FAC Explorer

Finding 1170293 (2024-007)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2026-01-22
Audit: 383421
Organization: Kentucky State University (KY)
Auditor: CLIFTONLARSONALLEN LLP

AI Summary

  • Core Issue: The institution failed to keep required documentation for students selected for verification, leading to potential inaccuracies in reported information.
  • Impacted Requirements: Compliance with 34 CFR 668.51 through 668.61, which mandates proper verification processes and documentation retention.
  • Recommended Follow-Up: Management should enhance electronic storage systems to securely retain student verification documentation.

Finding Text

2024 – 007 – Verification Federal Agency: U.S. Department of Education Federal Program Name: Federal Supplemental Educational Opportunity Grant Program, Federal Pell Grant Program; Federal Direct Student Loans; Federal Work Study Program Assistance Listing Number: 84.007; 84.063; 84.268; 84.033 Federal Award Identification Number and Year: P007A171583; P007A231583; P063P190147; P063P210147; P063P220147; P063P230147; P063Q210147; P063Q220147; P268K230147; P268K240147; P033A211583; P033A231583 - 2024 Award Period: July 1, 2023 – June 30, 2024 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or specific requirement: An institution is required to establish written policies and procedures that incorporate the provisions of 34 CFR 668.51 through 668.61 for verifying applicant information for those applicants selected for verification by ED. The institution shall require each applicant whose application is selected by ED to verify the information required for the Verification Tracking Group to which the applicant is assigned. Condition: Supporting documentation for students who were selected for verification was not maintained. Questioned costs: None. Context: During our testing of students selected for verification, we selected a sample of twenty-two students to test for proper documentation of verification. Three of the twenty-two students tested had instances of noncompliance as the institution did not retain statements of educational purpose, as required. Cause: The University's policies and procedures did not ensure retention of required documentation. Effect: Student could report incorrect information which could lead to incorrect EFC and over awarding of aid. Repeat Finding: Yes, 2023-012 Recommendation: We recommend management retain electronic files of student verification documentation more securely within school systems/networks. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Federal Agency: U.S. Department of Education Federal Program Name: Federal Supplemental Educational Opportunity Grant Program, Federal Pell Grant Program; Federal Direct Student Loans; Federal Work Study Program Assistance Listing No.: 84.007; 84.063; 84.268; 84.033 Recommendation: We recommend management retain electronic files of student verification documentation more securely within school systems/networks. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Procedures were implemented in FY25 to maintain documentation in Banner to ensure that student statements are properly processed and retained. Name(s) of the contact person(s) responsible for corrective action: Varah Barnett, Director of Financial Aid Planned completion date for corrective action plan: Complete

