Finding 1190893 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-27
Audit: 395188
Organization: Northwest Nazarene University (ID)

AI Summary

  • Core Issue: The University failed to report enrollment status changes for 7 out of 40 students within the required 60-day timeframe.
  • Impacted Requirements: Compliance with 34 CFR 685.309, which mandates timely and accurate reporting of student status changes to NSLDS.
  • Recommended Follow-Up: The University should review and improve its procedures for reporting status changes to ensure compliance with federal regulations.

Finding Text

Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Aid Cluster – Various Assistance Listing Number: Various Federal Award Identification Number and Year: Various Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2024 through June 30, 2025 Type of Finding: • Significant Deficiency in Internal Control Over Compliance • Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309 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. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: Durning our testing, it was noted that the change in status was reported outside the required 60 day window for 7 of the 40 students tested. Questioned Costs: None Cause: The University did not have a process in place to ensure the student who graduated or withdrew was reported timely. Effect: The University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely and accurately. Repeat Finding: No. Recommendation: We recommend the University reevaluate their procedures and review policies surrounding reporting status changes to NSLDS to ensure timely and accurate reporting. Views of responsible officials and planned corrective actions: There is no disagreement with the audit finding.

Corrective Action Plan

Title: Student Financial Assistance Cluster – Assistance Listing No. Various Recommendation: We recommend the University evaluate their procedures and review policies surrounding reporting status changes to NSLDS to ensure timely and accurate reporting. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Registrar’s Office and the Financial Aid Office jointly reviewed the processes and data-entry practices related to enrollment reporting to ensure they are applied consistently and accurately. A plan has been implemented to provide ongoing training for employees responsible for managing reporting data. In addition, both offices established clearer communication channels to support timely and accurate updates and agreed to conduct an annual review of these processes to maintain continued alignment. Name(s) of the contact person(s) responsible for corrective action: Stephen Field Planned completion date for corrective action plan: 3/18/2026

Categories

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

Other Findings in this Audit

  • 1190889 2025-001
    Material Weakness Repeat
  • 1190890 2025-001
    Material Weakness Repeat
  • 1190891 2025-001
    Material Weakness Repeat
  • 1190892 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $11.77M
84.063 FEDERAL PELL GRANT PROGRAM $2.26M
84.033 FEDERAL WORK-STUDY PROGRAM $188,350
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $180,812
93.859 BIOMEDICAL RESEARCH AND RESEARCH TRAINING $50,949
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $11,317
43.008 OFFICE OF STEM ENGAGEMENT (OSTEM) $1,528
10.170 SPECIALTY CROP BLOCK GRANT PROGRAM - FARM BILL $929