Finding 606950 (2022-003)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-12-08
Audit: 27226
Organization: Warner Pacific University (OR)
Auditor: Moss Adams LLP

AI Summary

  • Core Issue: The University failed to post the required Student Quarterly Report on time for the quarter ending December 31, 2021, violating federal requirements.
  • Impacted Requirements: Compliance with 86 FR 26213, which mandates timely reporting of expenditures related to the Education Stabilization Fund.
  • Recommended Follow-Up: Establish a review process to ensure all reported expenditures are accurate and submitted on time, with clear accountability for compliance.

Finding Text

FINDING 2022-003 ? Reporting ?Significant Deficiency in Internal Control over Compliance CFDA Number(s) Name of Federal Program or Cluster Federal Award Number Award Year Questioned Costs 84.425 E 84.425 F 84.425 L COVID-19 ? Education Stabilization Fund ? Higher Education Emergency Relief Fund N/A Year ended May 31, 2022 $0 Criteria ? 86 FR 26213 requires Education Stabilization Fund (?ESF?) recipients to post the Student Quarterly Report to their website within 10 days of the end of the quarter in which the funds were spent. Condition/Context ? Grant amounts and expenditures of student funds reported on the University?s website were not reported timely for the quarter ending December 31, 2021. Additionally, during our initial walkthrough of the control processes with University personnel, we were unable to identify a control related to the review and approval of the required quarterly reports. Questioned Costs ? No questioned costs were identified as part of this finding. Effect or Potential Effect ? The required quarterly student reporting posted to the University?s website was not reported timely as required by the conditions of the grant. Cause ? The exceptions occurred as a result of the lack of internal controls in place to effectively review and approve published data in accordance with underlying Federal regulations. Recommendation ? We recommend that the University implement a process by which reported ESF expenditures are compared against applicable grant award notifications to ensure complete and accurate information is contained in the required quarterly reporting posted to the University?s website. Views of Responsible Officials and Planned Corrective Actions ? As indicated, the University did not post the student required HEERF until January 19, 2022; 9 days after the deadline due to oversight. This was the final report. The Department has since consolidated the reporting for student and institutional HEERF reporting. The University controller is now responsible for all student and institutional reporting.

Categories

Internal Control / Segregation of Duties Reporting Significant Deficiency

Other Findings in this Audit

  • 30508 2022-003
    Significant Deficiency
  • 30509 2022-002
    Significant Deficiency
  • 606951 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $6.27M
84.425 Education Stabilization Fund $2.37M
84.063 Federal Pell Grant Program $1.75M
84.038 Federal Perkins Loan Program $445,567
84.007 Federal Supplemental Educational Opportunity Grants $190,989
84.033 Federal Work-Study Program $77,609
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $21,689