Finding 384186 (2022-007)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2024-03-25
Audit: 297283
Organization: College Unbound (RI)

AI Summary

  • Core Issue: The College failed to report student enrollment changes to the NSLDS on time, with delays of 4 to 124 days for 4 out of 6 students.
  • Impacted Requirements: Compliance with federal regulations requires timely and accurate reporting of enrollment changes within 60 days.
  • Recommended Follow-Up: Strengthen internal controls to ensure proper review and compliance with the NSLDS reporting process.

Finding Text

Finding number: 2022-007 Federal agency: U.S. Department of Education Programs: Student Financial Assistance Cluster Assistance Listing #: 84.063 and 84.268 Award year: 2022 Compliance Requirement: Special Tests Criteria According to 34 CFR 685.309(b)(2): Unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that – (i) A loan under Title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended; or (ii) A student who is enrolled at the school and who received a loan under Title IV of the Act has changed his or her permanent address. According to 2 CFR Part 200, Appendix XI Compliance Supplement updated April 2022: Under the Pell Grant and loan programs, institutions must complete and return within 15 days the Enrollment Reporting roster file placed in their Student Aid Internet Gateway mailboxes sent by ED via the National Student Loan Data System (“NSLDS”). An institution determines how often it receives the Enrollment Reporting roster file with the default set at a minimum of every 60 days. Once received, the institution must update for changes in the data elements for the Campus record and the Program Record, and submit the changes electronically through the batch method, spreadsheet submittal or the NSLDS website. Condition The Federal Government requires the College to report student enrollment changes to the NSLDS within 60 days. During our testing, 4 out of 6 students were reported late to the NSLDS by 4 to124 days and 2 out of 6 students reported an incorrect effective date to the NSLDS. Our sample was not, and was not intended to be, statistically valid. Cause The College did not have appropriate internal controls in place to ensure enrollment status changes were being reported to the NSLDS timely and accurately. Effect Late or incorrect effective dates may impact the students’ loan grace periods Questioned Costs Not applicable Identification as a Repeat Finding, if applicable See finding 2021-006 included in the summary schedule of prior year findings. Recommendation The College should strengthen their internal controls surrounding the review of the NSLDS reporting process to ensure they are in compliance with federal regulations. View of Responsible Officials The College agrees with the finding.

Categories

Student Financial Aid Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Special Tests & Provisions

Other Findings in this Audit

  • 384177 2022-002
    Significant Deficiency Repeat
  • 384178 2022-003
    Significant Deficiency
  • 384179 2022-003
    Significant Deficiency
  • 384180 2022-003
    Significant Deficiency
  • 384181 2022-004
    Significant Deficiency Repeat
  • 384182 2022-004
    Significant Deficiency Repeat
  • 384183 2022-005
    Significant Deficiency
  • 384184 2022-006
    Significant Deficiency Repeat
  • 384185 2022-007
    Material Weakness Repeat
  • 384187 2022-008
    Significant Deficiency Repeat
  • 384188 2022-009
    Material Weakness
  • 384189 2022-009
    Material Weakness
  • 960619 2022-002
    Significant Deficiency Repeat
  • 960620 2022-003
    Significant Deficiency
  • 960621 2022-003
    Significant Deficiency
  • 960622 2022-003
    Significant Deficiency
  • 960623 2022-004
    Significant Deficiency Repeat
  • 960624 2022-004
    Significant Deficiency Repeat
  • 960625 2022-005
    Significant Deficiency
  • 960626 2022-006
    Significant Deficiency Repeat
  • 960627 2022-007
    Material Weakness Repeat
  • 960628 2022-007
    Material Weakness Repeat
  • 960629 2022-008
    Significant Deficiency Repeat
  • 960630 2022-009
    Material Weakness
  • 960631 2022-009
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $1.20M
84.063 Federal Pell Grant Program $709,051
84.425 Education Stabilization Fund $57,779
84.007 Federal Supplemental Educational Opportunity Grants $17,907