Finding 1216160 (2025-003)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-05-29
Audit: 402646
Organization: Barton College (NC)

AI Summary

  • Core Issue: Withdrawal dates reported to NSLDS do not match the institution's supporting documents.
  • Impacted Requirements: Accurate and timely reporting of student enrollment status, including withdrawal dates, is mandated by the U.S. Department of Education.
  • Recommended Follow-Up: Implement a reconciliation control between Registrar records and NSLDS reporting, and establish a review process for verifying withdrawal dates.

Finding Text

Condition: During testing of enrollment reporting, we identified instances where the withdrawal dates reported to NSLDS did not agree to the institution’s supporting documentation (e.g., registrar records, last date of attendance, or R2T4 calculations). Criteria: The U.S. Department of Education requires institutions to accurately report student enrollment status, including withdrawal dates, to the National Student Loan Data System (NSLDS) in a timely manner. Enrollment reporting must reflect the student’s actual last date of attendance (LDA) or withdrawal date, as determined in accordance with Title IV regulations. Cause: Lack of controls to ensure consistency between the Registrar and Financial Aid offices, and information reported to NSLDS. Effect: Inaccurate reporting may result in incorrect loan servicing and repayment status for students, including delayed entry into repayment or deferment. Context: Of the five withdrawals tested, two exceptions were identified related to an inaccurate withdrawal date reported to NSLDS. Recommendation: We recommend the College implement a formal reconciliation control between Registrar records, R2T4 calculations, and NSLDS reporting files, and establish a review process to verify that withdrawal dates reported to NSLDS agree to the student’s last date of attendance.

Corrective Action Plan

Barton College has hired Ruth Casper who is recognized as a regional leader in eastern North Carolina as a Financial Aid professional. She comes to Barton with 8 years of exceptional financial aid leadership at Chowan University and was part of the leadership team that successfully passed a Department of Education in-person audit of Chowan University records. Ruth has already enacted a number of management control processes to include verification of all Barton College internal and external accounting reporting. Additionally, the College also separated from a person directly responsible for this situation and have conducted a full internal review of all affected operational accounting associated with NSLDS. Barton College is crystal clear on the expectation of highly accurate NSLDS accounting and reporting. We are confident that the College has moved to resolve this situation and under Ruth’s leadership expect to completely revitalize our operational procedures to include revised staff operational documentation to ensure accuracy. Ruth has specifically been tasked with the accounting verification of all financial aid programs with reporting required to the Senior Vice President.

Categories

Student Financial Aid Reporting

Other Findings in this Audit

  • 1216161 2025-004
    Material Weakness Repeat
  • 1216162 2025-005
    Material Weakness Repeat
  • 1216163 2025-006
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $7.72M
84.063 FEDERAL PELL GRANT PROGRAM $3.14M
84.033 FEDERAL WORK-STUDY PROGRAM $209,392
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $146,683