Finding Text
Federal Agency: U.S. Department of Education
Federal Program Title: Student Financial Aid Cluster
Assistance Listing Number: 84.063, 84.268
Federal Award Identification Number: P033A228259, P268K234721
Award Period: July 1, 2022 – June 30, 2023
Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters
Criteria or Specific Requirement:
Internal Control - Per 2 CFR section 200.303(a), a non-Federal entity must: Establish and maintain
effective internal control over the federal award that provides reasonable assurance that the non-
Federal entity is managing the federal award in compliance with federal statutes, regulations, and the
terms and conditions of the federal award. These internal controls should be in compliance with
guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller
General of the United States or the “Internal Control Integrated Framework”, issued by the Committee
of Sponsoring Organizations of the Treadway Commission (COSO).
Compliance – The Code of Federal Regulations, 34 CFR 685.309(b), states that Colleges must have
some arrangement to report student enrollment data to the National Student Loan Data System
(NSLDS) through an enrollment roster file. The college is required to report changes in the student’s
enrollment status, the effective date of the status, and an anticipated completion date. Also, the Code of
Federal Regulations, 34 CFR 682.610, states that college must report accurately the enrollment status
of all students regardless if they receive aid from the institution or not.
Condition: Incorrect enrollment status and effective date was reported to NSLDS.
Context: The enrollment status was incorrectly reported for 1 out of 12 students. The effective date
was incorrectly reported for 1 out of 12 students.
Questioned Costs: None
Cause: The college uses the National Student Clearinghouse (NSC) to transmit transmitted over to the
National Student Loan Data System (NSLDS). During the course of the year it was determined that
information did not properly interface.
Effect: NSLDS did not contain the most up-to-date enrollment status and effective dates.
Repeat Finding: No.
Recommendation: The College should evaluate their procedures and policies related to reporting
status changes to NSLDS and enhance as deemed necessary to ensure that accurate information is
reported to NSLDS.
Views of Responsible Officials: There is no disagreement with the audit finding.