Finding 1181609 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-19
Audit: 392841
Organization: Clark Atlanta University (GA)
Auditor: KPMG LLP

AI Summary

  • Core Issue: Delays in reporting student status changes to NSLDS, with some reports submitted 78 to 120 days late.
  • Impacted Requirements: Non-compliance with federal regulations requiring timely updates to student status and accurate reporting of enrollment data.
  • Recommended Follow-Up: Improve internal controls for reviewing enrollment status and data accuracy, including implementing a secondary review process for timely submissions.

Finding Text

Finding 2025-001: NSLDS Reporting Federal Agency U.S. Department of Education Federal Program Student Financial Assistance Cluster (CFDA # 84.268, 84.063) Federal Award Year July 1, 2024 through June 30, 2025 46 (Continued) Federal Award Numbers P268K251300; P063P241300 Criteria or Requirement Per Sections 34 CFR 690.83(b)(2) and 34 CFR 685.309, a school shall update the student status confirmation report for changes in student status, report the date the enrollment status was effective and return the student status confirmation report to the Secretary within 30 days unless it plans to submit an enrollment report within the next 60 days of receipt. Per Sections 4.4.2 through 4.4.4 of the NSLDS enrollment reporting guide, institutions are responsible for accurately reporting all Campus-Level Record data elements and considers certain data elements to be high risk including OPEID Number, Enrollment Effective Date, Enrollment Status, and Certification Date. Per Section 4.4.8 of the NSLDS enrollment reporting guide, institutions are responsible for accurately reporting all Program-Level Record data elements and considers certain data elements to be high risk including OPEID Number, CIP Code, CIP Year, Credential Level, Published Program Length Measurement, Published Program Length, Program Begin Date, Program Enrollment Status, and Program Enrollment Effective Date. Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Condition Found For 3 out of 40 students, the graduate status was reported to NSLDS between 78 and 101 days after the date the school became aware of the status change. There were a total of 34 graduates from the Spring 2025 semester, certified outside of the normal graduation timeline, for which this same condition applied. For 1 out of 40 students, the three-quarter time status was reported to NSLDS 120 days after the date the school became aware of the status change. For 1 out of 40 students, the half-time status with an effective date of 8/21/2024 was not reported to NSLDS Program-Level Record data. For 1 out of 40 students, the effective date for the half-time status reported to NSLDS per the Program-Level Record data does not match the Campus-Level Record data by 19 days. Possible Cause and Asserted Effect The control that management reviews all reports for the accuracy of all data elements prior to submission was not operating at a level to identify all discrepancies. Questioned Costs None identified. Identification of Whether the Audit Finding is a Repeat of a Finding in the Immediately Prior Audit No. Recommendation We recommend the University enhance the precision of the control around the review of accuracy and timeliness of the enrollment statuses, program level data records, and campus level data records within the NSLDS reporting submissions. Views of Responsible Officials The University agrees with the finding as written. Responsibility for NSLDS reporting submissions of enrollment statuses, program level data records, and campus level data records lies within the Office of the Registrar. For the three instances of enrollment status change and consistency with program-level record data, these relate to the omission of changing a program-level effective date but not a campus-level effective date. Procedures are being updated and appropriate review and reporting for any status changes will have secondary review going forward. The graduation date reporting errors relate to students whose graduation certification occurred outside the normal bounds of semester-end graduation cycles, again requiring a more manual human intervention to ensure timely reporting. The Office of the Registrar is implementing procedures for system reporting and a secondary reviewer of all graduation status changes on a monthly basis to ensure timely filing, and procedures also are updated to ensure manual updating of Clearinghouse to NSLDS records immediately upon logging any off-cycle graduation in the Office of the Registrar. This ensures a double review - at the time of the off-cycle record change, and in the monthly reporting of all status changes which will be reviewed and sent to NSLDS via Clearinghouse.

