Finding 1181742 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-20

AI Summary

  • Core Issue: Institutions must inform the guaranty agency or lender within 30 days if a student who received a loan is no longer enrolled at least half-time.
  • Impacted Requirements: This applies to Stafford, SLS, or PLUS Loans and is crucial for compliance with federal regulations.
  • Recommended Follow-Up: Ensure timely reporting processes are in place to avoid penalties and maintain compliance.

Finding Text

34 CFR 682.610 (c) (2) - The institution shall notify the guaranty agency or lender within 30 days if it discovers that a Stafford, SLS, or PLUS Loan has been made to or on behalf of a student who enrolled at the institution but has ceased to be enrolled on at least a half –time basis, unless the institution expects to submit its next student status confirmation report to the Secretary within the next 60 days.

Corrective Action Plan

The University acknowledges the finding and affirms its commitment to full compliance with federal enrollment reporting requirements.Following the prior-year finding, management implemented enhanced internal controls, including:Peer review of enrollment status reports prior to submission.Reconciliation of student status lists between the Registrar's Office and Financial Aid Office.Monitoring of submission confirmations to ensure successful transmission to NSLDS.Despite these controls, a programming error within the Student Information System (SIS) caused enrollment status change dates to become corrupted during the electronic transmission process from the SIS to the National Student Clearinghouse and subsequently to NSLDS. As a result, certain reported dates did not accurately reflect the actual effective date of the student's enrollment change. The issue was technical in nature and not the result of failure to perform the reporting process.

Categories

Matching / Level of Effort / Earmarking

Programs in Audit

ALN Program Name Expenditures
84.063 FEDERAL PELL GRANT PROGRAM $4.70M
84.268 FEDERAL DIRECT STUDENT LOANS $1.69M
84.042 TRIO STUDENT SUPPORT SERVICES $535,760
84.031 HIGHER EDUCATION INSTITUTIONAL AID $305,083
84.033 FEDERAL WORK-STUDY PROGRAM $142,561
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $63,985
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $38,973