Finding 1176476 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-04
Audit: 390287
Organization: Salem State University (MA)

AI Summary

  • Core Issue: Salem State University failed to report a student's enrollment status change to NSLDS within the required 60-day timeframe.
  • Impacted Requirements: The university did not follow federal regulations (2 CFR 200.303, 34 CFR 685.309, 34 CFR 690.83(b)(2)) for timely reporting of enrollment changes.
  • Recommended Follow-Up: Review and improve reporting procedures to ensure compliance with federal regulations and timely updates to NSLDS.

Finding Text

Finding number: 2025-001 Federal agency: U.S. Department of Education Programs: Student Financial Assistance Cluster AL #: 84.063 and 84.268 Award year: 2025 Criteria The Code of Federal Regulations, consisting of 2 CFR 200.303, 34 CFR 685.309, and 34 CFR 690.83(b)(2), requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Additionally, schools are required to certify enrollment at a minimum of every 60 days or every other month. Condition During our testing of NSLDS Enrollment Reporting for Salem State University, we noted 1 of the 40 students tested had a status change received by NSLDS outside of the 60-day reporting time frame. Cause The University’s Registrar was not made aware of the student’s status change in a timely manner by the student’s academic advisor. As a result, the student’s change in status was delayed in reporting to NSLDS. The University’s policies and procedures were not properly followed to ensure that student status changes were timely reported to NSLDS. Effect The NSLDS system is not updated with the student information which can cause over-awarding should the student transfer to another institution and the student may not properly enter the repayment period. Questioned Costs N/A Perspective Our sample was not, and was not intended to be, statistically valid. Of the 40 students selected for testing, 1 student, or 2.5% of our sample, had a change in status reported outside of the 60-day reporting time frame. Identification as a Repeat Finding, if applicable N/A Recommendation The University should review their reporting procedures to ensure that students’ statuses are timely reported to NSLDS as required by Federal regulations. View of Responsible Officials The University agrees with the finding. This issue was the result of human error, as established procedures were not followed in which a student withdrawal was not forwarded to the Registrar’s Office, preventing timely reporting to NSLDS. The student’s official withdrawal request was not transmitted by the office responsible for approving student leaves and withdrawals to the Registrar’s Office for processing, resulting in the absence of the required enrollment update in the student information system.

Corrective Action Plan

Finding number: 2025-001 Federal agency: U.S. Department of Education Programs: Student Financial Assistance Cluster AL #: 84.063 and 84.268 Award year: 2025 Corrective Action Plan: This issue was the result of human error, as established procedures were not followed in which a student withdrawal was not forwarded to the Registrar’s Office, preventing timely reporting to NSLDS. The student’s official withdrawal request was not transmitted by the office responsible for approving student leaves and withdrawals to the Registrar’s Office for processing, resulting in the absence of the required enrollment update in the student information system. In response, the Registrar’s Office has implemented a revised procedure for the handling of late leave requests and will coordinate directly with the Financial Aid Office to ensure accurate updates to the NSLDS. Staff in the Advising Office have been retrained on proper transmission protocols, and both the Registrar’s Office and Advising Office have instituted additional quality control and tracking measures to ensure that all leaves and withdrawals are processed and reported in a timely and compliant manner. Timeline for Implementation of Corrective Action Plan: The corrective action plan was implemented as of October 2025. Contact Person Megan Miller, University Registrar

Categories

Student Financial Aid Reporting

Other Findings in this Audit

  • 1176475 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $25.24M
84.063 FEDERAL PELL GRANT PROGRAM $12.29M
84.042 TRIO STUDENT SUPPORT SERVICES $597,638
59.037 SMALL BUSINESS DEVELOPMENT CENTERS $523,415
84.033 FEDERAL WORK-STUDY PROGRAM $515,852
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $357,830
84.047 TRIO UPWARD BOUND $329,407
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $43,693
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $29,706
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $22,154
45.161 PROMOTION OF THE HUMANITIES RESEARCH $17,545
66.456 NATIONAL ESTUARY PROGRAM $16,373
47.050 GEOSCIENCES $12,853
93.364 NURSING STUDENT LOANS $10,859
84.116 FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION $9,808
19.415 PROFESSIONAL AND CULTURAL EXCHANGE PROGRAMS - CITIZEN EXCHANGES $8,013
84.411 EDUCATION INNOVATION AND RESEARCH (FORMERLY INVESTING IN INNOVATION (I3) FUND) $6,450
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $1,461
84.016 UNDERGRADUATE INTERNATIONAL STUDIES AND FOREIGN LANGUAGE PROGRAMS $35