Corrective Action Plan

Develop a Strategic Plan of Action ensuring data accuracy and timely transmission of Enrollment Status Reports & Degree Verification Reports to the National Student Clearinghouse for further submission to NSLDS. The plan will establish a structured, repeatable process to:  Validate the accuracy of student enrollment and degree data prior to NSCH submission.  Ensure timely transmission of Enrollment Status Reports (ESRs) and Degree Verification Reports (DVRs).  Strengthen internal controls, documentation, and audit readiness with system-generated audit reports and dual review.  Improve communication among Registrar, IT, Institutional Research, and Financial Aid. Susan W. Gibson, University Registrar James Stotts, Associate VP Financial Aid Tansha Gillins, Principal Analyst June 30, 2026 Due to BANNER SaaS system upgrade in progress, this action will be completed by June 30, 2026, to allow for report writing in the new reporting tool postimplementation Immediate action: To ensure timely reporting to National Student Clearinghouse and NSLDS, reports will be generated bi-weekly. ISE scheduler will be used to extract baseline data from BANNER for uploading the Enrollment Status Report to National Student Clearing biweekly with off-cycle adjustments as needed. Initial errors will be identified and corrected using a dual-review process before uploading the report to NSCH. Martha Henderson, Associate Registrar Tansha Gillins, Principal Analyst On-going activity Beginning March 30, 2026 The Degree Verification Report will be generated monthly to ensure that graduation status is reported within the timeframe required by NSLDS. Graduation lists will be forwarded to the Office of Financial Aid for dual review and validation to confirm the accuracy of the data and the timeliness of certification to NSLDS. Martha Henderson, Associate Registrar Palmira Wakhisi, Financial Aid On-going activity Beginning May 20, 2026

Categories

Student Financial Aid Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1181608 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $103.43M
84.063 FEDERAL PELL GRANT PROGRAM $17.88M
84.031 HIGHER EDUCATION INSTITUTIONAL AID $12.53M
93.307 MINORITY HEALTH AND HEALTH DISPARITIES RESEARCH $2.36M
84.038 FEDERAL PERKINS LOAN PROGRAM_FEDERAL CAPITAL CONTRIBUTIONS $2.05M
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $708,194
93.732 MENTAL AND BEHAVIORAL HEALTH EDUCATION AND TRAINING GRANTS $632,532
84.033 FEDERAL WORK-STUDY PROGRAM $606,444
84.047 TRIO UPWARD BOUND $592,731
15.932 PRESERVATION OF HISTORIC STRUCTURES ON THE CAMPUSES OF HISTORICALLY BLACK COLLEGES AND UNIVERSITIES (HBCUS). $478,243
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $427,344
84.044 TRIO TALENT SEARCH $315,242
19.009 ACADEMIC EXCHANGE PROGRAMS - UNDERGRADUATE PROGRAMS $307,703
16.753 CONGRESSIONALLY RECOMMENDED AWARDS $306,237
84.325 SPECIAL EDUCATION - PERSONNEL DEVELOPMENT TO IMPROVE SERVICES AND RESULTS FOR CHILDREN WITH DISABILITIES $284,007
47.041 ENGINEERING $229,897
16.560 NATIONAL INSTITUTE OF JUSTICE RESEARCH, EVALUATION, AND DEVELOPMENT PROJECT GRANTS $217,796
12.630 BASIC, APPLIED, AND ADVANCED RESEARCH IN SCIENCE AND ENGINEERING $194,595
84.116 FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION $179,901
81.049 OFFICE OF SCIENCE FINANCIAL ASSISTANCE PROGRAM $158,134
81.135 ADVANCED RESEARCH PROJECTS AGENCY - ENERGY $134,404
81.U03 HEROX Alliance for Sustainability $133,497
47.083 INTEGRATIVE ACTIVITIES $116,241
84.184 SCHOOL SAFELY NATIONAL ACTIVITIES $107,662
81.137 MINORITY ECONOMIC IMPACT $106,443
81.117 ENERGY EFFICIENCY AND RENEWABLE ENERGY INFORMATION DISSEMINATION, OUTREACH, TRAINING AND TECHNICAL ANALYSIS/ASSISTANCE $97,562
47.049 MATHEMATICAL AND PHYSICAL SCIENCES $78,860
93.395 CANCER TREATMENT RESEARCH $74,826
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $65,267
45.309 MUSEUM GRANTS FOR AFRICAN AMERICAN HISTORY AND CULTURE $59,064
81.087 RENEWABLE ENERGY RESEARCH AND DEVELOPMENT $54,970
12.800 AIR FORCE DEFENSE RESEARCH SCIENCES PROGRAM $51,464
10.652 FORESTRY RESEARCH $42,803
47.070 COMPUTER AND INFORMATION SCIENCE AND ENGINEERING $37,661
47.084 NSF TECHNOLOGY, INNOVATION, AND PARTNERSHIPS $33,752
93.859 BIOMEDICAL RESEARCH AND RESEARCH TRAINING $28,416
81.U01 Building Energy Modeling Workflows to Support Clean Energy Programs in Underserved Communities $24,792
12.300 BASIC AND APPLIED SCIENTIFIC RESEARCH $18,784
81.U02 Summer Enrichment Battery Chemistry and Fuels Cell Program $18,757
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $14,617
16.525 GRANTS TO REDUCE DOMESTIC VIOLENCE, DATING VIOLENCE, SEXUAL ASSAULT, AND STALKING ON CAMPUS $11,888
47.074 BIOLOGICAL SCIENCES $7,050