Finding 574643 (2024-004)

Need Analysis Significant Deficiency DEPARTMENT OF EDUCATION ALN #: 84.268 Federal Award Identification #: 2023-2024 Award Year Condition: Students were not appropriately awarded federal loans based on need. Criteria: 34 CFR 685.200(a) Questioned Costs: $0 Context: Out of 60 students tested, 4 students were under awarded subsidized loans. 2 students who received only unsubsidized loans had remaining need for subsidized loans. 1 student began the 23-24 award year as a junior but was awarded subsidized loans at a freshman level. 1 student had PLUS loans applied to the need analysis calculation prior to subsidized loans. In total, the 4 students were under awarded $9,757 in subsidized loans. Cause: The College transitioned to a new student information system during the fiscal year. The previous system did not provide a way to easily run a report to review students' need analysis, therefore there was a lack of periodic review during the award year. Effect: Students not awarded need based federal aid according to eligibility. Identification as repeat finding, if applicable: Not applicable. Recommendation: We recommend that the College set up reports in the new student information system to periodically check for over or under awarding of need based federal aid. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.