Finding Text
FINDING 2022-008: CASH MANAGEMENT - UNTIMELY DISBURSEMENTS FEDERAL AGENCY: U.S. DEPARTMENT OF EDUCATION PROGRAM NAME: HIGHER EDUCATION EMERGENCY RELIEF FUNDS ALN#: 84.425E & 84.425F FEDERAL AWARD YEAR: 2021-2022 Compliance Requirement: Cash Management (C.) - Student Grant Disbursements Criteria: For CRRSAA HEERF II and ARP HEERF III, the Certification and Agreements and/or Supplemental Agreements requires that Student Aid Portion (ALN 84.425E) should be disbursed within 15 calendar days of the drawdown from the Department's G5 grant systems and all other ALN's should be disbursed within 3 calendar days of the drawdown from G5. Condition: The Institution failed to disburse their ARP HEERF III student grants within 15 calendar days of the drawdown from G5. We will qualify our opinion for this attribute. Cause: The condition was caused by administrative oversights. Effect: The result is students were not disbursed emergency grant funds in a timely manner. The Institution drew down their ARP HEERF III student grant award on August 12, 2021 and did not disburse funds to students until March 1, 2022. Question Costs: $293,027 Recommendation: We recommend the Institution increase controls over cash management and await further guidance from the Department. Views of Responsible Officials: The Institution agrees with the Single Audit Finding and a response is included in the Corrective Action Plan.