2025-001
    Material Weakness Repeat
  • 1165647 2025-001
    Material Weakness Repeat
  • 1165649 2025-002
    Material Weakness Repeat
  • 1165650 2025-002
    Material Weakness Repeat
  • 1165651 2025-003
    Material Weakness Repeat
  • 1165652 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $9.08M
84.063 FEDERAL PELL GRANT PROGRAM $4.78M
93.493 CONGRESSIONAL DIRECTIVES $645,872
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $463,748
84.033 FEDERAL WORK-STUDY PROGRAM $309,837
84.042 TRIO STUDENT SUPPORT SERVICES $304,756
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $153,355
93.859 BIOMEDICAL RESEARCH AND RESEARCH TRAINING $38,052
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $26,395
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $15,088
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $0