Finding 1227752 (2025-003)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-08-25
Audit: 409730
Organization: Villa Maria College of Buffalo (NY)
Auditor: BONADIO & CO LLP

AI Summary

  • Core Issue: The College failed to report student enrollment status changes to NSLDS within the required 60-day timeframe.
  • Impacted Requirements: Federal regulations mandate timely reporting of enrollment status to ensure accurate student loan records.
  • Recommended Follow-Up: Implement formal policies for monitoring enrollment changes, assign clear responsibilities, and enhance training to prevent future delays.

Finding Text

Finding: 2025-003 U.S. Department of Education Student Financial Assistance Cluster National Student Loan Data System (NSLDS) Reporting Criteria The federal government requires the College to report student enrollment data to the U.S. Department of Education’s National Student Loan Data System (NSLDS) system at least every 60 days, and to certify the enrollment status of the students as submitted. Enrollment status changes such as withdrawals must be submitted at a minimum during this 60-day certification process, but may report at more frequent intervals to capture more current enrollment status changes. Condition During testing of enrollment reporting, it was noted that enrollment status changes for certain students were not reported to NSLDS within the required timeframe. Context During testing of enrollment reporting, it was identified that for three of four students selected for testing, the student’s withdrawal information was not reported within the required timeframe. Cause Turnover within the Registrar's Office and the transition of enrollment reporting responsibilities resulted in gaps in the enrollment reporting process, causing student status changes to not be reported to NSLDS within the required 60-day timeframe. Effect Failure to timely report enrollment status changes may result in inaccurate student loan records within NSLDS and could delay changes to borrowers' loan repayment status, resulting in noncompliance with federal enrollment reporting requirements. Questioned Costs Not applicable because the finding consisted solely of noncompliance with the reporting type of compliance requirements. Recommendation We recommend that the College develop and implement formal policies and procedures for monitoring and reporting enrollment status changes to NSLDS. These procedures should clearly assign reporting responsibilities, establish timelines and review controls, and provide for supervisory oversight to ensure enrollment changes are identified and reported within required timeframes. Additionally, the College should implement cross-training and succession planning measures to reduce the risk of reporting delays resulting from staff turnover or personnel changes. Views of Responsible Officials The College acknowledges the recommendation and has established appropriate policies and procedures for reporting enrollment status changes to NSLDS.

Corrective Action Plan

AUDIT FINDING REFERENCE NUMBER: 2025-003 FEDERAL AGENCY: Department of Education FEDERAL PROGRAM: Student Financial Assistance Cluster - NSLDS reporting AWARD YEAR: 2024-2025 CONDITION: {REFER TO AUDIT REPORT EXPLANATION) CORRECTIVE ACTION PLAN: The College experienced turnover and process change in the Registrar area during the audited year. The Registrar's office has formalized processes and enhanced communication with other departments since the year in question. The procedures currently being followed should prevent enrollment status change reporting from being out of compliance. ANTICIPATED COMPLETION DATE: Immediately CONTACT PERSON: Aimee Murch MurchA@villa.edu

Categories

Student Financial Aid Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1227751 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 FEDERAL PELL GRANT PROGRAM $2.45M
84.268 FEDERAL DIRECT STUDENT LOANS $2.39M
84.031 HIGHER EDUCATION INSTITUTIONAL AID $612,414
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $50,746
84.033 FEDERAL WORK-STUDY PROGRAM $41,848