Core Issue: The College misused Student Aid funds by purchasing audio-visual equipment instead of providing awards to students.
Impacted Requirements: This action violates compliance requirements for the Education Stabilization Fund, leading to noncompliance with federal guidelines.
Recommended Follow-Up: The College should create a process to reconcile ESF funds to ensure proper allocation and usage in the future.
Finding Text
Finding 2022-003 Federal Assistance Listing Number: 84.425 Subprogram Number(s): 84.425E Federal Agency: U.S. Department of Education Program Name: Education Stabilization Fund Type(s) of Compliance Requirements: Activities Allowed/Unallowed Type of Finding: Noncompliance Criteria: The Student Aid Portion of the Higher Education Emergency Relief Fund (HEERF) is to provide awards to students. Condition: The College expended Student Aid funds on the purchase of audio-visual equipment. Cause: The College misapplied funds drawn under the Student Aid Portion. Effect: The College is noncompliant with the ESF program. Context: 1 sample selection ($15,044) out of total sample of 1 item tested from a population of 3 items ($17,920). Recommendation: We recommend that the College develop a process to reconcile amounts drawn under the ESF to ensure the proper allocation and use of funds.