Finding 45700 (2022-004)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-05-08
Audit: 40629
Auditor: Sikich LLP

AI Summary

  • Core Issue: The College failed to report actual loan disbursement dates for 57.5% of students sampled, violating federal regulations.
  • Impacted Requirements: This finding affects compliance with 34 CFR 668.164 (a)(1), indicating a material weakness in internal controls.
  • Recommended Follow-Up: The College should establish procedures to ensure accurate reporting of disbursement dates to the NSLDS.

Finding Text

Criteria: 34 CFR 668.164 (a)(1) states ?Except as provided under paragraph (a)(2) of this section, a disbursement of title IV, HEA program funds occurs on the date that the institution credits the student?s ledger account or pays the student or parent directly with- (i) Funds received form the Secretary; (ii) Institutional funds received from a lender under title IV, HEA program funds; Condition: The College did not report actual loan disbursement dates to the Common Origination and Disbursement (COD) system for 23 of the 40 students in the sample (57.5%). We consider this condition to be a material weakness in internal control over compliance relating to the Eligibility compliance requirement and is a repeat finding shown in Section IV of this report as prior year finding 2021-003. Statistical sampling was not used in making sample selections. Questioned Costs: N/A. Cause and Effect: The College posted the batches incorrectly resulting in a variance in the date of the disbursement per the student account and the date per NSLDS. Recommendation: We recommend the College implement procedures in order to report accurate disbursements dates for Direct Loans to NSLDS. Views of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.

Categories

Student Financial Aid Eligibility Material Weakness Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 45687 2022-003
    Significant Deficiency Repeat
  • 45688 2022-004
    Material Weakness Repeat
  • 45689 2022-005
    Material Weakness Repeat
  • 45690 2022-006
    -
  • 45691 2022-003
    Significant Deficiency Repeat
  • 45692 2022-004
    Material Weakness Repeat
  • 45693 2022-005
    Material Weakness Repeat
  • 45694 2022-006
    -
  • 45695 2022-003
    Significant Deficiency Repeat
  • 45696 2022-004
    Material Weakness Repeat
  • 45697 2022-005
    Material Weakness Repeat
  • 45698 2022-006
    -
  • 45699 2022-003
    Significant Deficiency Repeat
  • 45701 2022-005
    Material Weakness Repeat
  • 45702 2022-006
    -
  • 45703 2022-003
    Significant Deficiency Repeat
  • 45704 2022-004
    Material Weakness Repeat
  • 45705 2022-005
    Material Weakness Repeat
  • 45706 2022-006
    -
  • 622129 2022-003
    Significant Deficiency Repeat
  • 622130 2022-004
    Material Weakness Repeat
  • 622131 2022-005
    Material Weakness Repeat
  • 622132 2022-006
    -
  • 622133 2022-003
    Significant Deficiency Repeat
  • 622134 2022-004
    Material Weakness Repeat
  • 622135 2022-005
    Material Weakness Repeat
  • 622136 2022-006
    -
  • 622137 2022-003
    Significant Deficiency Repeat
  • 622138 2022-004
    Material Weakness Repeat
  • 622139 2022-005
    Material Weakness Repeat
  • 622140 2022-006
    -
  • 622141 2022-003
    Significant Deficiency Repeat
  • 622142 2022-004
    Material Weakness Repeat
  • 622143 2022-005
    Material Weakness Repeat
  • 622144 2022-006
    -
  • 622145 2022-003
    Significant Deficiency Repeat
  • 622146 2022-004
    Material Weakness Repeat
  • 622147 2022-005
    Material Weakness Repeat
  • 622148 2022-006
    -

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.72M
84.063 Federal Pell Grant Program $1.15M
84.033 Federal Work-Study Program $936,243
84.425 Education Stabilization Fund $105,943
84.038 Perkins Loan Program $75,937
84.007 Federal Supplemental Educational Opportunity Grants $53,686