Finding 499979 (2023-001)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-09-30

AI Summary

  • Core Issue: Incorrect enrollment status reported to NSLDS for two students, indicating procedural lapses.
  • Impacted Requirements: Compliance with 34 C.F.R. § 685.309(b) for timely and accurate reporting of student enrollment information.
  • Recommended Follow-Up: Correct the enrollment data for the affected students and reinforce adherence to submission procedures.

Finding Text

FINDING 2023-001 Federal Grantor/Program or Cluster Title Student Financial Assistance Cluster Department of Education Programs Federal Direct Student Loans Federal CFDA Number 84.268 Criteria - Organizations are required to report Campus and Program level changes in a student's enrollment information to the National Student Loan Data System (NSLDS). Organizations must review, update, and verify student enrollment statuses, program information, and effective dates and report this information to NSLDS in an accurate and timely manner (34 C.F.R. § 685.309(b)). Condition - The Organization reported incorrect enrollment status information to NSLDS for two students. Cause - In these cases, it appears that the Organization's procedures for submitting accurate information to NSLDS were not properly followed. Effect - Student status information reported to NSLDS was compared to information from the students' files for students who had a reduction or increase in attendance levels, graduated, withdrew, or enrolled but never attended from our file testing sample. For two of the six students tested, the following discrepancies was noted: Student Al A34 Status per NSLDS Withdrawal - 08/19/23 Withdrawal - 08/13/22 Status per Support Graduated - 08/19/23 Withdrawal- 10/21/23 Questioned Costs - There are no questioned costs associated with this finding and the overall rate for this finding is 33.3% (2/6). This finding has been identified as a significant deficiency in internal control over compliance in the Independent Auditors' Report on Compliance for Each Major Program and on Internal Control Over Compliance. Recommendation - The Organization should correct the enrollment information in NSLDS for the students noted above. In addition, the Organization should take steps to ensure that its procedures to accurately submit information to NSLDS are strictly followed. Views of Responsible Officials - The Organization concurs with this finding and has procedures in place as outlined in the Corrective Action Plan to ensure compliance with requirements.

Corrective Action Plan

The NSLDS Enrollment Reporting has been reporting to NSLDS by the third-party servicer RGM. A reminder will be posted in RGM and the school will review the monthly roster. The school will work closely with the third-party servicer to make sure correct student status information is reported to the NSLDS from now on. Effective completion September 24, 2024

Categories

Student Financial Aid Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 499980 2023-002
    Significant Deficiency
  • 1076421 2023-001
    Significant Deficiency
  • 1076422 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.17M
84.033 Federal Work-Study Program $14,078