Finding Text
2022-001: Enrollment Reporting Identification of the federal program: U.S. Department of Education Student Financial Aid Cluster Criteria or specific requirement: Uniform Guidance for Student Financial Aid (SFA) Programs {III. Compliance Requirements, N. Special Tests and Provisions, 4. Enrollment Reporting? Compliance requirements (34 CFR 685.309 (b)(2)(i))} stipulates that unless it expects to submit its next updated enrollment report to the secretary within the next 60 days, the school must notify the secretary within 30 days after the date the school discovers that a loan under title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended. Condition: The University did not properly provide to the National Student Loan Data System (NSLDS) notification for one student who withdrew or graduated during fiscal year 2022. Cause: The University did not submit the status update in a timely manner. Effect or potential effect: Notification of change in enrollment status was not provided in a timely manner. Enrollment status is critical for effective management of the programs and determines eligibility for in-school status, deferment and grace periods that can affect the student. Questioned costs: None Context: We selected a total of 40 students to test that the change in student status for those who withdrew or graduated who had received Direct Loans was reported to the NSLDS within 30 days or was included in a SSCR (Student Status Confirmation Report) within 60 days from the date of the change in status. Management had a process in place to ensure timely notification; however, in this one instance, the student?s status was not updated in a timely manner by the University. Repeat finding: Yes (Finding 2021-001) Recommendation: We recommend management implement a review process to ensure that all degree transmissions submitted to its third-party servicer are complete and accurate, and timely, so that submissions to the NSLDS are also complete, accurate, and timely. We further recommend that the University develop a process to ensure that timely reporting of student status changes has been performed by its third-party servicer. Views of responsible officials: The University agrees with the finding. Refer to the University?s Corrective Action Plan.