Finding 619102 (2022-007)

Material Weakness
Requirement
N
Questioned Costs
$1
Year
2022
Accepted
2023-07-12
Audit: 53516
Organization: Virginia Union University (VA)
Auditor: Brown Edwards

AI Summary

  • Core Issue: Two out of six tested expenditures were for unallowed activities related to athletics, violating compliance rules.
  • Impacted Requirements: Grant funds cannot be used for pre-enrollment recruitment, marketing, endowments, or athletic facility expenses.
  • Recommended Follow-Up: The University should enhance training and controls to ensure compliance with funding requirements.

Finding Text

Criteria: The compliance supplement indicates that a recipient acknowledges that no supplemental grant funds may be used to fund contractors for the provision of pre-enrollment recruitment activities; marketing or recruitment; endowments; or capital outlays associated with facilities related to athletics, sectarian instruction, or religious worship. Condition: We tested Institutional expenditures for propriety and activities allowed. Two of the 6 Institutional portions of expenditures tested were expenditures for unallowed activities (facilities related to athletics). Cause: Weak process and controls over the preparation and review for the compliance over the activities allowed or unallowed requirement. Effect: Potential issues with the DOE regarding noncompliance. Questioned costs: $527,242 (includes the two expenditures tested and all other related athletic facility expenditures charged to the Institutional portion of the grant during FY22). Perspective information: The population was the HEERF Institutional expenditures expended. The total population (in disbursements) was 89. The sample size was 6. Then umber in the sample with findings was 2. The number of exceptions found in the preceding column was 2. Identification of repeat findings: Not a repeat finding. Recommendation: The University should increase its efforts to ensure that major program compliance requirements are understood, and controls are implemented to ensure compliance. Views of responsible officials: See Client?s Corrective Action Plan.

Categories

Questioned Costs

Other Findings in this Audit

  • 40152 2022-004
    Material Weakness
  • 40153 2022-001
    Material Weakness Repeat
  • 40154 2022-002
    Significant Deficiency Repeat
  • 40155 2022-003
    Significant Deficiency Repeat
  • 42658 2022-005
    Material Weakness
  • 42659 2022-006
    Material Weakness
  • 42660 2022-007
    Material Weakness
  • 616594 2022-004
    Material Weakness
  • 616595 2022-001
    Material Weakness Repeat
  • 616596 2022-002
    Significant Deficiency Repeat
  • 616597 2022-003
    Significant Deficiency Repeat
  • 619100 2022-005
    Material Weakness
  • 619101 2022-006
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $7.62M
84.425 Education Stabilization Fund $4.90M
84.063 Federal Pell Grant Program $3.50M
47.076 Education and Human Resources $451,395
84.007 Federal Supplemental Educational Opportunity Grants $390,500
84.031 Higher Education_institutional Aid $380,517
84.047 Trio_upward Bound $331,351
84.042 Trio_student Support Services $308,503
84.033 Federal Work-Study Program $238,349
84.044 Trio_talent Search $194,307
99.U01 National Institue of General Medical Sciences: Institutional Research and Academic Career Devleopment Awards $26,303