Finding 571156 (2024-002)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-07-14
Audit: 362076

AI Summary

  • Core Issue: The District has a material weakness in internal controls over compliance, specifically in reporting student enrollment status to NSLDS.
  • Impacted Requirements: Enrollment information must be reported accurately and timely as per federal regulations (34 CFR 690.93(b)(2), 34 CFR 682.610, 34 CFR 685.309).
  • Recommended Follow-Up: Update internal controls to ensure timely and accurate reporting of enrollment status changes to NSLDS.

Finding Text

Student Financial Assistance Cluster Federal Supplemental Education Opportunity Grants, ALN 84.007; Federal Work-Student Program, ALN 84.033; Federal Pell Grant Program, ALN 84.063; Federal Direct Student Loans, ALN 84.268 U. S. Department of Education, Program Year 2023-2024 Type of Finding – Material Weakness in Internal Control Over Compliance Criteria or Specific Requirement – Special Tests and Provisions – Enrollment Reporting (34 CFR 690.93(b)(2); 34 CFR 682.610; 34 CFR 685.309. Institutions are required to report enrollment information. Condition – The District did not report timely and accurate student status information to the National Student Loan Data System (NSLDS). Cause – The District’s internal controls related to NSLDS reporting did not ensure status changes were reported timely and accurately. Effect or Potential Effect – Incorrect enrollment information was reported to NSLDS, and some of the information was not reported timely. Questioned Costs – None. Context – Out of a population of 3,106 students who received Pell Grants or Federal Direct Loans during the 2023-2024 award year and also had an increase or decrease in enrollment, graduated, or withdrew, a sample of 40 students was selected for testing. Our sample was not, and was not intended to be, statistically valid. Of the 40 students tested, 37 students’ enrollment information was incorrectly reported to NSLDS or not reported timely. Identification as a Repeat Finding, if Applicable – N/A Recommendation – The District should update internal controls related to NSLDS reporting to ensure changes in students’ enrollment status are reported in a timely and accurate manner on a recurring basis. Views of Responsible Officials and Planned Corrective Actions – There is no disagreement with the audit finding. See corrective action plan.

Categories

Student Financial Aid Material Weakness Reporting Matching / Level of Effort / Earmarking Special Tests & Provisions Internal Control / Segregation of Duties

Other Findings in this Audit

  • 571152 2024-001
    Significant Deficiency
  • 571153 2024-002
    Material Weakness
  • 571154 2024-003
    Material Weakness
  • 571155 2024-001
    Significant Deficiency
  • 571157 2024-003
    Material Weakness
  • 571158 2024-001
    Significant Deficiency
  • 571159 2024-002
    Material Weakness
  • 571160 2024-003
    Material Weakness
  • 571161 2024-001
    Significant Deficiency
  • 571162 2024-002
    Material Weakness
  • 571163 2024-003
    Material Weakness
  • 1147594 2024-001
    Significant Deficiency
  • 1147595 2024-002
    Material Weakness
  • 1147596 2024-003
    Material Weakness
  • 1147597 2024-001
    Significant Deficiency
  • 1147598 2024-002
    Material Weakness
  • 1147599 2024-003
    Material Weakness
  • 1147600 2024-001
    Significant Deficiency
  • 1147601 2024-002
    Material Weakness
  • 1147602 2024-003
    Material Weakness
  • 1147603 2024-001
    Significant Deficiency
  • 1147604 2024-002
    Material Weakness
  • 1147605 2024-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $21.01M
84.268 Federal Direct Student Loans $13.52M
17.278 Wioa Dislocated Worker Formula Grants $1.98M
84.425 Education Stabilization Fund $1.49M
84.048 Career and Technical Education -- Basic Grants to States $1.08M
84.047 Trio Upward Bound $923,945
84.002 Adult Education - Basic Grants to States $771,028
10.568 Emergency Food Assistance Program (administrative Costs) $705,657
84.031 Higher Education Institutional Aid $599,222
17.259 Wioa Youth Activities $586,334
84.007 Federal Supplemental Educational Opportunity Grants $405,923
84.042 Trio Student Support Services $351,148
84.044 Trio Talent Search $341,650
20.106 Airport Improvement Program, Infrastructure Investment and Jobs Act Programs, and Covid-19 Airports Programs $340,965
17.277 Wioa National Dislocated Worker Grants / Wia National Emergency Grants $225,051
84.033 Federal Work-Study Program $169,350
84.116 Fund for the Improvement of Postsecondary Education $136,181
45.162 Promotion of the Humanities Teaching and Learning Resources and Curriculum Development $134,050
20.205 Highway Planning and Construction $108,260
17.285 Registered Apprenticeship $98,607
21.027 Coronavirus State and Local Fiscal Recovery Funds $90,621
59.037 Small Business Development Centers $48,321
47.076 Stem Education (formerly Education and Human Resources) $29,690
10.216 1890 Institution Capacity Building Grants $27,300
10.558 Child and Adult Care Food Program $26,532
17.258 Wioa Adult Program $18,552
11.032 State Digital Equity Planning and Capacity Grant $15,000
45.309 Museum Grants for African American History and Culture $13,466
43.008 Office of Stem Engagement (ostem) $11,206
47.083 Integrative Activities $4,485
45.129 Promotion of the Humanities Federal/state Partnership $461