Finding 48177 (2022-002)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-02-02
Audit: 51844
Organization: Summit Academy Oic (MN)

AI Summary

  • Core Issue: The Academy failed to report student enrollment status changes to NSLDS within the required 30 days, leading to inaccuracies in reporting.
  • Impacted Requirements: Non-compliance with 34 CFR 685.309(b) and 34 CFR 682.610 regarding timely reporting of enrollment status and verification.
  • Recommended Follow-Up: The Academy should review and improve its procedures for reporting status changes and ensure alignment of enrollment effective dates with attendance records.

Finding Text

2022 ? 002: NSLDS Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Aid Cluster ? Various Assistance Listing Numbers: Various Award Period: July 1, 2021, through June 30, 2022 Type of Finding: Significant Deficiency in Internal Control Over Compliance Other Matters Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 685.309(b), states schools must have some arrangement to report student enrollment data to NSLDS through an enrollment roster file. The school is required to report changes in the student?s enrollment status, the effective date of the status, and an anticipated completion date. Also, the Code of Federal Regulations, 34 CFR 682.610, states that institutions must report accurately the enrollment status of all students regardless if they receive aid from the institution or not. Changes to said status are required to be reported within 30 days of becoming aware of the status change, or with the next scheduled transmission of statuses if the scheduled transmission is within 60 days. Condition: During our testing, we noted 4 of the 40 students were not reported of a status change within 30 days. Furthermore, we noted 4 of the 40 students enrollment was not verified every 60 days. Lastly, we noted 3 out of the 4 students effective enrollment date reported to NSLDS on the campus level did not match the program level. Questioned costs: None Context: During our testing, it was noted the Academy did not properly report the change in status within 30 days or certify enrollment every 60 days of the determination. Cause: The Academy did not determine status changes within a timely manner due to extenuating circumstance. Effect: The enrollment effective date reported to NSLDS is used to determine when the student?s grace period should begin. By reporting an incorrect effective date, the grace period begin date for the student will be incorrect. The Academy also did not comply with Department of Education (ED) regulations requiring reporting student enrollment status change to NSLDS within 60 days. Repeat finding: Yes ? 2021-006 Recommendation: We recommend the Academy reevaluate its procedures and review policies surrounding reporting status changes to NSLDS to ensure timely reporting as well as put a process in place to ensure the enrollment effective date reported to NSLDS is aligning with the organization?s last date of attendance. Views of responsible officials: There is no disagreement with the audit finding.

Categories

Student Financial Aid Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 48175 2022-002
    Significant Deficiency Repeat
  • 48176 2022-003
    Significant Deficiency Repeat
  • 48178 2022-003
    Significant Deficiency Repeat
  • 48179 2022-002
    Significant Deficiency Repeat
  • 48180 2022-003
    Significant Deficiency Repeat
  • 48181 2022-004
    Significant Deficiency Repeat
  • 48182 2022-004
    Significant Deficiency Repeat
  • 624617 2022-002
    Significant Deficiency Repeat
  • 624618 2022-003
    Significant Deficiency Repeat
  • 624619 2022-002
    Significant Deficiency Repeat
  • 624620 2022-003
    Significant Deficiency Repeat
  • 624621 2022-002
    Significant Deficiency Repeat
  • 624622 2022-003
    Significant Deficiency Repeat
  • 624623 2022-004
    Significant Deficiency Repeat
  • 624624 2022-004
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $1.36M
84.425 Education Stabilization Fund $1.12M
21.027 Coronavirus State and Local Fiscal Recovery Funds $128,342
84.007 Federal Supplemental Educational Opportunity Grants $36,783
84.033 Federal Work-Study Program $1,855