Finding 22687 (2022-003)

Significant Deficiency Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-30
Audit: 21940
Organization: Marymount University (VA)

AI Summary

  • Core Issue: The University failed to provide completed Direct Loan reconciliations for September 2021 and February 2022.
  • Impacted Requirements: Institutions must reconcile all Direct Loan disbursements monthly and submit records to the Department of Education.
  • Recommended Follow-Up: Ensure timely completion of DL reconciliations and establish a process to meet submission deadlines moving forward.

Finding Text

Criteria: Institutions are required to reconcile all Direct Loan (DL) disbursements and submit required records to the Department of Education through the Common Origination and Disbursement (COD) system. Each month, the COD provides institutions with a School Account Statement (SAS) data file which consists of a Cash Summary, Cash Detail, and (optional at the request of the school) Loan Detail records. The school is required to reconcile these files monthly to the institution?s financial records (?DL reconciliations?). Condition: We requested DL reconciliations for the months of September 2021 and February 2022. Cause: The University could not provide completed DL reconciliations for these months.

Corrective Action Plan

Marymount University administration acknowledges the findings from the 2021-2022 UG Audit. Marymount administration takes the findings very seriously and, following a root cause analysis, has put in place the following comprehensive corrective action plan: ? Marymount University has experienced a turnover in the Office of Financial Aid from the Director down to the counselor position. Transitional issues have arisen from the turnover, including lack of continuity in office processes and lack of knowledgeable staff. ? In late 2022, Marymount University contracted with Attain Partners, LLC, to provide interim management services in Financial Aid. After the turnover of personnel, this was necessary to fill the void created by the departure of the Director of Financial Aid and other staff. The Attain Partners consultants have provided the interim management services to assure compliance with Title IV regulations, including Direct Loan reconciliation. ? Attain Partners has fully reconciled the 2021-2022 Federal Direct Loan funds and has put processes in place in conjunction with the Marymount University Financial Affairs Division to assure monthly and final reconciliation going forward. ? Attain Partners will be reviewing existing processes related to student financial aid. As an outcome of this review the processes and schedule will be fully documented and implemented as documented.

Categories

Student Financial Aid Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 22688 2022-004
    Significant Deficiency Repeat
  • 22689 2022-005
    Significant Deficiency Repeat
  • 599129 2022-003
    Significant Deficiency Repeat
  • 599130 2022-004
    Significant Deficiency Repeat
  • 599131 2022-005
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Loan Program $33.12M
84.425 Education Stabilization Fund $3.62M
84.063 Federal Pell Grant Program $2.48M
84.033 Federal Work Study Program $196,664
84.007 Federal Supplemental Educational Opportunity Grant Program $139,253
47.076 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assualt and Stalking on Campus $70,650