Finding 59050 (2022-001)

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Requirement
L
Questioned Costs
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Year
2022
Accepted
2023-01-04
Audit: 55756
Organization: Concordia College (MN)

AI Summary

  • Core Issue: The College failed to post a required report for the Student Portion of HEERF funds for the quarter ending June 30, 2021, and did not include the estimated number of eligible students in the September report.
  • Impacted Requirements: Reporting obligations under the CARES and CRRSAA Acts were not fully met, specifically the quarterly reporting for HEERF III and the inclusion of student eligibility data.
  • Recommended Follow-Up: The College should update the September report to include the missing eligibility data and create a report for June 30, 2021, stating that no funds were distributed.

Finding Text

Criteria: Section 18004 of the Coronavirus Aid, Relief and Economic Security (CARES) ACT and Section 314(e) of the Coronavirus Response and Relief Supplemental Appropriations (CRRSAA) Act directs institutions receiving funds to promptly and timely provide detailed accounting of the use and expenditures for HEERF (Higher Education Emergency Relief Funds) I, HEERF II, and HEERF III funds. Each institution is required to share in an easily accessible public location quarterly reports (September 30, December 31, March 31, June 30). The reporting is required for both the Student Portion and the Institutional Portion. While the American Rescue Plan (ARP) does not explicitly identify procedures by which institutions submit a report to the Secretary, the Department exercises this reporting authority under 2 CFR 200.328 and 2 CFR 200.329. Condition/Context: The College did not post a report for the Student Portion of HEERF funds for the quarter ended June 30, 2021. This would have been the first quarter of HEERF III reporting and there were no funds disbursed to students during that quarter. The College posted to the website their quarterly report for September 30, 2021 with in the required timeframe. Upon review, it was noted that the report did not include the estimated total number of students at the institution that are eligible to receive Emergency Financial Aid Grants to Students under the CRRSAA and ARP (a)(1) and (a)(4) programs. Questioned Costs: Not applicable. Cause: The College missed the June 30th report as there were no expenditures from the Student Portion that quarter. The College also missed the requirement to report the estimated number of students eligible to receive Emergency Financial Aid Grants to Students. Effect: The College did not provide all of the information required for the HEERF Student Aid Portion. Recommendation: The College should correct the reporting to include the missing pieces. Management's Response: The College will update the September 30, 2021 quarterly report currently posted on the website to include the estimated number of students eligible for HEERF funds. The College will post an additional report for the quarter ending June 30, 2021, indicating the receipt of funds and that no funds were distributed during the quarter.

Corrective Action Plan

The College will update the September 30, 2021 quarterly report currently posted on the website to include the estimated number of students eligible for HEERF funds. The College will post an additional report for the quarter ending June 30, 2021, indicating the receipt of funds and that no funds were distributed during the quarter.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $8.48M
84.038 Federal Perkins Loan Program $5.49M
84.425 Education Stabilization Fund $2.10M
84.063 Federal Pell Grant Program $1.69M
12.579 Language Training Center $1.11M
84.007 Federal Supplemental Educational Opportunity Grants $582,402
47.076 Education and Human Resources $303,179
84.033 Federal Work-Study Program $297,104
59.037 Small Business Development Centers $54,643
43.008 Education $40,902
12.900 Language Grant Program $26,701
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $15,925
10.556 Special Milk Program for Children $6,964