Finding Text
Special Tests – Using a Servicer or Financial Institution to Deliver Title IV Credit Balances to a Card or Other Access Device
Federal Agency: Department of Education
Federal Program Title: Student Financial Assistance Cluster
ASSISTANCE LISTING Numbers:
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: An institution must provide to Department of Education an up-to date URL for the contract for publication in a centralized database accessible to the public. Unless the school has a Tier Two arrangement under the threshold, the URL must also include the contract data described in the paragraph above (34 CFR 668.164(e)(2)(viii); 668.164(f)(4)(iii)(B); 668.164(f)(4)(v)). 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 the University could not provide support that an up-to-date contract establishing their tier two arrangement was provided to the Department of Education.
Questioned costs: N/A
Context: The University did not meet the compliance requirement to report the contract and contract components to the Department of Education.
Cause: Turnover at the university did not lead to adequate corrective action taken after the prior year audit. The University was not aware of the requirement and previously personal did not retain applicable support, if completed.
Effect: The Department of Education was not provided required information regarding the contract.
Repeat finding: Yes 2023-003
Recommendation: We recommend that the University ensure it has enhanced its policies and procedures to ensure required contracts and contract components are provided to the Department of
education when required.
View of responsible official: The University agrees with the finding.