Finding 1216156 (2025-002)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-05-29
Audit: 402635
Organization: Hudson Valley Community College (NY)
Auditor: UHY LLP

AI Summary

  • Core Issue: The College failed to submit the FISAP by the October 1, 2025 deadline, submitting it instead on April 17, 2026.
  • Impacted Requirements: This non-compliance may lead to the College needing to return approximately $517,827 in federal aid and could affect eligibility for future funding.
  • Recommended Follow-Up: The College should enhance control processes to ensure timely FISAP submissions and is reviewing staffing to prevent future issues.

Finding Text

Criteria: Per the Federal Register and the Federal Student Aid Electronic Communication, the deadline for the electronic submission of the Fiscal Operations Report for the 2024-25 and the Application to Participate for 2026-27 (“FISAP”) was 11:59 pm eastern time on October 1, 2025. Transmission must be completed prior to midnight. Additionally, the signature page must be printed, signed, and mailed by the October 1, 2025 deadline. Condition: The College did not submit the FISAP for Award Year July 1, 2024 - June 30, 2025 (Application Award Year July 1, 2026 - June 30, 2027) until April 17, 2026, with revisions submitted on May 5, 2026. Additionally, the most recent signature page is dated April 28, 2026. Cause: The College Financial Aid Department was affected by significant staff turnover whereas when it was time to prepare and submit the FISAP, the employees available were not those who had been with the College during the award year in the report which resulted in the College not meeting the submission and filing deadline. Effect: The College is not in compliance with the federal regulations regarding the submission of the FISAP and related signature page which may require the College to return campus-based aid drawn down for the FSEOG and FWS programs in the amount of approximately $517,827 (FSEOG of $267,966 and FWS of $249,861) for the 2024-2025 award year. Additionally, this may impact the College’s eligibility to receive campus-based aid for the 2026-2027 school year. The College has indicated the DOE accepted the late submission and does not expect any material adverse impact to the funding of these programs. Prevalence: The College did not submit the FISAP before the required deadline. Recommendation: The College should improve their control processes to ensure timely reporting and submission of the FISAP and related signature page. Management Response and Corrective Action Plan: The College recognizes the importance of timely and accurate reporting. The significant turnover during the fiscal year in the Financial Aid department resulted in challenges of timely reporting. The late submission of the FISAP was accepted by the DOE and the College does not expect any material adverse impact to the funding of these programs. The College is currently reviewing current staffing levels and other resources to ensure compliance with all regulations and timely submissions moving forward.

Corrective Action Plan

The College recognizes the importance of timely and accurate reporting. The significant turnover during the fiscal year in the Financial Aid department resulted in challenges of timely reporting. The late submission of the FISAP was accepted by the DOE and the College does not expect any material adverse impact to the funding of these programs. The College is currently reviewing current staffing levels and other resources to ensure compliance with all regulations and timely submissions moving forward.

Categories

Student Financial Aid Eligibility Reporting

Other Findings in this Audit

  • 1216153 2025-003
    Material Weakness Repeat
  • 1216154 2025-002
    Material Weakness Repeat
  • 1216155 2025-003
    Material Weakness Repeat
  • 1216157 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 FEDERAL PELL GRANT PROGRAM $17.12M
84.268 FEDERAL DIRECT STUDENT LOANS $12.34M
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $558,854
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $355,640
84.116 FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION $257,159
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $225,832
84.033 FEDERAL WORK-STUDY PROGRAM $157,785
84.126 REHABILITATION SERVICES VOCATIONAL REHABILITATION GRANTS TO STATES $45,335
64.027 POST-9/11 VETERANS EDUCATIONAL ASSISTANCE $21,825