Finding Text
Finding number: 2022-002 Federal agency: U.S. Department of Education Programs: Higher Education Relief Fund ? Institutional Portion AL #?s: 84.425F Award year: 2022 Criteria Section 18004(a)(1) of the Coronavirus Aid, Relief, and Economic Security Act required that institutions submit an Annual Report to the Department of Education that details the institution's annual expenditures accurately and that the expenditures reconcile with institution's underlying records. Condition During our testing, we noted that the Annual Report submitted by the Academy was not accurate and did not reconcile with the Academy's underlying records. The Academy reported that institutional funds were used for providing reimbursements for tuition, housing, room and board, or other fee refunds, while these funds were actually used to replace lost revenue from academic sources. Effect The Academy's Annual Report submitted to the Department of Education was not accurate. Questioned Costs Not applicable Recommendation The Academy should create procedures to ensure the Academy is in compliance with the program's reporting requirements. View of Responsible Officials The Academy agrees with the finding.