Finding 1205089 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-31
Audit: 396743
Auditor: SIKICH CPA LLC

AI Summary

  • Core Issue: One incorrect refund calculation and one late refund were found, indicating non-compliance with federal regulations.
  • Impacted Requirements: Refunds must follow the Return to Title IV calculation and be issued within 45 days of withdrawal.
  • Recommended Follow-Up: Enhance controls in the Financial Aid Department to prevent future errors in refund processing.

Finding Text

2025-001 – Student Financial Aid Cluster - (a) 84.007 Federal Supplemental Educational Opportunity Grants (b) 84.033 Federal Work Study Program (c) 84.063 Federal Pell Grant Program (d) 84.268 Federal Direct Student Loans - Year Ended June 30, 2025. Criteria: An institution must use the Return to Title IV refund calculation (34 CFR 668.22). Additionally, The Department of Education requires that all refunds be made within 45 days of a student’s withdrawal (34 CFR 668.22, 685.306). Condition: Sikich tested twenty drop students and found one incorrect refund calculation and one untimely paid refund (10%). We consider this finding to be an instance of non-compliance in relation to Special Tests and Provisions and a repeat of prior year finding 2024-001. Statistical sampling was not used. Questioned Costs: $3,558 Cause: The condition was caused by an oversight in the Financial Aid Department. Effect: The result is the Institution incorrectly and untimely refunded funds to the Department of Education. Recommendation: We recommend the College increase controls over refund calculations. Views of Responsible Officials: Management agrees with this Single Audit Finding.

Corrective Action Plan

2025-001 - Sikich tested twenty drop students and found one incorrect refund calculation and one untimely paid refund (10%). We consider this finding to be an instance of non-compliance in relation to Special Tests and Provisions and a repeat of prior year finding 2024-001. Statistical sampling was not used. Responsible Person: Robert Emerson - Director of Financial Aid Corrective Action Plan: Withdrawals are processed by Dean of Academic Success and forwarded to Registrar and Financial Aid Office for review and action. The Financial Aid Office will begin to track and confirm the dates provided for withdrawals, last dates of attendance and disbursement to ensure that funds are returned accurately and in a timely manner. Implementation Date: 10-22-2025

Categories

Student Financial Aid Special Tests & Provisions

Other Findings in this Audit

  • 1205086 2025-001
    Material Weakness Repeat
  • 1205087 2025-001
    Material Weakness Repeat
  • 1205088 2025-001
    Material Weakness Repeat
  • 1205090 2025-002
    Material Weakness Repeat
  • 1205091 2025-002
    Material Weakness Repeat
  • 1205092 2025-002
    Material Weakness Repeat
  • 1205093 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $5.73M
84.063 FEDERAL PELL GRANT PROGRAM $2.25M
84.033 FEDERAL WORK-STUDY PROGRAM $141,465
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $44,730
47.074 BIOLOGICAL SCIENCES $43,173
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $21,000