Finding 524783 (2024-002)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-02-27

AI Summary

  • Core Issue: The University has a significant weakness in its internal controls, leading to inaccurate and untimely reporting of student enrollment data to NSLDS.
  • Impacted Requirements: The University failed to comply with 34 CFR 682.610, which mandates accurate reporting of enrollment status every 60 days and timely responses to NSLDS.
  • Recommended Follow-Up: The University should revise its reporting procedures to ensure compliance with federal regulations and improve the accuracy and timeliness of enrollment data submissions.

Finding Text

Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster Federal Assistance Listing Number: Various Federal Award Identification Number and Year: N/A Pass-Through Agency: N/A Pass-Through Number: N/A Award Period: June 1, 2023 – May 31, 2024 Type of Finding: • Material Weakness in Internal Control over Compliance • Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 682.610, states that institutions must report accurately the enrollment status of all students regardless if they receive aid from the institution or not. This includes the enrollment effective date and related enrollment status, which must be reported for both the Campus-Level and the Program-Level. In addition, at a minimum, schools are required to certify enrollment every 60 days, and respond within 15 days of the date that NSLDS sends a Roster file to the school or its third-party servicer. Condition: During our testing, we noted 6 out of the 60 students tested did not have enrollment data certified every 60 days. In 10 of the 60 students tested, the students’ status per the institution's records did not match what was reported to NSLDS. Furthermore, 14 out of the 60 students had an incorrect enrollment effective date. Lastly, 1 of the 60 students tested was not reported to NSLDS at all but should have been. Questioned Costs: None Context: During our testing, it was noted the University does not have a process in place to ensure timeliness and accuracy of NSLDS reporting. Cause: The University’s processes and controls did not ensure that student status changes were properly reported to NSLDS in a timely manner. Effect: The University did not comply with Department of Education (ED) regulations by reporting student enrollment status changes timely. Repeat Finding: Yes – 2023-002 Auditor’s Recommendation: We recommend the University review its reporting procedures to ensure that students’ statuses are accurately and timely reported to NSLDS as required by regulations. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding.

Categories

Student Financial Aid Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 524779 2024-002
    Material Weakness Repeat
  • 524780 2024-002
    Material Weakness Repeat
  • 524781 2024-002
    Material Weakness Repeat
  • 524782 2024-002
    Material Weakness Repeat
  • 524784 2024-002
    Material Weakness Repeat
  • 524785 2024-003
    Significant Deficiency
  • 1101221 2024-002
    Material Weakness Repeat
  • 1101222 2024-002
    Material Weakness Repeat
  • 1101223 2024-002
    Material Weakness Repeat
  • 1101224 2024-002
    Material Weakness Repeat
  • 1101225 2024-002
    Material Weakness Repeat
  • 1101226 2024-002
    Material Weakness Repeat
  • 1101227 2024-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $20.09M
84.063 Federal Pell Grant Program $2.52M
84.007 Federal Supplemental Educational Opportunity Grants $429,582
84.033 Federal Work-Study Program $378,603
84.038 Federal Perkins Loans $162,726
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $115,927
47.049 Mathematical and Physical Sciences $27,825