Finding 606876 (2022-010)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-30
Audit: 24262
Auditor: Rsm US LLP

AI Summary

  • Core Issue: The institution lacks a documented quality assurance process for federal student loan compliance.
  • Impacted Requirements: This violates Direct Loan regulations requiring quality assurance to meet program objectives.
  • Recommended Follow-Up: Implement and regularly review a formal quality assurance process to ensure compliance.

Finding Text

Finding No. 2022-010?Special Tests ? Disbursement to or on Behalf of Students Federal Agency: U.S. Department of Education Program: Federal Direct Student Loans: ALN: 84.268 Criteria: The Direct Loan regulations at 34 CFR 685.300(b)(9) requires the institution to implement and document a quality assurance process to ensure that they are complying with program requirements and meeting program objectives. Condition: The institution does not have a documented quality assurance process. Questioned Costs: None Prevalence: There was no documented quality assurance process for the year ended June 30, 2022. Effect: Not following requirements could result in the DOE withholding payments to the Conservatory. Cause: There was significant turnover in the finance and financial aid department and a lack of formal documentation and filing of policies and procedures surrounding administering financial aid. Recommendation: We recommend that the Conservatory implement a formal documented quality assurance process, to review this process on a regular basis and document that the process is being used. View of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and corrective actions have been made.

Categories

Student Financial Aid Matching / Level of Effort / Earmarking Special Tests & Provisions

Other Findings in this Audit

  • 30432 2022-008
    Significant Deficiency
  • 30433 2022-009
    Significant Deficiency
  • 30434 2022-010
    Significant Deficiency
  • 30435 2022-009
    Significant Deficiency
  • 30436 2022-009
    Significant Deficiency
  • 30437 2022-009
    Significant Deficiency
  • 30438 2022-003
    Significant Deficiency
  • 30439 2022-004
    Significant Deficiency
  • 30440 2022-005
    Material Weakness
  • 30441 2022-006
    Significant Deficiency Repeat
  • 30442 2022-007
    Significant Deficiency
  • 30443 2022-009
    Significant Deficiency
  • 30444 2022-003
    Significant Deficiency
  • 30445 2022-004
    Significant Deficiency
  • 30446 2022-005
    Material Weakness
  • 30447 2022-006
    Significant Deficiency Repeat
  • 606874 2022-008
    Significant Deficiency
  • 606875 2022-009
    Significant Deficiency
  • 606877 2022-009
    Significant Deficiency
  • 606878 2022-009
    Significant Deficiency
  • 606879 2022-009
    Significant Deficiency
  • 606880 2022-003
    Significant Deficiency
  • 606881 2022-004
    Significant Deficiency
  • 606882 2022-005
    Material Weakness
  • 606883 2022-006
    Significant Deficiency Repeat
  • 606884 2022-007
    Significant Deficiency
  • 606885 2022-009
    Significant Deficiency
  • 606886 2022-003
    Significant Deficiency
  • 606887 2022-004
    Significant Deficiency
  • 606888 2022-005
    Material Weakness
  • 606889 2022-006
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $6.39M
84.038 Federal Perkins Loans $1.45M
84.425 Covid-19 - Education Stabilization Fund $468,940
84.033 Federal Work-Study Program $287,786
84.063 Federal Pell Grant Program $222,747
84.007 Federal Supplemental Educational Opportunity Grants $121,997
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $75,888