Finding 980541 (2023-001)

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Requirement
L
Questioned Costs
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Year
2023
Accepted
2024-06-28
Audit: 310874
Organization: Appalachian School of Law (VA)

AI Summary

  • Core Issue: The Data Collection Form (DCF) for fiscal year 2023 was not submitted on time to the Federal Audit Clearinghouse.
  • Impacted Requirements: Submission deadline was 30 days after the auditor's report or 9 months after the audit period, whichever was earlier.
  • Recommended Follow-Up: Implement a procedure to ensure timely filing of the DCF in the future.

Finding Text

CRITERIA:A SINGLE AUDIT REQUIRES THE SUBMISSION OF THE DATA COLLECTION FORM TO THE FEDERAL AUDIT CLEARINGHOUSE WITHIN THE EARLIER OF 30 CALENDAR DAYS AFTER RECEIPT OF AN AUDITOR'S REPORT, OR NIN MONTHS AFTER THE END OF THE AUDIT PERIOD, UNLESS A DIFFERENT PERIOD IS SPECIFIED IN THE PROGRAM. CONDITION: THE DCF FOR FISCAL YEAR 2023 WAS NOT SUBMITTED TO THE FAC WITHIN THE REQUIRED TIMELINE. CAUSE: THE SCHOOL WAS ENGAGED IN DISCUSSIONS WITH ANOTHER HIGHER EDUCATION ENTITY THAT HAD POTENTIAL TO RESULT IN A MATERIAL SUBSEQUENT EVENT DISCLOSURE. THE SCHOOL DETERMINED THE MAGNITUDE OF THE POTENTIAL SUBSEQUENT EVENT DISCLOSURE OUTWEIGHED THE IMPACT OF A LATE FILING WITH THE FAC AND DOE. EFFECT: THE SCHOOL DID NOT COMPLETE THE SUBMISSION BY MARCH 31, 2024. RECOMMENDATION; WE RECOMMEND THE SCHOOL HAVE A PROCEDURE IN PLACE TO ENSURE TIMELY FILING OF THE DCF. MANAGEMENT RESPONSE: THE SCHOOL AGREES WITH THE FINDING. MANAGEMENT IS COMMITTED TO ISSUING COMPLETE AND ACCURATE FINANCIAL REPORTS AND DETERMINE THAT WAS NOT POSSIBLE BY THE DEADLINES TO REPORT TO FAC AND DOE. THE PENDING TRANSACTION THAT HAD THE POTENITAL TO RESULT IN A MATERIAL SUBSEQUENT EVENT WAS AN ANOMALY AND NOT INDICATIVE OF OUR HISTORY OF TIMELY REPORTING. MANAGEMENT WAS IN CONTACT WITH THE DEPARTMENT OF EDUCATION FREQUENTLY BEGINNING BEFORE THE DUE DATE OF THE FILING REGARDING THE IMPACT THE PENDING TRANSACTION WOULD HAVE ON THE COMPLETENESS AND ACCURACY OF THE REPORT.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $5.12M
84.425 Education Stabilization Fund $49,294
84.033 Federal Work-Study Program $11,005