Finding 612559 (2022-001)

- Repeat Finding
Requirement
EN
Questioned Costs
$1
Year
2022
Accepted
2022-12-22
Audit: 31077
Organization: Mount Mercy University (IA)
Auditor: Rsm US LLP

AI Summary

  • Core Issue: A student received a TEACH grant without meeting the required GPA, leading to improper disbursement.
  • Impacted Requirements: Noncompliance with 34 CFR 686.11, which mandates a minimum GPA of 3.25 for grant eligibility.
  • Recommended Follow-Up: Management should enhance policies and controls to ensure proper verification of student eligibility for TEACH grants.

Finding Text

2022-001 U.S. Department of Education Student Financial Assistance Program Cluster Teacher Education Assistance for College and Higher Education Grants (TEACH Grants) (Federal Assistance Listing Number 84.379) Federal Award Year: 2021-2022 Finding: A student was improperly awarded and disbursed a TEACH grant. This is a repeat finding of 2021-005. Criteria: Per 34 CFR 686.11, (a)(1)(iv)(B), ?If the student is beyond the first year of a program of undergraduate education as determined by the institution, a cumulative undergraduate GPA of at least 3.25 on a 4.0 scale, or the numeric equivalent, through the most-recently completed payment period.? Condition: An undergraduate student was improperly awarded and disbursed a TEACH grant that did not meet the GPA requirements to be eligible. Cause: The student was awarded and disbursed the TEACH grant without verifying that the student had an eligible GPA. Effect: Noncompliance with federal regulations of the TEACH grant program. Context: One of six students that received the TEACH grant. All recipients of grant were tested. Questioned costs: Over award of $3,772 in TEACH grant funds. Recommendation: Management should review its awarding policies and controls to verify eligibility determination for TEACH grants are in compliance with federal regulations.

Categories

Questioned Costs Eligibility

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $9.76M
84.063 Federal Pell Grant Program $1.92M
84.038 Federal Perkins Loan Program, Beginning Loan Balance $503,126
84.031 Higher Education_institutional Aid $337,614
84.425 Education Stabilization Fund $306,286
84.033 Federal Work-Study Program $171,603
84.007 Federal Supplemental Educational Opportunity Grants $131,144
93.264 Nurse Faculty Loan Program (nflp) $116,351
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $15,088