Finding 1185 (2023-003)

Significant Deficiency
Requirement
H
Questioned Costs
-
Year
2023
Accepted
2023-11-03

AI Summary

  • Issue: The Institution delayed distributing $1,405,838 in HEERF – Student Portion funds for nearly a year.
  • Requirement: Funds should be paid to students in a timely manner as per federal guidelines.
  • Follow-up: Review the distribution process and implement measures to ensure timely payments in the future.

Finding Text

The Institution drew down $1,405,838 in HEERF – Student Portion funds in July 2021 but did not pay to students until April through November 2022.

Corrective Action Plan

The Institution does not dispute this finding. The Institution learned that it was not unique in misinterpreting the usage guidelines defined by the federal program. Upon learning that the interpretation was incorrect, the Institution immediately communicated with ED. These communications led to an accommodation from ED regarding the completeness of the Institution’s subsequent procedures. ED also permitted the Institution to retain the drawn down funds while it proceeded with disbursements to students between April and August 2022. In August 2022, the Institution returned the excess funds drawn down. Subsequent to August 2022, HEERF funds drawn down were in accordance with the federal program guidelines.

Categories

No categories assigned yet.

Other Findings in this Audit

  • 1183 2023-001
    Significant Deficiency
  • 1184 2023-002
    Significant Deficiency
  • 577625 2023-001
    Significant Deficiency
  • 577626 2023-002
    Significant Deficiency
  • 577627 2023-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.91M
84.425 Crrsaa Heerf II & Arp Heerf III $1.11M
84.063 Federal Pell Grant $943,180
84.007 Federal Supplemental Educational Opportunity Grant $36,811
84.033 Federal Work Study Program $36,712