Finding 547582 (2024-006)

-
Requirement
N
Questioned Costs
$1
Year
2024
Accepted
2025-03-31
Audit: 351759
Organization: Newberry College (SC)
Auditor: Capincrouse LLC

AI Summary

  • Core Issue: The College failed to obtain necessary tax information for one student flagged for verification, impacting need-based aid.
  • Impacted Requirements: This violates 34 CFR 668.56, which mandates verification of reported information.
  • Recommended Follow-Up: Conduct regular reviews of verification processes to ensure all documentation is properly maintained.

Finding Text

Verification DEPARTMENT OF EDUCATION ALN #: 84.268 Federal Award Identification #: 2023-2024 Award Year Condition: As required under 34 CFR 668.56, for students who are flagged for verification, the College is required to obtain underlying tax and other information to verify that amounts are properly reported on the ISIR and correct the ISIR if there are discrepancies. Criteria: 34 CFR 668.56 Questioned Costs: $5,500 Context: There was one student out of a sample of 25 selected for verification for which the College was not able to locate underlying tax support or number in college/number in family as provided by the student and/or parent. Cause: Due to turnover and staffing challenges in the financial aid office, the support for this student was unable to be located. Effect: Need based aid is impacted directly by the results of verification. Identification as repeat finding, if applicable: Not applicable Recommendation: We recommend the College periodically review verification completed for students with need-based aid to ensure all required documentation is properly maintained. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Corrective Action Plan

Verification Planned Corrective Action: Verification was performed for this student based on the documents received at the time. Unfortunately, retrieving these documents was not possible. Prior staff did not move the file to digital file folder and misfiled the documents. As mentioned, due to staff turnover, securing some documents has been difficult. The current process is to scan all documents from students into a secure electronic folder where all financial aid staff can view. Financial Aid counselors perform periodic reviews to ensure documents are on file and retrievable. Financial Aid staff are maintaining hard copy files as a 2nd form of confirmation. Person Responsible for Corrective Action Plan: Karen Benfield, Director of Financial Aid Anticipated Date of Completion: Currently implemented

Categories

Questioned Costs Student Financial Aid

Other Findings in this Audit

  • 547579 2024-002
    Material Weakness Repeat
  • 547580 2024-003
    Significant Deficiency Repeat
  • 547581 2024-004
    Significant Deficiency
  • 547583 2024-002
    Material Weakness Repeat
  • 547584 2024-005
    - Repeat
  • 547585 2024-007
    Significant Deficiency Repeat
  • 1124021 2024-002
    Material Weakness Repeat
  • 1124022 2024-003
    Significant Deficiency Repeat
  • 1124023 2024-004
    Significant Deficiency
  • 1124024 2024-006
    -
  • 1124025 2024-002
    Material Weakness Repeat
  • 1124026 2024-005
    - Repeat
  • 1124027 2024-007
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
10.766 Community Facilities Loans and Grants $24.20M
84.268 Federal Direct Student Loans $11.30M
84.063 Federal Pell Grant Program $4.43M
84.007 Federal Supplemental Educational Opportunity Grants $157,021
84.033 Federal Work-Study Program $71,453
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $32,062