Finding 512129 (2024-004)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2024-11-25
Audit: 329878
Organization: Connors State College (OK)

AI Summary

  • Core Issue: The College failed to document exit counseling notifications for 5 out of 40 students tested, which is a significant deficiency in internal controls.
  • Impacted Requirements: This finding relates to compliance with 34 CFR 682.604, which mandates proper exit counseling for Stafford Loan borrowers.
  • Recommended Follow-Up: The College should improve its reporting processes to ensure timely notification of exit counseling for all eligible students.

Finding Text

Federal Agency US Department of Education Federal Program Name Student Financial Assistance Cluster Assistance Listing Number 84.007, 84.038, 84.063, 84.268 Federal Award Identification Number and Year P007A233410 - 2024, P033A233410 - 2024, P063P232032 - 2024, P268K24032 - 2024 Pass-Through Agency (if applicable) N/A Pass-Through Number(s) (if applicable) N/A Award Period 7/1/2023-6/30/2024 Compliance Requirement Affected Eligibility Type of Finding Internal Control Significant Deficiency Document judgment for your assessment Control finding did not result in material questioned costs-therefore we will document as a SD. Additionally qualitatively failure did not have material impact on compliance. Compliance Not Material Document judgment for your assessment Not greater than 5% and not a systemic failure Criteria or specific requirement "34 CFR 682.604, states that a school must ensure that exit counseling is conducted with each Stafford Loan borrower and graduate or professional student PLUS Loan borrower either in person, by audiovisual presentation, or by interactive electronic means. In each case, the school must ensure that this counseling is conducted shortly before the student borrower ceases at least half-time study at the school. Per 2 CFR 200.303, nonfederal entities receiving federal awards are required to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements." Condition The College did not properly have documentation of exit counseling notification. Questioned costs: N/A Known Likely Context During our testing of 40 students, we identified 5 students that did not have documentation of exit counseling notification. Cause The College did not have proper procedures in place to ensure that notification of required exit counseling was sent to applicable students. Effect Exit counseling helps federal student loan borrowers understand how to repay their loans and reviews deferment and repayment plans options. If students are not notified of exit counseling, they could be at risk of not understanding their rights and responsibilities regarding loan repayment. Repeat Finding No Recommendation We recommend the College review reporting processes to ensure all students that require exit counseling receive it in a timely manner. Views of Responsible Officials Agree

Categories

Matching / Level of Effort / Earmarking Student Financial Aid Eligibility Reporting Significant Deficiency

Other Findings in this Audit

  • 512118 2024-001
    Significant Deficiency
  • 512119 2024-002
    Significant Deficiency
  • 512120 2024-003
    Significant Deficiency
  • 512121 2024-004
    Significant Deficiency
  • 512122 2024-001
    Significant Deficiency
  • 512123 2024-002
    Significant Deficiency
  • 512124 2024-003
    Significant Deficiency
  • 512125 2024-004
    Significant Deficiency
  • 512126 2024-001
    Significant Deficiency
  • 512127 2024-002
    Significant Deficiency
  • 512128 2024-003
    Significant Deficiency
  • 512130 2024-005
    Significant Deficiency
  • 512131 2024-001
    Significant Deficiency
  • 512132 2024-002
    Significant Deficiency
  • 512133 2024-003
    Significant Deficiency
  • 512134 2024-004
    Significant Deficiency
  • 512135 2024-006
    Significant Deficiency
  • 1088560 2024-001
    Significant Deficiency
  • 1088561 2024-002
    Significant Deficiency
  • 1088562 2024-003
    Significant Deficiency
  • 1088563 2024-004
    Significant Deficiency
  • 1088564 2024-001
    Significant Deficiency
  • 1088565 2024-002
    Significant Deficiency
  • 1088566 2024-003
    Significant Deficiency
  • 1088567 2024-004
    Significant Deficiency
  • 1088568 2024-001
    Significant Deficiency
  • 1088569 2024-002
    Significant Deficiency
  • 1088570 2024-003
    Significant Deficiency
  • 1088571 2024-004
    Significant Deficiency
  • 1088572 2024-005
    Significant Deficiency
  • 1088573 2024-001
    Significant Deficiency
  • 1088574 2024-002
    Significant Deficiency
  • 1088575 2024-003
    Significant Deficiency
  • 1088576 2024-004
    Significant Deficiency
  • 1088577 2024-006
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $4.90M
84.268 Federal Direct Student Loans $3.67M
84.042 Trio Student Support Services $422,247
84.031 Higher Education Institutional Aid $393,682
21.027 Coronavirus State and Local Fiscal Recovery Funds $269,421
93.493 Congressional Directives $247,250
93.558 Temporary Assistance for Needy Families $120,329
84.007 Federal Supplemental Educational Opportunity Grants $116,303
84.033 Federal Work-Study Program $103,605
93.575 Child Care and Development Block Grant $81,053
84.048 Career and Technical Education -- Basic Grants to States $41,222