Finding 539164 (2024-005)

Significant Deficiency Repeat Finding
Requirement
I
Questioned Costs
$1
Year
2024
Accepted
2025-03-28
Audit: 349884
Organization: Felician University (NJ)

AI Summary

  • Core Issue: The University lacks formal written policies for procurement and suspension/debarment, leading to non-compliance with federal guidelines.
  • Impacted Requirements: Compliance with the Uniform Guidance, specifically regarding allowable costs, procurement processes, and ensuring vendors are not suspended or debarred.
  • Recommended Follow-Up: The University should develop and implement documented policies and procedures to meet Uniform Guidance requirements and avoid future compliance issues.

Finding Text

Federal Agency: U.S. Department of Education Federal Program Name: Minority Serving Institutions and Higher Education Institutional Aid – Fostering Inclusive Excellence for STEM Achievement Assistance Listing Number: 84.031C Federal Award Identification Number and Year: P031C210072 - 2024 Award Period: July 01, 2023 - June 30, 2024 Type of Finding: • Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: The Uniform Administrative Guidance, Cost Principals, and Requirements for Federal Awards (Uniform Guidance) became effective for grants or incremental funding made on or after December 26, 2014. Entities are now required to have written policies and procedures in place over certain compliance requirements. Compliance requirements that have been significantly affected due to the changes in Uniform Guidance include allowable costs, procurement, and subrecipient monitoring. Non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. When a non-federal entity enters into a covered transaction with an entity at a lower tier, the non-federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. Condition: The University had not consistently performed requirements for procurement and suspension and debarment as outlined in the Uniform Guidance. Questioned costs: None. Context: The University had not implemented formal, written policies and procedures to align with the Uniform Guidance requirements for procurement and suspension and debarment. Cause: The University does not have a formal written policy and procedures to align with the Uniform Guidance requirements for procurement and suspension and debarment. Effect: Procurements are not being made, and suspension and debarment of vendors is not being checked in accordance with the Uniform Guidance. Repeat finding: Yes, 2023-001. Recommendation: We recommend the University document and implement policies and procedures that are aligned with Uniform Guidance for procurement and suspension and debarment to ensure the University is following requirements. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Procurement and Suspension & Debarment Minority Serving Institutions and Higher Education Institutional Aid – Fostering Inclusive Excellence for STEM Achievement – Assistance Listing No. 84.031C Recommendation: We recommend the University document and implement policies and procedures that are aligned with Uniform Guidance for procurement and suspension and debarment to ensure the University is following requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: Felician University has documented and implemented policies and procedures that are aligned with Uniform Guidance for procurement and suspension and debarment to ensure the University is following requirements. Appropriate staff have been notified, and management will monitor this regularly throughout the year to ensure compliance. Name(s) of the contact person(s) responsible for corrective action: Shalini Patel, Controller Planned completion date for corrective action plan: July 1, 2025.

Categories

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring

Other Findings in this Audit

  • 539152 2024-001
    Material Weakness Repeat
  • 539153 2024-001
    Material Weakness Repeat
  • 539154 2024-002
    Significant Deficiency Repeat
  • 539155 2024-002
    Significant Deficiency Repeat
  • 539156 2024-003
    Significant Deficiency
  • 539157 2024-003
    Significant Deficiency
  • 539158 2024-003
    Significant Deficiency
  • 539159 2024-003
    Significant Deficiency
  • 539160 2024-004
    Significant Deficiency
  • 539161 2024-004
    Significant Deficiency
  • 539162 2024-004
    Significant Deficiency
  • 539163 2024-004
    Significant Deficiency
  • 539165 2024-006
    Material Weakness
  • 1115594 2024-001
    Material Weakness Repeat
  • 1115595 2024-001
    Material Weakness Repeat
  • 1115596 2024-002
    Significant Deficiency Repeat
  • 1115597 2024-002
    Significant Deficiency Repeat
  • 1115598 2024-003
    Significant Deficiency
  • 1115599 2024-003
    Significant Deficiency
  • 1115600 2024-003
    Significant Deficiency
  • 1115601 2024-003
    Significant Deficiency
  • 1115602 2024-004
    Significant Deficiency
  • 1115603 2024-004
    Significant Deficiency
  • 1115604 2024-004
    Significant Deficiency
  • 1115605 2024-004
    Significant Deficiency
  • 1115606 2024-005
    Significant Deficiency Repeat
  • 1115607 2024-006
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $12.78M
84.063 Federal Pell Grant Program $5.78M
11.028 Connecting Minority Communities Pilot Program $1.64M
84.007 Federal Supplemental Educational Opportunity Grants $358,880
47.076 Stem Education (formerly Education and Human Resources) $191,500
84.031 Higher Education Institutional Aid $176,502
84.033 Federal Work-Study Program $112,051
47.075 Social, Behavioral, and Economic Sciences $84,894
16.525 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus $68,039
45.162 Promotion of the Humanities Teaching and Learning Resources and Curriculum Development $12,609