Finding Text
Cluster name: Student Financial Assistance Cluster Assistance Listings numbers and names: 84.007 Federal Supplemental Educational Opportunity Grants 84.033 Federal Work Study Program 84.063 Federal Pell Grant Program 84.268 Federal Direct Student Loans Award numbers and year: P007A210134, P033A210134, P063P212910, and P268K222910 July 1, 2021 through June 30, 2022 Federal agency: U.S. Department of Education Compliance requirement: Special tests and provisions Questioned costs: None Condition?Contrary to federal regulations, the District did not accurately report student enrollment status changes and the effective dates of those changes to the National Student Loan Data System (NSLDS) for 4 of 60 students we tested participating in the Federal Pell Grant (Pell) or Federal Direct Student Loans (Direct Loans) programs. Effect?The District?s students may not be asked to repay student financial assistance grants and loans if or when required if the NSLDS does not accurately reflect students? enrollment status. Cause?The District developed written procedures to verify that student enrollment status changes recorded on its student information system and reported to NSLDS were accurate during fiscal year 2021; however, the District reported that due to the impact of the COVID-19 pandemic on District operations, they were unable to fully implement them by June 30, 2022. Consequently, the individual assigned to report student enrollment status changes to NSLDS did not always verify that reports being generated with student enrollment status data were accurate. Criteria?Federal regulations require reporting to the NSLDS all applicable students? enrollment statuses and any enrollment status changes for the Pell and Direct Loans programs within 60 days of the students? change. Student enrollment status changes include reductions or increases in attendance levels, withdrawals, graduations, or approved leaves of absence (34 Code of Federal Regulations [CFR] ??685.309[b][2] and 690.83[b][2]). Also, federal regulation requires establishing and maintaining effective internal control over federal awards that provides reasonable assurance that federal programs are being managed in compliance with all applicable laws, regulations, and award terms (2 CFR ?200.303). Recommendations?The District should fully implement written procedures to: 1. Report accurate enrollment statuses and changes to the NSLDS within 60 days of a change for each student receiving Pell and Direct Loans. 2. Verify that student enrollment status changes recorded on its student information system and reported to NSLDS are accurate and reported to NSLDS within required time periods. The District?s corrective action plan at the end of this report includes the views and planned corrective action of its responsible officials. We are not required to audit and have not audited these responses and planned corrective actions and therefore provide no assurances as to their accuracy. This finding is similar to prior-year finding 2021-101.