Finding 524915 (2024-004)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-02-28
Audit: 344285
Organization: Howard Community College (MD)

AI Summary

  • Core Issue: The University has a significant deficiency in internal controls, leading to discrepancies between the FISAP and supporting documents.
  • Impacted Requirements: Compliance with 2 CFR 200.303(a) and 34 CFR 668.24(e)(i) regarding effective internal controls and accurate record-keeping.
  • Recommended Follow-Up: Strengthen internal controls and establish a formal review process for the FISAP to ensure data accuracy and proper documentation storage.

Finding Text

2024 – 004: Fiscal Operations Report and Application to Participate (FISAP) Reporting Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Aid Cluster Assistance Listing Number: 84.063, 84.268, 84.007, 84.033 Federal Award Identification Number: P063P233052, P063P223052, P268K243052, P268K233052, P007A231754, P007A221754, P033A231754 Award Period: July 1, 2023 – June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Internal Control – Per 2 CFR section 200.303(a), a non-Federal entity must: Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Compliance - The Code of Federal Regulations, 34 CFR 668.24(e)(i) requires an institution to maintain records to support the data contained in the FISAP. Condition: The documents retained by the University to support amounts included in the FISAP did not agree to the FISAP. Questioned Costs: None Context: The enrollment count reported in the FISAP did not agree to supporting documentation. Cause: These errors are a result of issues with the student information system. Effect: The information in the FISAP is utilized to assist in the awarding of future awards and incorrect data could negatively impact future awards. Repeat Finding: No Recommendation: It is recommended that the College strengthens its internal controls and verification processes to ensure the accuracy of data reported in the FISAP. This may include creating a formalized review process for the FISAP and ensuring all supporting schedules used to populate the form are centrally stored. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

2024 – 004: Fiscal Operations Report and Application to Participate (FISAP) Reporting Student Financial Aid Cluster – Assistance Listing No. 84.063, 84.268, 84.007, 84.033 Condition: The documents retained by the University to support amounts included in the FISAP did not agree to the FISAP. Recommendation: It is recommended that the College strengthens its internal controls and verification  processes  to  ensure  the  accuracy  of  data  reported  in  the  FISAP.  This  may  include creating a formalized review process for the FISAP and ensuring all supporting schedules used to populate the form are centrally stored. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Financial Aid Services has created a formalized review process for FISAP and created a central location to store data. This review process includes multiple staff members and internal controls for future review. Name(s) of the contact person(s) responsible for corrective action: Detra Hooper, Financial Aid Services Director Planned completion date for corrective action plan: June 30, 2025

Categories

Student Financial Aid Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 524914 2024-003
    Significant Deficiency
  • 524916 2024-005
    Significant Deficiency
  • 524917 2024-003
    Significant Deficiency
  • 524918 2024-004
    Significant Deficiency
  • 524919 2024-005
    Significant Deficiency
  • 524920 2024-002
    Significant Deficiency
  • 524921 2024-003
    Significant Deficiency
  • 524922 2024-004
    Significant Deficiency
  • 524923 2024-005
    Significant Deficiency
  • 524924 2024-002
    Significant Deficiency
  • 524925 2024-003
    Significant Deficiency
  • 524926 2024-004
    Significant Deficiency
  • 524927 2024-005
    Significant Deficiency
  • 524928 2024-003
    Significant Deficiency
  • 524929 2024-004
    Significant Deficiency
  • 524930 2024-005
    Significant Deficiency
  • 524931 2024-002
    Significant Deficiency
  • 524932 2024-003
    Significant Deficiency
  • 524933 2024-004
    Significant Deficiency
  • 524934 2024-005
    Significant Deficiency
  • 524935 2024-002
    Significant Deficiency
  • 524936 2024-003
    Significant Deficiency
  • 524937 2024-004
    Significant Deficiency
  • 524938 2024-005
    Significant Deficiency
  • 1101356 2024-003
    Significant Deficiency
  • 1101357 2024-004
    Significant Deficiency
  • 1101358 2024-005
    Significant Deficiency
  • 1101359 2024-003
    Significant Deficiency
  • 1101360 2024-004
    Significant Deficiency
  • 1101361 2024-005
    Significant Deficiency
  • 1101362 2024-002
    Significant Deficiency
  • 1101363 2024-003
    Significant Deficiency
  • 1101364 2024-004
    Significant Deficiency
  • 1101365 2024-005
    Significant Deficiency
  • 1101366 2024-002
    Significant Deficiency
  • 1101367 2024-003
    Significant Deficiency
  • 1101368 2024-004
    Significant Deficiency
  • 1101369 2024-005
    Significant Deficiency
  • 1101370 2024-003
    Significant Deficiency
  • 1101371 2024-004
    Significant Deficiency
  • 1101372 2024-005
    Significant Deficiency
  • 1101373 2024-002
    Significant Deficiency
  • 1101374 2024-003
    Significant Deficiency
  • 1101375 2024-004
    Significant Deficiency
  • 1101376 2024-005
    Significant Deficiency
  • 1101377 2024-002
    Significant Deficiency
  • 1101378 2024-003
    Significant Deficiency
  • 1101379 2024-004
    Significant Deficiency
  • 1101380 2024-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $981,240
93.575 Child Care and Development Block Grant $777,046
84.002 Adult Education - Basic Grants to States $611,872
84.063 Federal Pell Grant Program $233,486
84.033 Federal Work-Study Program $220,087
84.425 Education Stabilization Fund $150,559
84.048 Career and Technical Education -- Basic Grants to States $95,787
12.900 2023 Startalk Student Program $81,912
17.285 Registered Apprenticeship $34,317
84.007 Federal Supplemental Educational Opportunity Grants $33,892
84.268 Federal Direct Student Loans $33,256
47.076 Stem Education (formerly Education and Human Resources) $8,527
84.335 Child Care Access Means Parents in School $7,520
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $5,301
12.900 2021 Grant Program - Howard Community College $2,726