Finding 579852 (2023-001)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2023-12-05
Audit: 5338
Organization: Northwestern College (IA)

AI Summary

  • Core Issue: The College failed to update the enrollment status of students in NSLDS, with significant discrepancies noted in reporting.
  • Impacted Requirements: Compliance with 34 CFR 685.309, which mandates timely reporting of enrollment status changes and accurate effective dates.
  • Recommended Follow-Up: Review and improve reporting procedures to ensure accurate and timely updates to NSLDS as per federal regulations.

Finding Text

2023-001 Enrollment Reporting Federal Agency: Department of Education Federal Program: Title: Student Financial Assistance Cluster CFDA Numbers: 84.007 – Federal Supplemental Education Opportunity Grants 84.033 – Federal Work Study Program 84.038 – Federal Perkins Loans 84.063 – Federal Pell Grant Program 84.268 – Federal Direct Student Loans 84.379 – Teacher Education Assistance for College and Higher Education Grants Award Period: July 1, 2022 to June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: The Code of Federal Regulations, 34 CFR 685.309 requires that enrollment status changes for students be reported to NSLDS within 30 days or within 60 days if the student with the status change will be reported on a scheduled transmission within 60 days of the change in status. Regulations require the status include an accurate effective date. In addition, regulations require that an institution make necessary corrections and return the records within 10 days for any roster files that don’t pass the NSLDS enrollment reporting edits. Condition: We noted, during our testing, that five out of 40 students tested whose enrollment status was not updated to graduate to NSLDS. Six out of 40 students tested enrollment status was reported timely. We also noted that 30 of the 40 students tested did not have effective dates in NLSDS compared to the institutions’ records. Lastly, for three of the 40 students tested, the program effective date did not agree in NSLDS to the institutions’ records. Questioned Costs: None Cause: The College’s processes and controls did not ensure that student status changes were properly and timely reported to NSLDS. Effect: The NSLDS system is not updated with the student information which can cause overawarding should the student transfer to another institution and the students may not properly enter the repayment period. Repeat Finding: No Recommendation: We recommend the College review its reporting procedures to ensure that students’ statuses are accurately and timely reported to NSLDS as required by regulations. Views of responsible officials and planned corrective actions: There is no disagreement with the audit finding.

Categories

Student Financial Aid Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 3407 2023-001
    Significant Deficiency
  • 3408 2023-001
    Significant Deficiency
  • 3409 2023-001
    Significant Deficiency
  • 3410 2023-001
    Significant Deficiency
  • 3411 2023-001
    Significant Deficiency
  • 3412 2023-001
    Significant Deficiency
  • 3413 2023-001
    Significant Deficiency
  • 3414 2023-002
    Significant Deficiency
  • 3415 2023-002
    Significant Deficiency
  • 3416 2023-002
    Significant Deficiency
  • 3417 2023-002
    Significant Deficiency
  • 3418 2023-002
    Significant Deficiency
  • 3419 2023-002
    Significant Deficiency
  • 3420 2023-002
    Significant Deficiency
  • 579849 2023-001
    Significant Deficiency
  • 579850 2023-001
    Significant Deficiency
  • 579851 2023-001
    Significant Deficiency
  • 579853 2023-001
    Significant Deficiency
  • 579854 2023-001
    Significant Deficiency
  • 579855 2023-001
    Significant Deficiency
  • 579856 2023-002
    Significant Deficiency
  • 579857 2023-002
    Significant Deficiency
  • 579858 2023-002
    Significant Deficiency
  • 579859 2023-002
    Significant Deficiency
  • 579860 2023-002
    Significant Deficiency
  • 579861 2023-002
    Significant Deficiency
  • 579862 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $9.08M
84.063 Federal Pell Grant Program $1.23M
84.425 Education Stabilization Fund $569,484
84.038 Federal Perkins Loan Program $537,134
84.033 Federal Work-Study Program $158,455
84.007 Federal Supplemental Educational Opportunity Grants $138,772
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $119,399
84.334 Gaining Early Awareness and Readiness for Undergraduate Programs $15,000
47.049 Mathematical and Physical Sciences $4,274
84.063 Administrative Cost Allowance $1,480