Finding 503507 (2024-001)

Student Financial Assistance Cluster, ALN 84.063 Federal Pell Grant Program, ALN 84.268 Federal Direct Student Loans, U.S. Department of Education Program Year 2023–2024 Criteria or Specific Requirement – Special Tests and Provisions – Enrollment Reporting – 34 CFR Section 690.83(b)(2) and 685.309 Condition – Two student status effective dates did not agree to that reported to NSLDS. Questioned Costs – N/A Context – Out of the population of 982 student enrollment status changes requiring reporting to NSLDS, a sample of 25 students was selected for testing. Of those 25 students, two student status effective dates did not agree to that reported to NSLDS. Our sample was not, and was not intended to be, statistically valid. Effect – Accurate enrollment reporting is critical for effective management of the Direct Loan program. The collection of enrollment data allows the Department to ensure loan interest subsidies are based on accurate enrollment information, loan repayment dates are accurate, as well as determining eligibility for in-school status, deferment, and grace periods. Cause – Internal controls of the University’s student financial aid operations were not properly designed or effective to ensure complete and accurate student status information was being submitted to NSLDS. Indication as a Repeat Finding – N/A Recommendation – Key operating processes and related internal controls related to student status changes should be designed and effectively operating to ensure complete and accurate student status changes are being submitted. Views of Responsible Officials and Planned Corrective Actions – Management agrees with the finding. See attached corrective action plan.