Finding 1221348 (2025-004)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-06-30
Audit: 405683
Organization: College of the Muscogee Nation (OK)
Auditor: HOGANTAYLOR LLP

AI Summary

  • Core Issue: One student received $616 in Pell Grant aid despite exceeding the 150% eligibility timeframe for Title IV funding.
  • Impacted Requirements: This finding violates Title 34 CFR 668.34(a)(5)(ii), which sets the maximum timeframe for eligibility in undergraduate programs.
  • Recommended Follow-up: The Financial Aid Coordinator should implement procedures to monitor and verify student credit hours to ensure compliance with eligibility requirements.

Finding Text

Item 2025-004 – Special Tests: Title IV Eligibility Federal Program – Federal Pell Grant Federal ALN – 84.063 Federal Award Number – P063P188097 Federal Award Year – September 30, 2025 Federal Agency – U.S. Department of Education Pass-through Entity – Not Applicable Significant Deficiency Title 34 CFR 668.34(a)(5)(ii) establishes the maximum timeframe requirement for Title IV Eligibility. For an undergraduate program measured in credit hours, the maximum timeframe to be eligible is a period no longer than 150 percent of the published length of the educational program, as measured in credit hours, or expressed in calendar time. Out of a sample of 14 students, one student was not eligible to receive aid as they exceeded the 150 percent rule but received $616 of Pell during the period. The sample was not a statistically valid sample but was determined using Chapter 11 – Audit Sampling Considerations of Uniform Guidance Compliance Audits of the Audit and Accounting Guide for Government Auditing Standards and Single Audits. Procedures were not in place to verify the student had not exceeded the allowable credit hours attempted. Not a repeat finding. Inaccurate disbursement of the Title IV funds to be given to a student can impact the student's financial wellbeing, ability to make timely financial and strategic decisions. We recommend that the Financial Aid Coordinator institute procedures that would detect whether a student has reached the maximum number of courses to remain eligible for aid. Management's response is reported in "Management's Views and Corrective Action Plan" at the end of this report.

Corrective Action Plan

Corrective Action Plan (CAP): The College has reviewed the student identified in this finding and confirmed that the student had been placed on financial aid suspension during a previous term due to exceeding the 150% maximum timeframe for program completion, but the suspension status was not reflected when the student's enrollment was subsequently evaluated, resulting in the student receiving Title IV aid for which they were not eligible during the period under audit. The College has identified that this occurred in connection with how the student's enrollment was recorded across programs within Anthology, the College's student information system, and is continuing to investigate the precise cause of the system behavior that allowed the student's Satisfacto1y Academic Progress (SAP)/150% status to not carry forward or recalculate appropriately. The aid improperly disbursed to this student has been identified, and repayment has been completed.

Categories

Student Financial Aid Subrecipient Monitoring Eligibility Significant Deficiency

Other Findings in this Audit

  • 1221345 2025-001
    Material Weakness Repeat
  • 1221346 2025-002
    Material Weakness Repeat
  • 1221347 2025-003
    Material Weakness Repeat
  • 1221349 2025-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
15.027 ASSISTANCE TO TRIBALLY CONTROLLED COMMUNITY COLLEGES AND UNIVERSITIES $1.84M
84.425 EDUCATION STABILIZATION FUND $1.24M
84.063 FEDERAL PELL GRANT PROGRAM $499,297
84.031 HIGHER EDUCATION INSTITUTIONAL AID $398,719
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $270,836
10.517 TRIBAL COLLEGES EXTENSION PROGRAMS $250,607
10.516 RURAL HEALTH AND SAFETY EDUCATION COMPETITIVE GRANTS $121,019
10.527 NEW BEGINNING FOR TRIBAL STUDENTS $83,160
10.227 1994 INSTITUTIONS RESEARCH PROGRAM $79,082
47.076 STEM EDUCATION (FORMERLY EDUCATION AND HUMAN RESOURCES) $76,492
10.221 TRIBAL COLLEGES EDUCATION EQUITY GRANTS $51,389
93.859 BIOMEDICAL RESEARCH AND RESEARCH TRAINING (INBRE) $49,771
15.820 NATIONAL AND REGIONAL CLIMATE ADAPTATION SCIENCE CENTERS $28,821
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS (FSEOG) $12,566
45.311 NATIVE AMERICAN AND NATIVE HAWAIIAN LIBRARY SERVICES $9,935
12.598 CENTERS FOR ACADEMIC EXCELLENCE $9,582
10.311 BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM $2,500
10.766 COMMUNITY FACILITIES LOANS AND GRANTS $104