Finding Text
Information on the federal program ? Education Stabilization Fund (Higher Education Emergency Relief Funds), 84.425E and 84.425F Criteria or specific requirement ? The College is responsible for minimizing the time elapsed between the transfer of funds from the Department of Education (ED) and disbursement of those funds for program costs. (2 CFR Section 200.305(b)). The Certification and Funding Agreements require that the Student Aid Portion (84.425E) should be disbursed within fifteen calendar days of the drawdown and the Institutional Aid Portion (84.425F) should be disbursed within three calendar days from drawdown. Condition ? The College drew down funding for the Student Aid Portion in November 2021. The majority of funds were disbursed timely, in November 2021, but a portion of the funds were not disbursed until November 2022. Questioned costs ? None ? nonmonetary finding. Context ? Based on testing of drawdowns and disbursements, the Student Aid Portion was not disbursed within the fifteen-day requirement. Effect ? The College did not disburse funds timely. Cause ? For the portion of funds not disbursed timely, the College had established a plan for students to request Higher Education Emergency Relief Funds. In anticipation of many requests that would result in disbursing all amounts timely, the College drew down the entire amount of the student portion of the Higher Education Emergency Relief Funds awarded under the American Rescue Plan. The number of students requesting funds was less than the College anticipated and the College did not have enough time to create a plan to disburse the remaining funds timely. Identification as a repeat finding, if applicable ? N/A Recommendation ? We recommend the College adopt the reimbursement method of cash management for all federal funding.