Finding Text
2022 ? 008: Verification Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Aid Cluster Assistance Listing Number: 84.007, 84.033, 84.063, 84.268, 84.379 Federal Award Identification Number and Year: P007A214513-2022, P033A214513-2022, P063P212439-2022, P268K222439-2022, P379T222439-2022 Award Period: July 1, 2021 to June 30, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters Criteria or specific requirement: An institution is required to establish written policies and procedures that incorporate the provisions of 34 CFR 668.51 through 668.61 for verifying applicant information for those applicants selected for verification by ED. The institution shall require each applicant whose application is selected by ED to verify the information required for the Verification Tracking Group to which the applicant is assigned. However, certain applicants are excluded from the verification process as listed in 34 CFR 668.54(b). A menu of potential verification items for each award year is published in the Federal Register, and the items to verify for a given application are selected by ED from that menu and indicated on the student?s output documents. Verification tracking groups and verification items for each award year can also be found in the annual FSA Handbook, Application and Verification Guide, Chapter 4. The institution shall also require applicants to verify any information used to calculate an applicant?s EFC that the institution has reason to believe is inaccurate and provide an accurate code for the individual?s verification status in the Common Origination and Disbursement (COD) system. (34 CFR 668.54(a); FSA Handbook Application and Verification Guide, Chapter 4). Condition: The University has not maintained the required support for verification of a V4 code for a student where verification was requested by the U.S. Department of Education. Questioned costs: There are no questioned costs. Context: We noted seven (7) out of forty (45) students selected for eligibility testing, specific for verification, where the required identity and educational purpose and government issued photo identification was not maintained. Cause: The University?s internal controls failed to detect the missing verification information as required in the stated criteria. Effect: The University failed to comply with the stated criteria. Repeat Finding: No Recommendation: We recommend that the University update its processes and procedures related to the maintenance of the required verification support. Views of responsible officials: There is no disagreement with the audit finding.