Finding Text
Program: Federal Direct Student Loans CFDA Number 84.268 Federal Agency: U.S. Department of Education Federal Award Identification Number P268K221428 Federal Award Year: May 31, 2026 Criteria: 34 CFR 685.309(b) states that upon receipt of an enrollment report from the Secretary, a school must update all information included in the report and return the report to the Secretary in the manner and format prescribed by the Secretary and within the timeframe prescribed by the Secretary. Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended. Condition: For 10 students tested, the change in enrollment status was not reported in the format prescribed by the Secretary to NSLDS within 60 days. For the 10 students tested, these changes in enrollment status have been submitted to NSLDS. Question Costs: Not applicable. Context: Noncompliance with federal regulations was noted for 10 of the 59 students who were tested. These students did not have their change in enrollment status reported to NSLDS within 60 days. A total of 619 students who were issued Federal Direct Student Loans separated from the University of had a change in enrollment status during fiscal year 2026. The sample was not considered statistically valid. The Summer 2025, Fall 2025, and Summer 2026 had timely reporting. The noncompliance was noted for Spring 2026 enrollment changes after the University implemented a new software system. Effect: The accuracy of Title IV student loan records depends heavily on the accuracy of the enrollment information reported by the schools. If an institution does not review, updated, and verify student enrollment statuses, effective dates of the enrollment status, and other information, then the Title IV student loan records will be inaccurate, which impacts student loan repayments. Cause: The University was in the process of moving to a new software platform and encountered issues with obtaining the proper reporting form to submit to the National Student Clearinghouse. The University attempted to submit the required information but was rejected by the reporting system. The University worked through the reporting issue but could not find a report that satisfied the National Student Clearinghouse until 6 months had passed for reporting purposes. Recommendation: It is recommended that procedures are put in place to verify that the correct effective dates and status changes are reported to NSLDS within required time frames. This could include a review of withdrawal or graduation dates compared to the effective dates reported to NSLDS to make sure they are accurate. Current Status: As of the issuance of the May 31, 2026 financial statements, the University has provided the proper formatted reports to the National Student Clearinghouse and NSLDS statuses are able to be updated by the University staff. The University expects to be in compliance with this regulation in the future.