FAC Explorer

Finding 547523 (2024-101)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-03-31
Audit: 351728
Organization: Mohave County Community College District (AZ)
Auditor: Snyder & Brown CPAS PLLC

AI Summary

  • Core Issue: The college reported inaccurate financial data in the FISAP report, with discrepancies of $346,272 in tuition and fees and $38,793 in Federal Pell expenditures.
  • Impacted Requirements: Compliance with the annual reporting requirement for the student financial assistance cluster, which mandates alignment with accounting records.
  • Recommended Follow-Up: Implement robust policies and procedures to ensure accurate reporting and reconciliation of financial data before submission.

Finding Text

Assistance Listings Number: 84.007, 84.033, 84.063 & 84.268 Cluster Title: Student Financial Assistance Cluster Program Titles: Federal Supplemental Educational Opportunity Grants, Federal Work-Study Program, Federal Pell Grant Program and Federal Direct Student Loans Federal Agency: U.S. Department of Education Award Year: 2024 Award Number: None Compliance Requirement: Reporting Question Costs: None Criteria: The student financial assistance cluster requires that the college submit the Fiscal Operations Report and Application to Participate annually. The amount should agree to the underlying accounting records. Condition: Total tuition and fees as reported in the FISAP report was $8,787,259 while the district’s underlying accounting records showed $9,133,531 for a difference of $346,272. Total Federal Pell expenditures were reported as $6,259,684 on the FISAP report while the underlying accounting records and schedule of expenditures of federal awards showed $6,298,477 for a difference of $38,793. Cause: The District does not have adequate policies and procedures in place to ensure that revenues and expenditures are reported properly. Year-end adjustments were not identified and recorded prior to FISAP reporting. Effect: Information reported by the District was not accurate and is not in compliance with requirements of the grant. Recommendation: The District should establish policies and procedures to ensure that the amounts reported are accurate and agree to the underlying accounting records. District’s Response: The District’s responsible officials’ views and planned corrective action are in its corrective action plan at the end of the report.

Corrective Action Plan

Assistance Listings Numbers: 84.007, 84.033, 84.063 & 84.268 Cluster Title: Student Financial Assistance Cluster Program Titles: Federal Supplemental Educational Opportunity Grants, Federal Work-Study Program, Federal Pell Grant Program and Federal Direct Student Loans Federal Agency: U.S. Department of Education Award Year: 2024 Award Number: None Compliance Requirement: Reporting Question Costs: None Total tuition and fees as reported in the FISAP report was $8,787,259 while the district’s underlying accounting records showed $9,133,531 for a difference of $346,272. Total Federal Pell expenditures were reported as $6,259,684 on the FISAP report while the underlying accounting records and schedule of expenditures of federal awards showed $6,298,477 for a difference of $38,793 Joline Pruitt, Vice President Administrative Services & CFO Anticipated Completion Date: September 30, 2025 The District agrees with the reported finding and recommendation. The FISAP report was submitted by September 30, 2024; however, year-end adjustments were recorded in the general ledger resulting in the FISAP report not including the year-end adjustments. For future reporting, the District will ensure the FISAP report is filed by the September 30th due date; however, should adjustments be made subsequent to the FISAP submission, the Business Department will communicate to the financial aid department any adjustments and an amended FISAP report will be filed.

Categories

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 547524 2024-101
    Significant Deficiency
  • 547525 2024-101
    Significant Deficiency
  • 547526 2024-101
    Significant Deficiency
  • 1123965 2024-101
    Significant Deficiency
  • 1123966 2024-101
    Significant Deficiency
  • 1123967 2024-101
    Significant Deficiency
  • 1123968 2024-101
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $6.30M
84.268 Federal Direct Student Loans $1.90M
84.048 Career and Technical Education -- Basic Grants to States $513,028
84.007 Federal Supplemental Educational Opportunity Grants $219,565
84.033 Federal Work-Study Program $118,170
59.037 Small Business Development Centers $96,815