Finding Text
2022 ? 004 ? Higher Education Emergency Relief Funds (HEERF) Reporting Federal Agency: Department of Education Federal Program Title: Higher Education Emergency Relief Funds ALN Numbers: 84.425E, 84.425F Award Period: July 1, 2021 to June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: The Code of Federal Regulations (CFR) Section 200.303 requires that nonfederal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the nonfederal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Condition: During our testing of reporting, we noted the College did not revise its reporting of the HEERF expenditures that were originally reported in fiscal year 2020 and subsequently corrected on the financial statements of the College. We noted the required quarterly student-portion reporting was not uploaded to the College?s website in fiscal year 2022. We noted the required quarterly institutional-portion reporting for quarter-ending 12/31/21 and 3/31/22 were not uploaded to the College?s website in fiscal year 2022. Lastly, we noted several discrepancies in the numbers reported in the annual report submitted for 2021. There was also no documentation of review of this report. Questioned costs: None Context: There was a lack of internal control processes in place for submission of the necessary required reporting. Cause: The College did not have an internal control structure that included correcting errors in reporting or timely submission of reporting. Effect: Mistakes and/or errors could result if internal control procedures are not properly in place and implemented. Repeat Finding: Yes, 2021-002 Recommendation: We recommend that the College review their policies surrounding federal grants and ensure a review process is in place to ensure that all necessary compliance requirements are met. Views of Responsible Officials: There is no disagreement with the audit finding.