Categories

Student Financial Aid Significant Deficiency

Other Findings in this Audit

  • 1170284 2024-006
    Material Weakness Repeat
  • 1170285 2024-006
    Material Weakness Repeat
  • 1170286 2024-006
    Material Weakness Repeat
  • 1170287 2024-006
    Material Weakness Repeat
  • 1170288 2024-006
    Material Weakness Repeat
  • 1170289 2024-006
    Material Weakness Repeat
  • 1170290 2024-007
    Material Weakness Repeat
  • 1170291 2024-007
    Material Weakness Repeat
  • 1170292 2024-007
    Material Weakness Repeat
  • 1170294 2024-008
    Material Weakness Repeat
  • 1170295 2024-009
    Material Weakness Repeat
  • 1170296 2024-010
    Material Weakness Repeat
  • 1170297 2024-010
    Material Weakness Repeat
  • 1170298 2024-010
    Material Weakness Repeat
  • 1170299 2024-010
    Material Weakness Repeat
  • 1170300 2024-011
    Material Weakness Repeat
  • 1170301 2024-011
    Material Weakness Repeat
  • 1170302 2024-011
    Material Weakness Repeat
  • 1170303 2024-011
    Material Weakness Repeat
  • 1170304 2024-011
    Material Weakness Repeat
  • 1170305 2024-011
    Material Weakness Repeat
  • 1170306 2024-012
    Material Weakness Repeat
  • 1170307 2024-012
    Material Weakness Repeat
  • 1170308 2024-012
    Material Weakness Repeat
  • 1170309 2024-012
    Material Weakness Repeat
  • 1170310 2024-013
    Material Weakness Repeat
  • 1170311 2024-013
    Material Weakness Repeat
  • 1170312 2024-014
    Material Weakness Repeat
  • 1170313 2024-015
    Material Weakness Repeat
  • 1170314 2024-016
    Material Weakness Repeat
  • 1170315 2024-017
    Material Weakness Repeat
  • 1170316 2024-017
    Material Weakness Repeat
  • 1170317 2024-018
    Material Weakness Repeat
  • 1170318 2024-018
    Material Weakness Repeat
  • 1170319 2024-019
    Material Weakness Repeat
  • 1170320 2024-019
    Material Weakness Repeat
  • 1170321 2024-019
    Material Weakness Repeat
  • 1170322 2024-019
    Material Weakness Repeat
  • 1170323 2024-019
    Material Weakness Repeat
  • 1170324 2024-019
    Material Weakness Repeat
  • 1170325 2024-019
    Material Weakness Repeat
  • 1170326 2024-019
    Material Weakness Repeat
  • 1170327 2024-019
    Material Weakness Repeat
  • 1170328 2024-019
    Material Weakness Repeat
  • 1170329 2024-019
    Material Weakness Repeat
  • 1170330 2024-019
    Material Weakness Repeat
  • 1170331 2024-020
    Material Weakness Repeat
  • 1170332 2024-020
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $10.18M
84.063 FEDERAL PELL GRANT PROGRAM $5.38M
10.205 PAYMENTS TO 1890 LAND-GRANT COLLEGES AND TUSKEGEE UNIVERSITY $4.79M
84.425 EDUCATION STABILIZATION FUND $2.70M
10.524 SCHOLARSHIPS FOR STUDENTS AT 1890 INSTITUTIONS $1.51M
10.512 EXTENSION SERVICES AT 1890 COLLEGES AND TUSKEGEE UNIVERSITY, WEST VIRGINIA STATE COLLEGE, AND CENTRAL STATE UNIVERSITY $823,316
84.382 STRENGTHENING MINORITY-SERVING INSTITUTIONS $388,732
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $342,661
84.031 HIGHER EDUCATION INSTITUTIONAL AID $248,774
16.726 JUVENILE MENTORING PROGRAM $219,372
10.216 1890 INSTITUTION CAPACITY BUILDING GRANTS $171,463
10.229 EXTENSION COLLABORATIVE ON IMMUNIZATION TEACHING & ENGAGEMENT $154,867
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $144,896
10.443 OUTREACH AND ASSISTANCE FOR SOCIALLY DISADVANTAGED AND VETERAN FARMERS AND RANCHERS $139,844
84.033 FEDERAL WORK-STUDY PROGRAM $130,545
10.937 PARTNERSHIPS FOR CLIMATE-SMART COMMODITIES $118,066
10.237 FROM LEARNING TO LEADING: CULTIVATING THE NEXT GENERATION OF DIVERSE FOOD AND AGRICULTURE PROFESSIONALS $105,772
10.175 FARMERS MARKET AND LOCAL FOOD PROMOTION PROGRAM $82,888
84.042 TRIO STUDENT SUPPORT SERVICES $60,354
10.025 PLANT AND ANIMAL DISEASE, PEST CONTROL, AND ANIMAL CARE $54,210
10.523 CENTERS OF EXCELLENCE AT 1890 INSTITUTIONS $42,989
10.147 OUTREACH EDUCATION AND TECHNICAL ASSISTANCE $42,846
81.089 FOSSIL ENERGY RESEARCH AND DEVELOPMENT $41,056
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $40,044
10.310 AGRICULTURE AND FOOD RESEARCH INITIATIVE (AFRI) $29,109
10.500 COOPERATIVE EXTENSION SERVICE $29,066
12.905 CYBERSECURITY CORE CURRICULUM $28,257
93.859 BIOMEDICAL RESEARCH AND RESEARCH TRAINING $21,929
10.215 SUSTAINABLE AGRICULTURE RESEARCH AND EDUCATION $19,354
10.311 BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM $16,617
10.561 STATE ADMINISTRATIVE MATCHING GRANTS FOR THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM $14,668
10.001 AGRICULTURAL RESEARCH BASIC AND APPLIED RESEARCH $10,949
10.514 EXPANDED FOOD AND NUTRITION EDUCATION PROGRAM $6,295
10.515 RENEWABLE RESOURCES EXTENSION ACT $5,335
84.047 TRIO UPWARD BOUND $3,232
93.969 PPHF GERIATRIC EDUCATION CENTERS $2,198
10.226 SECONDARY EDUCATION, TWO-YEAR POSTSECONDARY EDUCATION, AND AGRICULTURE IN THE K-12 CLASSROOM $1,251
47.083 INTEGRATIVE ACTIVITIES $-1,218
10.202 COOPERATIVE FORESTRY RESEARCH $-3,540