Finding 1172523 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-02-05
Audit: 385745
Organization: Drake University (IA)

AI Summary

  • Core Issue: The University failed to report changes in student enrollment status to NSLDS on time, violating federal regulations.
  • Impacted Requirements: Compliance with 34 CFR 685.309(b) requires timely reporting of enrollment status changes within 30 days or the next scheduled transmission.
  • Recommended Follow-Up: The University should review and improve its reporting procedures to ensure timely updates to NSLDS, addressing the issues identified in the audit.

Finding Text

Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Award Period: July 1, 2024 to June 30, 2025 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other matter Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to NSLDS through an enrollment roster file. The school is required to report changes in the student’s enrollment status, the effective date of the status, and an anticipated completion date as well as program enrollment effective date. Changes to a students' status are required to be reported within 30 days of becoming aware of the status change, or with the next scheduled transmission of statuses if the scheduled transmission is within 60 days. Condition: During our testing, we noted 6 out of the 40 students tested where the students' change in status was not reported in a timely manner. Questioned Costs: None reported. Context: During our testing, it was noted the University identified the status changes outside of their regular enrollment reporting schedule, so the reporting to NSLDS was not done timely. Cause: For 3 of the 6 students, the students were submitted to the National Student Clearinghouse and the Clearinghouse notified the University the reporting was submitted to the NSLDS. However, these students were included on an exceptions report that was not included in the report to NSLDS. Due to personnel changes in the Registrar’s Office, the exceptions report did not get reviewed timely. For the other 3 of the 6 students, the students were submitted to the National Student Clearinghouse, however there was a delay in the Clearinghouse reporting to the NSLDS. Effect: The University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes: 2024-001 Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the student status changes are being reported timely. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Recommendation: We recommend the University reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to put a process in place to ensure the student status changes are being reported timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Registrar’s Office has put in place steps to ensure that any exception reports from the Clearinghouse are immediately reviewed and any exceptions are addressed and resubmitted. In addition, the Registrar’s Office has put in place steps to ensure that students are submitted to the Clearinghouse early enough so that they will still be submitted by the Clearinghouse to NSLDS timely, even if there are delays by the Clearinghouse. Name(s) of the contact person(s) responsible for corrective action: Kristin Dvorak, University Registrar; Kevin Moenkhaus, Associate Registrar Planned completion date for corrective action plan: January 2026

Categories

Student Financial Aid Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1172517 2025-001
    Material Weakness Repeat
  • 1172518 2025-001
    Material Weakness Repeat
  • 1172519 2025-001
    Material Weakness Repeat
  • 1172520 2025-001
    Material Weakness Repeat
  • 1172521 2025-001
    Material Weakness Repeat
  • 1172522 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $36.15M
93.600 HEAD START $12.92M
84.063 FEDERAL PELL GRANT PROGRAM $4.38M
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $2.14M
93.342 HEALTH PROFESSIONS STUDENT LOANS, INCLUDING PRIMARY CARE LOANS AND LOANS FOR DISADVANTAGED STUDENTS $790,720
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $750,102
84.033 FEDERAL WORK-STUDY PROGRAM $447,896
93.211 TELEHEALTH PROGRAMS $387,102
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $374,517
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $277,772
10.558 CHILD AND ADULT CARE FOOD PROGRAM $269,516
84.129 REHABILITATION LONG-TERM TRAINING $242,519
93.576 REFUGEE AND ENTRANT ASSISTANCE DISCRETIONARY GRANTS $192,530
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $186,372
47.049 MATHEMATICAL AND PHYSICAL SCIENCES $112,684
19.009 ACADEMIC EXCHANGE PROGRAMS - UNDERGRADUATE PROGRAMS $76,067
47.074 BIOLOGICAL SCIENCES $76,034
81.049 OFFICE OF SCIENCE FINANCIAL ASSISTANCE PROGRAM $52,600
95.006 MODEL ACTS PROGRAM $26,850
47.083 INTEGRATIVE ACTIVITIES $25,942
12.431 BASIC SCIENTIFIC RESEARCH $21,311
10.310 AGRICULTURE AND FOOD RESEARCH INITIATIVE (AFRI) $20,826
43.008 OFFICE OF STEM ENGAGEMENT (OSTEM) $13,000
47.070 COMPUTER AND INFORMATION SCIENCE AND ENGINEERING $1,638