Finding 529842 (2024-001)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-03-25

AI Summary

  • Core Issue: The University lacks internal controls to verify student eligibility for financial aid, leading to untimely reporting of enrollment status changes.
  • Impacted Requirements: Compliance with 34 CFR 682.610, which mandates accurate and timely enrollment reporting to NSLDS every 60 days.
  • Recommended Follow-Up: Review and improve enrollment reporting policies to ensure compliance with federal regulations and timely roster uploads.

Finding Text

2024-001: Special Tests & Provisions Assistance Listing Title: Federal Direct Student Loans- SFA Cluster Assistance Listing Number: 84.268 Federal Award Year: 2023-2024 Federal Agency: Department of Education Federal Award Identification Number: P268K230377 (Direct Loan 2023) Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Material Weakness over Compliance Category of Finding: Special Tests- Enrollment Reporting Questioned Costs: $0 Condition: The University has no verifiable internal controls in place to ensure that the eligibility requirements for students receiving financial aid are maintained. Untimely reporting by the University of students’ changes in status during the 2023-2024 award year under audit. Criteria: 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 as well as the program begin date. 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. Cause: Lack of appropriate policy and procedure in place regarding NSLDS enrollment reporting for the year under audit. Context: This condition occurred for 40 out of 40 samples selected for testing. Effect: Non-compliance with federal regulations which could lead to untimely and incorrect reporting of enrollment information to NSLDS. Repeat Finding: No Recommendation: We recommend that the University review their enrollment reporting policies and procedures to ensure accurate reporting and roster uploads to NSLDS are made and certified within the 60 day compliance requirements. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

The VP of Admin has secured access to the reporting capability in the NSLDS to generate enrollment reports on a timely basis. The univeristy has already provided timely updates of enrollment status to NSLDS every 30-60 days. Additionally, once enrollment status are updated, the Director of Financial Aid will receive the updated enrollment report and will certify that the statuses have been accurately reflected. These reports will be securely maintained by the office of administration.

Categories

Student Financial Aid Reporting Special Tests & Provisions Eligibility Material Weakness Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1106284 2024-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $3.80M
93.732 Mental and Behavioral Health Education and Training Grants $435,808
21.027 Coronavirus State and Local Fiscal Recovery Funds $96,564
84.033 Federal Work-Study Program $67,590