Finding Text
Program Information:
Federal Work-Study Program (“FWS”) (ALN: 84.033)
Criteria or Specific Requirement (Including Statutory, Regulatory
or Other Citation): A. Activities Allowed and Unallowed/L. Reporting - An institution may carry forward and expend in the next award year up to 10% of the sum of its initial and supplemental FWS allocations for the current award year (34 CFR 675.18(b)).
Condition: During our testing of the University’s FWS expenditures, we noted that the University carried forward more than the allowable 10% of its FWS allocation into the subsequent award year and did not submit the reallocation form to the Department of Education prior to the submission of the University’s Fiscal Operations Report and Application to Participate (“FISAP”).
Cause: Administrative oversight with respect to accurate administration and disbursement of FWS awards.
Effect or Potential Effect: The University is not in compliance with FWS requirements.
Questioned Costs:
None.
Context: We tested the University’s compliance with FWS carry forward requirements and identified that the University exceeded the allowable 10% FWS carry forward threshold without obtaining the appropriate approvals from the Department of Education.
Repeat Finding: No similar findings noted in the prior year.
Recommendation: We recommend that the University enhance is policies and procedures related to the accurate administration and disbursement of FWS awards to ensure that the appropriate approval is obtained prior to the carry forward of amounts that exceed the allowable threshold.
Views of Responsible Officials and Planned Corrective Actions:
The University concurs with this finding. The CARES Act allowed FWS funds to be transferred above the 10% threshold to SEOG. This program expired on May 11, 2023. The documentation for this program can be found on fsapartners.ed.gov, communication CB-22-13 and is dated August 1, 2022. The University did not complete the form in COD for this extended portion of the CARES Act. However, it was properly reported on the FISAP. This program has expired and the University will be at or below the 10% threshold going forward.