Finding 391396 (2023-004)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-04-01
Audit: 301916
Organization: Bethany Lutheran College, Inc. (MN)

AI Summary

  • Core Issue: Lack of formalized reconciliation process for Federal Work Study, Supplemental Educational Opportunity Grants, and Perkins Loans.
  • Impacted Requirements: Non-compliance with U.S. Department of Education documentation and review criteria.
  • Recommended Follow-Up: Implement a formal yearly reconciliation process for the affected programs.

Finding Text

Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number 84.007 – Federal Supplemental Educational Opportunity Grants 84.033 – Federal Work-Study Program 84.038 – Federal Perkins Loan Program Award Period: July 1, 2022 to June 30, 2023 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or Specific Requirement: No documentation of review as it relates to Federal Work Study, Perkins, and Supplemental Education Opportunity Grants. Condition: During testing we noted there is no formalized process of Federal Work Study, Supplemental Education Opportunity Grants, and Perkins reconciliations. Questioned Costs: None Context: During our testing, it was noted there is no formalized process of Federal Work Study, Supplemental Education Opportunity Grants, and Perkins reconciliations. Cause: Management could incorrectly have amounts of their Federal Work Study, Supplemental Education Opportunity Grants, and Perkins at year-end. Effect: The College is not in compliance with Department of Education requirements. Repeat Finding: No Auditor’s Recommendation: We recommend the College implements a formalized yearly reconciliation of Federal Work Study, Perkins, and Supplemental Education Opportunity Grants. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding.

Categories

Student Financial Aid Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Significant Deficiency

Other Findings in this Audit

  • 391385 2023-002
    Significant Deficiency
  • 391386 2023-002
    Significant Deficiency
  • 391387 2023-002
    Significant Deficiency
  • 391388 2023-002
    Significant Deficiency
  • 391389 2023-002
    Significant Deficiency
  • 391390 2023-003
    Significant Deficiency
  • 391391 2023-003
    Significant Deficiency
  • 391392 2023-003
    Significant Deficiency
  • 391393 2023-003
    Significant Deficiency
  • 391394 2023-003
    Significant Deficiency
  • 391395 2023-004
    Significant Deficiency
  • 391397 2023-004
    Significant Deficiency
  • 391398 2023-005
    Significant Deficiency
  • 391399 2023-005
    Significant Deficiency
  • 391400 2023-005
    Significant Deficiency
  • 391401 2023-005
    Significant Deficiency
  • 391402 2023-005
    Significant Deficiency
  • 967827 2023-002
    Significant Deficiency
  • 967828 2023-002
    Significant Deficiency
  • 967829 2023-002
    Significant Deficiency
  • 967830 2023-002
    Significant Deficiency
  • 967831 2023-002
    Significant Deficiency
  • 967832 2023-003
    Significant Deficiency
  • 967833 2023-003
    Significant Deficiency
  • 967834 2023-003
    Significant Deficiency
  • 967835 2023-003
    Significant Deficiency
  • 967836 2023-003
    Significant Deficiency
  • 967837 2023-004
    Significant Deficiency
  • 967838 2023-004
    Significant Deficiency
  • 967839 2023-004
    Significant Deficiency
  • 967840 2023-005
    Significant Deficiency
  • 967841 2023-005
    Significant Deficiency
  • 967842 2023-005
    Significant Deficiency
  • 967843 2023-005
    Significant Deficiency
  • 967844 2023-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.50M
84.063 Federal Pell Grant Program $811,317
84.038 Federal Perkins Loan Program $164,622
84.033 Federal Work-Study Program $36,806
84.007 Federal Supplemental Educational Opportunity Grants $32,667