FAC Explorer

Finding 524778 (2024-003)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-02-27
Audit: 344161
Organization: Mercyhurst University (PA)
Auditor: Rsm US LLP

AI Summary

  • Core Issue: The University failed to report changes in student status to NSLDS within the required sixty days for seven out of fifty students.
  • Impacted Requirements: This oversight violates 34 CFR 685.309 and the FSA Handbook guidelines.
  • Recommended Follow-Up: Implement a quality assurance process with controls to ensure timely reporting of student status changes.

Finding Text

Program Title: Student Financial Assistance Cluster, Federal Perkins Loan Program Assistance Listing Number: 84.268 Federal Award Number: None Federal Agencies: United States Department of Education Criteria: According to 34 CFR 685.309, the University is required to report a change in student status (withdrawal or graduation) within sixty days to NSLDS. Condition: During the course of our testing, we identified seven students from a sample of fifty whose change in status was not communicated within the required sixty days. Cause: Administrative oversight by personnel in refund process. Effect: The University has not complied with certain requirements of FSA Handbook and Federal Code of Regulations. Questioned Costs: None Context: During testing enrollment reporting, we identified instances where a student change in status was not timely communicated to NSLDS. Repeat Finding: No Recommendation: The University should implement and document an overall quality assurance process including adequate controls to prevent overall noncompliance. View of responsible individuals: Management agrees with the finding.

Corrective Action Plan

Finding: The University is required to report changes in student status within sixty days to the National Student Loan Data System (NSLDS) and, per the testing performed, seven students, whose status changed during the period under audit, were not communicated within the required sixty days to the NSLDS. View of responsible officials and corrective action: Management understands the importance of timely reporting of student status changes to NSLDS. The Registrar’s Office has implemented a process change to generate the reports at the 15th and the end of every month for reporting to NSLDS. This should ensure that students that have a late change are identified when the report is run at the end of the month.

Categories

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 524775 2024-002
    Significant Deficiency
  • 524776 2024-002
    Significant Deficiency
  • 524777 2024-001
    Significant Deficiency
  • 1101217 2024-002
    Significant Deficiency
  • 1101218 2024-002
    Significant Deficiency
  • 1101219 2024-001
    Significant Deficiency
  • 1101220 2024-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $19.97M
95.001 High Intensity Drug Trafficking Areas Program $14.22M
84.063 Federal Pell Grant Program $4.03M
84.287 Twenty-First Century Community Learning Centers $868,361
84.038 Federal Perkins Loan Program_federal Capital Contributions $600,191
84.033 Federal Work-Study Program $290,611
84.007 Federal Supplemental Educational Opportunity Grants $274,034
14.267 Continuum of Care Program $50,089
47.076 Stem Education (formerly Education and Human Resources) $33,496
16.817 Byrne Criminal Justice Innovation Program $21,260
17.245 Trade Adjustment Assistance $20,002
93.925 Scholarships for Health Professions Students From Disadvantaged Backgrounds $5,435
12.620 Troops to Teachers Grant Program $1,072
23.002 Appalachian Area Development $662