FAC Explorer

Finding 24086 (2022-005)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-28
Audit: 20750
Organization: Pacific Islands Bible College (GU)
Auditor: Ernst & Young LLP

AI Summary

  • Core Issue: The University lacks documentation for its Direct Loan quality assurance system, violating federal requirements.
  • Impacted Requirements: Noncompliance with the quality assurance criteria outlined in 34 CFR 685.300(b)(9).
  • Recommended Follow-up: The University should enhance its understanding of special tests and provisions for federal programs under the SFA cluster.

Finding Text

Federal Agency: U.S. Department of Education ALN and Title: Student Financial Aid (SFA) Cluster ? 84.268 Federal Direct Student Loans Award Number: Various Area: Special Tests and Provisions ? Disbursements to or on Behalf of Students Questioned Cost: $0 Criteria: An additional requirement of the Direct Loan program is that institutions must implement a quality assurance system (34 CFR 685.300(b)(9)). Conditions No documentation was provided of the University?s Direct Loan quality assurance system. Cause: The University is not familiar with the requirements of special tests and provisions. Effect: The University is noncompliant with the requirements of the special test and provisions on disbursements to or on behalf of students. Recommendation: The University must implement procedures to improve its knowledge of special tests and provisions required for the federal programs under the SFA cluster. Views of responsible officials: Management agrees. Refer to Corrective Action Plan.

Corrective Action Plan

Area: Special Tests and Provisions Views of Auditee and Planned Corrective Action: PIU agrees with the finding. PIU will implement procedures to improve its knowledge of special test and provisions required for the federal programs under the SFA cluster. PIU will coordinate with its vendor, FA Solutions, to improve on its knowledge on this item since they are the vendor that processes all financial aid for PIU. Anticipated Completion Date: May 31, 2023 Name of Contact Person and Title: Celia Atoigue, Director of Finance

Categories

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

Other Findings in this Audit

  • 24075 2022-003
    Material Weakness Repeat
  • 24076 2022-004
    Significant Deficiency
  • 24077 2022-007
    Significant Deficiency Repeat
  • 24078 2022-003
    Material Weakness Repeat
  • 24079 2022-004
    Significant Deficiency
  • 24080 2022-007
    Significant Deficiency Repeat
  • 24081 2022-003
    Material Weakness Repeat
  • 24082 2022-004
    Significant Deficiency
  • 24083 2022-007
    Significant Deficiency Repeat
  • 24084 2022-003
    Material Weakness Repeat
  • 24085 2022-004
    Significant Deficiency
  • 24087 2022-006
    Significant Deficiency Repeat
  • 24088 2022-007
    Significant Deficiency Repeat
  • 600517 2022-003
    Material Weakness Repeat
  • 600518 2022-004
    Significant Deficiency
  • 600519 2022-007
    Significant Deficiency Repeat
  • 600520 2022-003
    Material Weakness Repeat
  • 600521 2022-004
    Significant Deficiency
  • 600522 2022-007
    Significant Deficiency Repeat
  • 600523 2022-003
    Material Weakness Repeat
  • 600524 2022-004
    Significant Deficiency
  • 600525 2022-007
    Significant Deficiency Repeat
  • 600526 2022-003
    Material Weakness Repeat
  • 600527 2022-004
    Significant Deficiency
  • 600528 2022-005
    Significant Deficiency
  • 600529 2022-006
    Significant Deficiency Repeat
  • 600530 2022-007
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $459,258
84.268 Federal Direct Student Loans $214,991
84.425 Education Stabilization Fund $80,000
84.033 Federal Work-Study Program $4,896
84.007 Federal Supplemental Educational Opportunity Grants $4,840