Finding 37009 (2022-002)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2022-11-21

AI Summary

  • Core Issue: Enrollment changes for three students were reported late and inaccurately to the NSLDS, violating federal reporting timelines.
  • Impacted Requirements: Changes in enrollment status must be reported within 30 days; failure to do so risks non-compliance with federal regulations.
  • Recommended Follow-Up: Implement a review process for scheduled NSLDS submissions to ensure timely and accurate reporting, assigning a representative to oversee this task.

Finding Text

Finding - Special Tests and Provisions: Enrollment Reporting - Federal Direct Student Loans, Assistance Listing Number 84.268; June 30, 2022 Award Year, U.S. Department of Education Criteria or Specific Requirement Changes in enrollment to less than half time, graduated or withdrawn must be reported to National Student Loan Data System within 30 days. However, if a roster file is expected within 60 days of the status change, a school may provide the data on that roster file. Because enrollment changes must be reported within 30 days, or there is a chance that not all scheduled rosters will fulfill this requirement; ad hoc reporting can fulfill this requirement. (National Student Loan Data System Enrollment Reporting Guide, November 2020, page 6.) (34 CFR 682.610(c)(1)-(c)(2)) Condition and Context Of the three students within the sample of students tested that had status changes, all were reported to NSLDS outside of the required timeline, and two were reported to NSLDS inaccurately subsequent to the 2021-2022 fiscal year. Cause Due to a failure to follow controls, the requirement to submit status changes and roster information to the NSLDS was not met. As such, this information was not reported during the 2021-2022 fiscal year. Effect or Potential Effect The NSLDS System was not updated within the proper timeframe, thus the Seminary was out of compliance with the NSLDS reporting provisions. Questioned Costs None noted. Identification as a Repeat Finding This is a repeat finding. Recommendation We recommend procedures be implemented to include the review of scheduled submissions to NSLDS for the purpose of ensuring accurate reporting and identifying any time gaps that could violate reporting requirements. A Seminary representative should be tasked with reviewing all scheduled submissions to NSLDS. Views of Responsible Officials and Planned Corrective Actions See Corrective Action Plan.

Corrective Action Plan

Finding: Special Tests and Provisions: Enrollment Reporting Changes in enrollment to less than half time, graduated or withdrawn must be reported to the National Student Loan Data System within 30 days. However, if a roster file is expected within 60 days of the status change, a school may provide the data on that roster file. Of the three students within the sample of students tested that had status changes, all were reported to NSLDS outside of the required timeline, and two were reported to NSLDS inaccurately subsequent to the 2021-2022 fiscal year. Views of Responsible Officials and Planned Corrective Actions: Management is in agreement with this finding. Update the Student Information System timely; have a process in place with specific people responsible for updating and submitting the roster timely; train staff; create and follow policies and procedures to ensure there are no delays in reporting a change in status. Management will implement a reporting mechanism to identify and a process to address withdrawals as determined whereby updates will be submitted to the NSLDS Responsible Official: Tafe Lindsey Completion Date: Ongoing

Categories

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

Other Findings in this Audit

  • 37010 2022-003
    Significant Deficiency Repeat
  • 613451 2022-002
    Material Weakness Repeat
  • 613452 2022-003
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $1.33M