Finding 609781 (2022-001)

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Requirement
L
Questioned Costs
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Year
2022
Accepted
2023-02-20
Audit: 33587
Organization: Transylvania University (KY)
Auditor: Blue & CO LLC

AI Summary

  • Core Issue: The University failed to report enrollment status changes for 2 students to the NSLDS on time.
  • Impacted Requirements: Timely reporting of student enrollment status is required by the U.S. Department of Education within 60 days of any change.
  • Recommended Follow-Up: Implement controls to ensure all enrollment status updates are reported promptly to maintain compliance.

Finding Text

Finding No. 2022-001: Enrollment Reporting Federal Agency: U.S. Department of Education CFDA Number and Title: 84.268, Federal Direct Student Loan Program Criteria: When a Direct Loan was made to or on behalf of a student who was enrolled or accepted for enrollment at the institution, and the student ceased to be enrolled on at least a halftime basis or failed to enroll on at least a half-time basis for the period for which the loan was intended, the institution must report the change in its next updated Enrollment Reporting Roster file (due within 60 days of the change) to the lender or the guaranty agency. The school is responsible for timely reporting whether they report directly or via a third-party servicer. Condition: In testing individual student status changes, we selected a sample of 7 students who had received student financial assistance and had withdrawn from the University during the fiscal year as identified by internal records. We compared the enrollment information and withdrawal date per the University?s records to the information reported to the National Students Loan Data System (NSLDS). We noted the status changes for 2 withdrawn students were not reported to NSLDS timely. Cause: The University did not have a control in place to ensure timely reporting of all status changes. Effect: Without timely notification of withdrawals or graduation, the NSLDS is unable to accurately determine when a student enters repayment status. Recommendation: We recommend that the University establish controls to ensure student enrollment status in the NSLDS is updated in a timely manner to ensure compliance with Federal requirements. View of Responsible Officials: The University accepts this finding.

Categories

Student Financial Aid Matching / Level of Effort / Earmarking Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $4.89M
84.063 Federal Pell Grant Program $1.14M
84.038 Federal Perkins Loans $884,968
84.033 Federal Work-Study Program $139,483
84.007 Federal Supplemental Educational Opportunity Grants $97,736
84.425 Education Stabilization Fund $79,107
47.083 Integrative Activities $36,558