Finding Text
2022-002: Missing Entrance Counseling Documentation - Student Financial Aid Cluster - Assistance Listing #s 84.007, 84.033, 84.063, 84.268 - Grant Period - Year Ended June 30, 2022 Criteria: According to 34 CFR section 685.304, an educational institution must ensure that entrance counseling is conducted with each Direct Loan student borrower prior to making the first disbursement of the proceeds of a loan to a student borrower. Condition: During our student file testing, we noted one student out of 40 did not have documentation in their file to verify that entrance counseling occurred before the disbursement of loans. We consider the missing entrance counseling to be an instance of noncompliance with the Eligibility Compliance Requirement. Statistical sampling was not performed in the selection of the sample. Questioned Costs: $0 Effect: The College disbursed loans to a student who did not complete entrance counseling. Cause: The College?s internal controls did not detect the missing entrance counseling for the student. Recommendation: We recommend the institution closely monitor all students who are receiving loans to make sure they complete entrance counseling prior to disbursement. Views of Responsible Officials: The College agrees with the Single Audit finding and a response is included in the Corrective Action Plan