Finding Text
Audit Finding Reference Number
2023 – 005 – Student Status Confirmation Report
Federal Program and Specific Federal Award Identification
CFDA Title and Number
84.268 Federal Direct Student Loans (Direct)
Federal Award Number
June 30, 2023
Federal Agencies
U.S. Department of Education
Pass-Through Entity
Not applicable
Criteria
Title IV Regulations, 34 CFR Section 682.610 (c) (i) (ii) (iii) stipulated that if a university discovers that a loan has been made to or on behalf of a student who enrolled at that school, but who has ceased to be enrolled on at least a half-time basis; a student who has been accepted for enrollment at that school, but who failed to enroll on at least a half-time basis for the period for which the loan was intended, or a full-time student who has ceased to be enrolled on a full-time basis, ABC must notify the guarantee agency, the National Student Clearinghouse and/or the National Student Loan Data System (NSLDS). Schools are required to report enrollment data at least every sixty (60) days.
Conditions and Contexts
I noted during my audit twenty-two (22) students out of twenty-seven (27) tested whose change in enrollment status was reported correctly in the NSLDS system; however, the students’ status change was reported greater than the every sixty (60) days timeframe .
Cause
It appears that ABC did not properly report the student’s enrollment status to the guarantee agency, National Student Clearinghouse, and/or NSLDS.
Questioned Costs
For purposes of this condition, I do not have any questioned costs.
Effect
Noncompliance with federal regulations. ABC did not properly report the student’s status to the guarantee agency, National Student Clearinghouse, and/or NSLDS.
Repeat Finding
Yes. See Schedule of Prior Year Audit Finding 2022-005.
Recommendation
I recommend that ABC determine the student’s proper enrollment status and report the accurate status to the guarantee agency, National Student Clearinghouse, and/or NSLDS.
Management’s Response
Management concurs with this finding. The College will set policies, procedures and practices in place and adhere to ensure that changes in students’ enrollment are reported accurately and timely as defined in the Federal guidelines.
Responsible Administrators: Director of Financial Aid & Registrar
Effective: Immediately and ongoing