FAC Explorer

Finding 52084 (2022-001)

- Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-06-29
Audit: 43771
Organization: Alabama State University (AL)
Auditor: Warren Averett LLC

AI Summary

  • Core Issue: The University failed to properly track Federal Work Study payments, resulting in overpayments to students.
  • Impacted Requirements: Compliance with 34 CFR part 675.19, which mandates accurate payment tracking and record-keeping for Federal Work Study programs.
  • Recommended Follow-Up: Strengthen policies and procedures for administering the Work Study Program to ensure adherence to federal regulations.

Finding Text

Finding 2022-001 ? Special Tests and Provisions ? Individual Program Compliance ? Federal Work Study Programs ? Repeat Finding Information on the federal program: U.S. Department of Education Student Financial Aid Cluster Criteria: 34 CFR part 675.19 establish rules governing the administration of a Federal Work Study program, including payments to students, fiscal procedures, and records. These rules require that the University establish and maintain an internal control system to ensure compliance, including communication with the student to notify them of the amount of funds authorized and how they will be paid, and fiscal responsibility to maintain records to support the amounts earned and paid to the student. Condition: We tested 25 students who participated in Federal Work Study (FWS) during the fiscal year. Of those 25, seven students were paid an amount greater than the authorized amount on the work study authorization form signed by the supervisor and the student. Another student was paid $12 per hour when only $10 was authorized. During the year, the University engaged a consultant to review the FWS program who noted these discrepancies updated any authorization form that was not in compliance at the time the student was paid. Cause: The University is not properly tracking student pay to ensure compliance, therefore, the control system in place is not functioning effectively. Effect: The University did not comply with special test and provision requirements of administering the Federal Work Study Program. Recommendation: We recommend the University strengthen its policies and procedures surrounding the administration of the Work Study Program to ensure compliance with federal requirements. Views of Responsible Officials: See Management?s View and Corrective Action Plan included at the end of the report.

Corrective Action Plan

Finding 2022-001 ? Special Tests and Provisions ? Individual Program Compliance ? Federal Work Study Programs The Office of Student Financial Aid has hired a Federal Work Study Coordinator. The responsibilities of the coordinator are as follows: ? Determine eligibility ? Award the student for the year ? Ensure that the student has a federal work-study contract prior to starting work ? Student and supervisor must sign a work-study responsibility contract ? Student is assigned a work-study job placement ? Student enters their time into TimeClock Plus (TCP) ? Ensures the student time is correct by doing a monthly audit o Audit to ensure that the student doesn?t work more than 20 hours nor that the student works during the class schedule ? Submit information to payroll for processing Anticipated Date of Completion: Corrective action completed as of the date of this report. Contact: K. Michael Francois Associate Vice President for Student Affairs/Financial Aid kfrancois@alasu.edu 334.229.4826

Categories

Special Tests & Provisions Student Financial Aid Internal Control / Segregation of Duties

Other Findings in this Audit

  • 52085 2022-002
    Significant Deficiency Repeat
  • 52086 2022-003
    - Repeat
  • 52087 2022-001
    - Repeat
  • 52088 2022-002
    Significant Deficiency Repeat
  • 52089 2022-003
    - Repeat
  • 52090 2022-001
    - Repeat
  • 52091 2022-002
    Significant Deficiency Repeat
  • 52092 2022-003
    - Repeat
  • 52093 2022-001
    - Repeat
  • 52094 2022-002
    Significant Deficiency Repeat
  • 52095 2022-003
    - Repeat
  • 52096 2022-001
    - Repeat
  • 52097 2022-002
    Significant Deficiency Repeat
  • 52098 2022-003
    - Repeat
  • 628526 2022-001
    - Repeat
  • 628527 2022-002
    Significant Deficiency Repeat
  • 628528 2022-003
    - Repeat
  • 628529 2022-001
    - Repeat
  • 628530 2022-002
    Significant Deficiency Repeat
  • 628531 2022-003
    - Repeat
  • 628532 2022-001
    - Repeat
  • 628533 2022-002
    Significant Deficiency Repeat
  • 628534 2022-003
    - Repeat
  • 628535 2022-001
    - Repeat
  • 628536 2022-002
    Significant Deficiency Repeat
  • 628537 2022-003
    - Repeat
  • 628538 2022-001
    - Repeat
  • 628539 2022-002
    Significant Deficiency Repeat
  • 628540 2022-003
    - Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $30.96M
84.063 Federal Pell Grant Program $14.07M
84.425 Education Stabilization Fund $9.80M
84.031 Higher Education_institutional Aid $7.62M
84.334 Gaining Early Awareness and Readiness for Undergraduate Programs $1.81M
84.033 Federal Work-Study Program $801,580
84.007 Federal Supplemental Educational Opportunity Grants $427,295
84.044 Trio_talent Search $386,998
84.038 Federal Perkins Loan Program $312,650
84.047 Trio_upward Bound $292,910
84.042 Trio_student Support Services $269,562
12.630 Basic, Applied, and Advanced Research in Science and Engineering $266,724
93.859 Biomedical Research and Research Training $251,873
12.431 Basic Scientific Research $230,767
93.268 Immunization Cooperative Agreements $205,181
47.074 Biological Sciences $177,280
47.083 Integrative Activities $135,602
43.008 Education $119,201
47.076 Education and Human Resources $95,988
81.123 National Nuclear Security Administration (nnsa) Minority Serving Institutions (msi) Program $94,321
93.310 Trans-Nih Research Support $83,150
12.300 Basic and Applied Scientific Research $81,176
93.110 Maternal and Child Health Federal Consolidated Programs $75,594
16.560 National Institute of Justice Research, Evaluation, and Development Project Grants $53,532
47.041 Engineering $52,910
93.658 Foster Care_title IV-E $46,252
12.002 Procurement Technical Assistance for Business Firms $43,240
93.433 Acl National Institute on Disability, Independent Living, and Rehabilitation Research $23,757
93.279 Drug Abuse and Addiction Research Programs $20,041
93.866 Aging Research $12,461
12.002 Science, Technology, Engineering & Mathematics (stem) Education, Outreach and Workforce Program $8,551
10.707 Research Joint Venture and Cost Reimbursable Agreements $7,286
12.330 Science, Technology, Engineering & Mathematics (stem) Education, Outreach and Workforce Program $7,032
84.153 Business and International Education Projects $4,189
45.024 Promotion of the Arts_grants to Organizations and Individuals $855
15.932 Preservation of Historic Structures on the Campuses of Historically Black Colleges and Universities (hbcus). $505
59.037 Small Business Development Centers $381
84.120 Minority Science and Engineering Improvement $-750