Finding 2374 (2020-013)

Material Weakness
Requirement
EN
Questioned Costs
$1
Year
2021
Accepted
2023-11-26
Audit: 4064
Organization: Concordia College (NY)

AI Summary

  • Core Issue: Nine out of forty students could not demonstrate satisfactory academic progress, raising concerns about their eligibility for federal financial aid.
  • Impacted Requirements: Federal regulations require proof of satisfactory academic progress to qualify for programs like Federal Direct Student Loans and Pell Grants.
  • Recommended Follow-Up: Obtain and review the necessary student records to verify academic progress and ensure compliance with eligibility requirements.

Finding Text

2020-013 Eligibility & Special Tests – Institutional Eligibility FALN Number: 84.268 / 84.063 / 84.007 / 84.379 Program or Cluster Name: Federal Direct Student Loans / Federal Pell Grant Program / Federal Work-Study Program / Federal Supplemental Educational Opportunity Grants / Teacher Education Assistance for College and Higher Education (Student Financial Assistance Cluster) Agency: U.S. Department of Education Condition: For nine of forty students selected for testing, we were unable to resolve questions relating to satisfactory academic progress. Status: Student and financial scholarship records could not be provided and thus we were unable to determine that students were making satisfactory academic progress, and therefore eligible to receive the Federal Student Financial Assistance received. As such, the correction of the finding could not be verified. See current year finding 2021-002.

Corrective Action Plan

Management’s Response: Concordia College ceased academic operations in August 2021 and is in the process of winding down its operations and completing its remaining compliance requirements. Subsequent to the announcement of the closure of the College and following the ceasing of academic operations, virtually all employees left their employ with the College. The significant turnover in personnel, transition to outside consultants, and preparing proper teach out and transition plans for remaining students was a much larger focus than compliance requirements, which led to additional time lapsing between the prior year when findings were discovered to the current report being sent out. Additionally, due to the shutdown of Banner and the time taken to complete the audit, it is difficult for the College to obtain historical student and financial information pertaining to the period under audit.

Categories

Questioned Costs Student Financial Aid Eligibility Matching / Level of Effort / Earmarking Special Tests & Provisions

Other Findings in this Audit

  • 2362 2021-002
    Material Weakness
  • 2363 2020-002
    Material Weakness
  • 2364 2020-003
    Significant Deficiency
  • 2365 2020-004
    Material Weakness Repeat
  • 2366 2020-005
    Material Weakness
  • 2367 2020-006
    Significant Deficiency
  • 2368 2020-007
    Significant Deficiency Repeat
  • 2369 2020-008
    Material Weakness Repeat
  • 2370 2020-009
    Significant Deficiency
  • 2371 2020-010
    Material Weakness
  • 2372 2020-011
    Material Weakness
  • 2373 2020-012
    Material Weakness
  • 578804 2021-002
    Material Weakness
  • 578805 2020-002
    Material Weakness
  • 578806 2020-003
    Significant Deficiency
  • 578807 2020-004
    Material Weakness Repeat
  • 578808 2020-005
    Material Weakness
  • 578809 2020-006
    Significant Deficiency
  • 578810 2020-007
    Significant Deficiency Repeat
  • 578811 2020-008
    Material Weakness Repeat
  • 578812 2020-009
    Significant Deficiency
  • 578813 2020-010
    Material Weakness
  • 578814 2020-011
    Material Weakness
  • 578815 2020-012
    Material Weakness
  • 578816 2020-013
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $7.06M
84.063 Federal Pell Grant Program $1.52M
84.007 Federal Supplemental Educational Opportunity Grants $40,768
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $33,031