Finding Text
2024-007 —Financial Reporting– Significant Deficiency in Internal Control Over Compliance and Noncompliance
Federal program information:
Funding agencies: U.S. Department of Education
Titles: SFA Cluster-Federal Pell Grant Program
ALN Number: 84.063
Award years: 2024
Criteria: According to 2 CFR Section 200.328, nonfederal entities may be required to submit financial reports at least annually as required by the terms of the federal award. In addition, the grant requires origination and disbursement records be submitted to the Common Origination and Disbursement (COD) system.
Condition: The College did not submit disbursement records for students as required.
Cause: The College was affected by a ransomware attack that restricted access from their system in order to submit the disbursement records to the COD system.
Effect: The College is not in compliance with reporting requirements.
Questioned Costs: None
Context: Disbursement records were not reported for fall 2023 to the COD system.
Recommendation: Work with Department of Education to report the disbursement records for the time period not reported to the COD system.
Management’s Response: The College will submit disbursement records to the COD system as required.