Finding 600527 (2022-004)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-03-28
Audit: 20750
Organization: Pacific Islands Bible College (GU)

AI Summary

  • Core Issue: The University reported inaccurate disbursement dates in 71% of tested cases, leading to noncompliance with federal reporting requirements.
  • Impacted Requirements: Discrepancies were found between student account ledgers and the COD system, as well as inconsistencies in key line items on the FISAP report.
  • Recommended Follow-Up: Implement stronger review controls to ensure accurate reporting for the SFA cluster programs.

Finding Text

Federal Agency: U.S. Department of Education ALN and Title: Student Financial Aid (SFA) Cluster Award Number: Various Area: Reporting Questioned Cost: $0 Criteria: Institutions submit Direct Loan, Pell Grant, TEACH Grant, and IASG origination records and disbursement records to the Common Origination and Disbursement (COD) system (OMB No. 1845-0039). Part 5 L. Reporting of the 2022 OMB Compliance Supplement identified the disbursement date as one of the key items. ED Form 646-1, Fiscal Operations Report and Application to Participate (FISAP) (OMB No. 1845-0030) is an electronic report submitted annually to receive funds for the campus-based programs (FWS, FSEOG 34 CFR 673.3; Fiscal Operations Report and Application to Participate Instructions). Part 5 L. Reporting of the 2022 OMB Compliance Supplement identified various line items as key items containing critical information. Condition: 1. Out of 31 samples of disbursements tested, we noted 22 (or 71%) disbursements where the disbursement date per student account ledger did not match the disbursement date reported in the COD system. 2. We noted differences in the key line items reported in the FISAP report and per the underlying records as follows: "See Schedule of Findings and Questioned Costs for the table" Cause: The University lacks adequate review controls to ensure the accuracy of information being reported in the COD system and in the FISAP report. Effect: The University is noncompliant with reporting requirements. Recommendation: The University should implement review controls over reports required to be submitted for the programs under the SFA cluster. Views of responsible officials: Management agrees. Refer to Corrective Action Plan.

Categories

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 24075 2022-003
    Material Weakness Repeat
  • 24076 2022-004
    Significant Deficiency
  • 24077 2022-007
    Significant Deficiency Repeat
  • 24078 2022-003
    Material Weakness Repeat
  • 24079 2022-004
    Significant Deficiency
  • 24080 2022-007
    Significant Deficiency Repeat
  • 24081 2022-003
    Material Weakness Repeat
  • 24082 2022-004
    Significant Deficiency
  • 24083 2022-007
    Significant Deficiency Repeat
  • 24084 2022-003
    Material Weakness Repeat
  • 24085 2022-004
    Significant Deficiency
  • 24086 2022-005
    Significant Deficiency
  • 24087 2022-006
    Significant Deficiency Repeat
  • 24088 2022-007
    Significant Deficiency Repeat
  • 600517 2022-003
    Material Weakness Repeat
  • 600518 2022-004
    Significant Deficiency
  • 600519 2022-007
    Significant Deficiency Repeat
  • 600520 2022-003
    Material Weakness Repeat
  • 600521 2022-004
    Significant Deficiency
  • 600522 2022-007
    Significant Deficiency Repeat
  • 600523 2022-003
    Material Weakness Repeat
  • 600524 2022-004
    Significant Deficiency
  • 600525 2022-007
    Significant Deficiency Repeat
  • 600526 2022-003
    Material Weakness Repeat
  • 600528 2022-005
    Significant Deficiency
  • 600529 2022-006
    Significant Deficiency Repeat
  • 600530 2022-007
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $459,258
84.268 Federal Direct Student Loans $214,991
84.425 Education Stabilization Fund $80,000
84.033 Federal Work-Study Program $4,896
84.007 Federal Supplemental Educational Opportunity Grants $4,840