Finding 404150 (2023-003)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-06-28
Audit: 310937
Organization: Bucks County Community College (PA)

AI Summary

  • Core Issue: The College overstated total expenditures for HEERF reports by over $4.4 million, affecting both student and institutional funds.
  • Impacted Requirements: Reports must be accurate and reconciled with accounting records as per CRRSAA guidelines to maintain federal funding eligibility.
  • Recommended Follow-Up: The College should reconcile reported figures with accounting records to ensure accuracy in future submissions.

Finding Text

Finding 2023-003: Reporting (Material Weakness) U.S. Department of Education – COVID-19 Education Stabilization Fund (ALN 84.425 E&F) Statement of Condition: The College’s publicly available Higher Education Emergency Relief Funds reports for the institutional and student expenditures overstated the total amount of expenditures the College incurred during the fiscal year ending June 30, 2023. The College overstated the total amount of student expenditures by $3,301,290 and overstated institutional expenditures by $1,127,289. Criteria: As described under Section 314 (e) of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 (CRRSAA), Public Law 116-260, and defined by the United States Education Department, an institution shall submit a quarterly expense report documenting the expenditures for both the student portion of HEERF money as well as institutional use of the HEERF money. These reports should be posted to the College’s website in a timely and accurate manner for the previously ended quarter. Cause: The College did not reconcile the reports posted to their publicly facing website with the underlying accounting records including the schedule of expenditures of federal awards. Effect: Failure to comply with HEERF reporting requirements could jeopardize future federal funding. Questioned Costs: This finding does not result in questioned costs. Repeat Finding: This is not considered a repeat finding. Recommendation: We recommend that the College review and reconcile reports to the underlying accounting records including the schedule of expenditures of federal awards to ensure that the reports finalized reflect the activity occurred during the reporting period. View of responsible officials and planned corrective actions: Management agrees with the finding, see corrective action plan.

Corrective Action Plan

Finding 2023-003: Reporting Condition: The College’s publicly available Higher Education Emergency Relief Funds reports for the institutional and student expenditures overstated the total amount of expenditures the College incurred during the fiscal year ending June 30, 2023. The College overstated the total amount of student expenditures by $3,301,290 and overstated institutional expenditures by $1,127,289. Criteria: As described under Section 314 (e) of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 (CRRSAA), Public Law 116-260, and defined by the United States Education Department, an institution shall submit a quarterly expense report documenting the expenditures for both the student portion of HEERF money as well as institutional use of the HEERF money. These reports should be posted to the College’s website in a timely and accurate manner for the previously ended quarter. Cause: The College did not reconcile the reports posted to their publicly facing website with the underlying accounting records including the schedule of expenditures of federal awards. Effect of the Condition: Failure to comply with HEERF reporting requirements could jeopardize future federal funding. Action Taken: The College will review and reconcile the reports to the underlying accounting records including the schedule of expenditures of federal awards to ensure the reports reflect the activity that occurred during the reporting period. Name(s) of Contact Person(s) Responsible for Corrective Action: Patricia Smallacombe, Interim Associate Dean, Academic Partnerships Anticipated Completion Date: July 31, 2024

Categories

Reporting Material Weakness

Other Findings in this Audit

  • 404146 2023-002
    Material Weakness
  • 404147 2023-002
    Material Weakness
  • 404148 2023-002
    Material Weakness
  • 404149 2023-002
    Material Weakness
  • 404151 2023-003
    Material Weakness
  • 980588 2023-002
    Material Weakness
  • 980589 2023-002
    Material Weakness
  • 980590 2023-002
    Material Weakness
  • 980591 2023-002
    Material Weakness
  • 980592 2023-003
    Material Weakness
  • 980593 2023-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $5.79M
84.268 Federal Direct Student Loans $3.95M
84.425 Covid-19, Education Stabilization Fund $1.16M
84.007 Federal Supplemental Educational Opportunity Grants $547,656
21.027 Covid-19, Coronavirus State and Local Fiscal Recovery Funds $234,526
93.558 Temporary Assistance for Needy Families $167,601
84.033 Federal Work-Study Program $161,899
14.218 Covid-19, Community Development Block Grants/entitlement Grants $135,271
84.048 Career and Technical Education -- Basic Grants to States $134,359
17.259 Wia Youth Activities $94,629
12.006 National Defense Education Program $71,143
47.076 Education and Human Resources $25,119
93.575 Covid-19, Child Care and Development Block Grant $19,377
45.025 Promotion of the Arts_partnership Agreements $13,000
17.258 Wia Adult Program $4,146
84.002 Adult Education - Basic Grants to States $1,382