Finding Text
US DEPARTMENT OF EDUCATION Student Financial Assistance Cluster CFDA# 84.033, 84.063, 84.007, and 84.268 Reporting – Common Origination and Disbursement (COD) Reporting Material Weakness in Internal Control over Compliance Criteria: Institutions are required to submit Direct Loan and Pell Grant origination and disbursement records to the COD system within 15 calendar days after the institution makes a disbursement. For the 2024-2025 award year, due to batch correction issues, institutions were not required to report disbursements until November 30, 2024 or 15 calendar days after disbursement, whichever is later. Condition: During our testing over the COD reporting requirements, we noted that the reporting was done but was done outside of the 15-day window (or November 30, 2024 deadline as applicable) for the majority of the 40 students we tested. Cause: The College experienced problems with EDConnect software and other system issues which caused at least one late report for the majority of the students tested Effect: The College is not in compliance with the COD reporting requirements described in the OMB Compliance Supplement and required by the Department of Education. Questioned Costs: None reported Context/Sampling: The College disbursed Federal financial aid to approximately 829 students in the 2024-2025 school year. A non-statistical sampling of 40 students was selected for testing. Repeat Finding: No Auditor’s recommendation: The College should implement additional processes to ensure disbursement data gets reported timely and to follow up on software issues as soon as possible. Management’s response: We have implemented automated alerts in Jenzabar and scheduled weekly compliance checks. IT is working with EDConnect to prevent future delays.