Institutional Federal Compliance Report 2021

STATE OF NEW YORK

Schedule of Findings and Questioned Costs

Year ended March 31, 2018

Federal Agency :

U.S. Department of Education

Federal Program :

Student Financial Assistance Cluster

Federal Award Numbers : P268K185114, P268K180304

Federal Award Years :

2017

State Agency :

The State University of New York

Reference :

2018-022

Criteria Title 34 U.S. Code Part 685 (34 USC 685), Administrative and fiscal control and fund accounting requirements for schools participating in the Direct Loan Program , section 685(b) states that unless it expects to submit its next updated enrollment report to the Secretary within the next 60 days, a school must notify the Secretary within 30 days after the date the school discovers that a loan under title IV of the Act was made to or on behalf of a student who was enrolled or accepted for enrollment at the school, and the student has ceased to be enrolled on at least a half-time basis or failed to enroll on at least a half-time basis for the period for which the loan was intended. Additionally, Title 2 U.S. Code of Federal Regulations Part 200 (2 CFR 200), Uniform Administrative Requirements, Cost Principles, and Audit Requirements, section 200.303, states the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Condition The State University of New York (SUNY) management review control did not operate at a level of precision necessary to ensure student status changes were properly transmitted to the NSLDS within the 60 day reporting time period. For 18 out of 400 student samples selected from ten SUNY campuses, management did not report the student status changes to the NSLDS within the required 60-day time frame. Out of those 18 students, 6 attended Empire State College, 5 attended Brockport College, and 7 attended Stony Brook University. Cause The cause of the condition found is due to a lack of management review over the transmission files sent for Enrollment Reporting. SUNY will send scheduled transmission files to the National Student Clearinghouse (NSC), a third-party organization. The NSC will then transmit to the NSLDS. It is the school’s responsibility to ensure that the transmission files are submitted to the NSLDS within the 60-day time frame to report student status changes. Because of this lack of review, students with status changes are not being properly reported to the NSLDS within the 60-day time period, resulting in a delay of reporting a student’s change in enrollment status.

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