Finding 963802 (2023-004)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-03-28
Audit: 299541
Organization: Georgian Court University (NJ)
Auditor: Bdo USA PC

AI Summary

  • Core Issue: Errors were found in key student origination records reported to the COD system for federal programs.
  • Impacted Requirements: The University failed to comply with federal regulations regarding accurate reporting of student data, including COA and enrollment dates.
  • Recommended Follow-Up: Enhance internal controls and procedures to ensure accurate reporting for federal awards, and implement cross-checks to correct any discrepancies.

Finding Text

Federal Program Information: Federal Pell Grant Program (ALN: 84.063) and Federal Direct Loan Program (ALN: 84.268) Criteria or Specific Requirement (Including Statutory, Regulatory or Other Citation): L. Reporting – Financial Reporting – Federal regulations require that the University submit origination and disbursement records for students to the Common Origination and Disbursement (“COD”) system. Items considered key in student origination records, if applicable, are: Social Security number, award amount, enrollment date, verification status code (when the applicate is selected for verification), transaction number, COA, and the “Academic Start Date” and “Academic End Date”. Condition: For certain students identified through our testing, errors were identified in key items reported to the COD in student origination records. Cause: Administrative oversight and lack of sufficient internal controls with respect to accurate reporting of federal award information. Effect or Potential Effect: The University was not in compliance with COD reporting requirements. Questioned Costs: None. Context: We noted the following exceptions: • For 18 of 25 students selected for testing, the student’s COA was inaccurately reported within the COD system. • For 2 of 25 students selected for testing, the enrollment date or “Academic Start Date” was inaccurately reported. • For 1 of 25 students selected for testing, the transaction number was inaccurately reported. Identification as a Repeat Finding: No similar findings noted in the prior year. Recommendation: We recommend that the University enhance its policies, procedures, and internal controls to ensure origination records are accurately reported to the COD for Federal Direct Loan Program and Federal Pell Grant Program recipients, in accordance with federal regulations. Views of Responsible Officials and Planned Corrective Actions: Corrective action has been taken to ensure that when students have a spring start date in the prior academic year, the enrollment start date is updated to the correct enrollment start date. A cross check with a selection set has been added to capture any incorrect records and adjust accordingly.

Categories

Student Financial Aid Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking Period of Performance Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $10.66M
84.063 Federal Pell Grant Program $2.50M
84.407 Transition Programs for Students with Intellectual Disabilities Into Higher Education $500,723
84.042 Trio_student Support Services $317,464
84.033 Federal Work-Study Program $163,042
84.007 Federal Supplemental Educational Opportunity Grants $125,816
16.525 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus $66,936
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $19,331