Finding 540594 (2024-001)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-03-29
Audit: 350358
Organization: Southern Oregon University (OR)

AI Summary

  • Core Issue: Significant deficiencies in reporting student enrollment data to NSLDS were identified, impacting compliance with federal requirements.
  • Impacted Requirements: Institutions must accurately report enrollment changes within 30 days and maintain internal controls per 2 CFR 200.303.
  • Recommended Follow-Up: Enhance policies and procedures for enrollment reporting and increase monitoring of third-party service providers to ensure timely and accurate submissions.

Finding Text

Special Tests – Enrollment Reporting Federal Agency: Department of Education Federal Program Title: Student Financial Assistance Cluster ASSISTANCE LISTING Number: 84.268 – Federal Direct Student Loans 84.063 – Federal Pell Grant Program Federal Award Identification Number and Year: P063P230362 2024 and P268K240362 2024 Award Period: June 1, 2023 to June 30, 2024 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matter Criteria or specific requirement: Institutions are required to report enrollment information under the Pell grant and the Direct loan programs via the National Student Loan Data System (NSLDS) (OMB No. 1845-0035) (Pell, 34 CFR 690.83(b)(2); Direct Loan, 34 CFR 685.309). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website. There are two categories of enrollment information; “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Institutions must report enrollment changes within 30 days; however, if a roster file is expected within 60 days, you may provide the updated data on that roster file. The University must also have an adequate process to internally review submissions to either the third-party servicer or directly to NSLDS. Additionally, Institutions are required to ensure adequate internal controls over compliance are established and maintained in accordance with 2 CFR 200.303. Condition: During our testing of the Direct Loan and Pell Grant programs, we selected a sample of 40 student enrollment changes to test for timeliness and accurate reporting of student status changes to the National Student Loan Data System (NSLDS). Our testing resulted in the following items of noncompliance. 1. 10 individual students where a student's campus-level enrollment effective date was not correctly reported to NSLDS. 34 CFR 685.309 (b)(1) and 34 CFR 690.83(b)(2) 2. 13 instances where a student’s enrollment status change was not reported timely to NSLDS. 34 CFR 685.309(b)(1) and 34 CFR 690.83(b)(2) Questioned costs: N/A Context: Out of a sample of 40 enrollment changes selected for testing for the requirement noted above, we noted 21 students with exceptions. 2 students had multiple instances of noncompliance. Cause: Turnover at the university did not lead to adequate corrective action taken after the prior year audit. The University was unaware of the errors which were caused by the transmission of data between there student information system and the third-party servicer. Effect: The NSLDS system could not be updated accurately or timely with student enrollment information. Repeat finding: Yes 2023-001 Recommendation: We recommend that the University ensure it has enhanced its policies and procedures regarding enrollment reporting including additional monitoring over the third-party service provider to ensure that reporting is completed accurately and timely. View of responsible official: The University agrees with the finding.

Categories

Student Financial Aid Subrecipient Monitoring Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Special Tests & Provisions

Other Findings in this Audit

  • 540593 2024-001
    Significant Deficiency Repeat
  • 540595 2024-002
    Significant Deficiency
  • 540596 2024-003
    Significant Deficiency Repeat
  • 540597 2024-003
    Significant Deficiency Repeat
  • 1117035 2024-001
    Significant Deficiency Repeat
  • 1117036 2024-001
    Significant Deficiency Repeat
  • 1117037 2024-002
    Significant Deficiency
  • 1117038 2024-003
    Significant Deficiency Repeat
  • 1117039 2024-003
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $18.34M
84.063 Federal Pell Grant Program $5.78M
21.027 Coronavirus State and Local Fiscal Recovery Funds $600,370
84.033 Federal Work-Study Program $431,926
84.042 Trio Student Support Services $362,814
84.007 Federal Supplemental Educational Opportunity Grants $359,410
84.217 Trio McNair Post-Baccalaureate Achievement $281,299
47.076 Stem Education (formerly Education and Human Resources) $275,694
93.224 Health Center Program (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $179,678
47.083 Integrative Activities $176,425
84.011 Migrant Education State Grant Program $120,824
59.037 Small Business Development Centers $83,310
93.667 Social Services Block Grant $73,743
15.945 Cooperative Research and Training Programs – Resources of the National Park System $64,639
15.224 Cultural and Paleontological Resources Management $57,146
84.425 Education Stabilization Fund $47,363
47.078 Polar Programs $41,738
43.008 Office of Stem Engagement (ostem) $39,010
13.310 Biomedical Sciences Support Grants $38,837
43.001 Science $25,524
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $24,201
45.310 Grants to States $19,550
15.233 Forest and Woodlands Resource Management $11,230
15.611 Wildlife Restoration and Basic Hunter Education and Safety $1,288
47.050 Geosciences $539