Finding 547913 (2024-008)

Significant Deficiency Repeat Finding
Requirement
A
Questioned Costs
$1
Year
2024
Accepted
2025-03-31

AI Summary

  • Core Issue: 27% of federal work study recipients were found working during scheduled class hours, violating compliance requirements.
  • Impacted Requirements: Non-compliance with 34 CFR 675.20 regarding work during class times and accurate timesheet records.
  • Recommended Follow-Up: Review and improve policies to prevent compensation for hours worked during class or for hours not actually worked.

Finding Text

Criteria: 34 CFR 675.20 (d)(1) notes “A student may be employed under the FWS program and also receive academic credit for the work performed. Those jobs include, but are not limited to, work performed when the student is - (i) Enrolled in an internship; (ii) Enrolled in practicum; or (iii) Employed in a research, teaching, or other assistantship.” Further, 34 CFR 675.20 (d)(2) states “A student employed in a FWS job and receiving academic credit for that job may not be - … (ii) Paid for receiving instruction in a classroom, laboratory, or other academic setting.” Volume 6, Chapter 2 of the 2023-2024 Federal Student Aid Handbook page 7 notes, “In general, students are not permitted to work in FWS positions during scheduled class times. Exceptions are permitted if an individual class is cancelled, if the instructor has excused the student from attending for a particular day, and if the student is receiving credit for employment in an internship, externship, or community work-study experience. Any such exemptions must be documented.” Volume 6, Chapter 2 of the 2023-2024 Federal Student Aid Handbook page 11 notes, “You must maintain adequate timesheets or records of hours worked for FWS students. These timesheets must show, separately for each day worked, the hours a student worked, and the total hours worked during the job’s payment cycle (i.e., twice a month, every week, every two weeks, etc., but not less than once a month). These amounts and hours recorded must match the hours for which the student is paid.” Condition: During our testing of thirty-seven individuals receiving federal work study, we noted ten individuals (27%) working during scheduled class hours. We also noted one of thirty-seven individuals (3%) where the individual’s hours recorded per the timesheet were less than the hours actually paid. We consider this condition to be a significant deficiency relating to the Activities Allowed or Unallowed compliance requirement and is a repeat finding shown in Section IV of this report as prior year finding 2023-003. Statistical sampling was not used in making sample selections. Questioned Costs: $306 Cause and Effect: Without proper review of hours worked against class hours scheduled, federal work study recipients could receive compensation that is not allowed under the Code of Federal Regulations. Recommendation: We recommend the College evaluate policies and procedures to ensure work study recipients do not receive compensation for hours worked when they have scheduled class hours or for hours not actually worked.

Categories

Questioned Costs Student Financial Aid Significant Deficiency

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $2.27M
84.063 Federal Pell Grant Program $1.15M
84.033 Federal Work-Study Program $973,426
84.038 Federal Perkins Loan Program $75,937
84.007 Federal Supplemental Educational Opportunity Grants $51,433