Finding 620154 (2022-005)

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Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-11-29
Audit: 48679
Organization: Lenoir-Rhyne University (NC)
Auditor: Bdo USA LLP

AI Summary

  • Core Issue: The University failed to accurately report HEERF expenditures, with discrepancies in 2 out of 4 quarterly reports.
  • Impacted Requirements: The University did not comply with the requirement to post accurate HEERF information on its website within 10 days after each quarter.
  • Recommended Follow-Up: Enhance reporting procedures to ensure all HEERF amounts are accurate and align with accounting records; implement a review process by the Controller and Vice President for Business and Finance.

Finding Text

Federal Program Information: COVID-19 ? Higher Education Emergency Relief Fund (?HEERF?) Student Aid Portion (Assistance Listing #84.425E) and COVID-19 ? HEERF Institutional Portion (Assistance Listing #84.425F) Criteria or Specific Requirement: L. Reporting: The institution is required to post completed quarterly HEERF information to its primary website no later than 10 days after each quarter end. Condition: Certain amounts reported in the University?s Quarterly Budget and Expenditure Reporting forms could not be reconciled to the underlying records. Cause: Administrative oversight. Effect or Possible Effect: The University was not in compliance with the reporting requirements. Questioned Costs: None. Context: For 2 of 4 reports submitted during the fiscal year, certain categorical amounts could not be agreed to the University?s accounting records. Recommendation: We recommend that the University enhance its procedures to ensure accurate reporting of its HEERF expenditures. Views of Responsible Officials: The University has a plan to modify the reporting for the remaining HEERF reports to ensure all amounts are accurate and agree to our accounting records. The Controller and Vice President for Business and Finance will collectively review and approve the remaining HEERF reports. We do note that while categorical amounts were not each accurate in our previous reporting, totals were accurate and there is no question as to the University?s overall claim to the HEERF funds received. We also note that we plan to utilize the final HEERF report to fix the categorical amounts so that all amounts agree to the University?s accounting records.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $20.78M
84.063 Federal Pell Grant Program $3.04M
84.425 Education Stabilization Fund $389,393
84.007 Federal Supplemental Educational Opportunity Grants $253,509
84.033 Federal Work-Study Program $132,876
84.038 Federal Perkins Loan Program $0