Focused Report

Comprehensive Standard 3.10.3

The institution audits financial aid programs as required by federal and state regulations. (Financial aid audits)

Off-Site Committee Finding

The institution received complimentary correspondence from the Georgia Student Finance Commission (dated March 28, 2007) citing the excellent performance record with the Scholarship and Grants program. The institution provided the Off-Site Committee with copies of recent audits of the Financial Aid program and the responses. The most recent audit done by the US Department of Education was sent to the institution in a letter dated August 28, 2006; it was for 2004-2005. On page 17 of 27 of that document the auditor issues a qualified opinion to the institution. "The audit report disclosed reportable conditions in internal controls over compliance, as well as several conditions noted as material weaknesses." In order to remove the "qualified" status the institution must show no evidence of significant problems that affect the administration of the program. The Off-Site Committee did not have any evidence of that nature other than the institutions recognition of the problems and proposed corrective action. In addition, the institution's FY 2006 financial audit contains "Questionable Costs" regarding the distribution of work study funds to the Athletic Department. It is an item that was a repeat from the previous year. The institution has proposed corrective action. The rectification is predicted in the FY 2007 audit, which will not be available until the On-Site Committee visits. The "qualified' opinion, until removed, renders the institution in non-compliance.

Albany State University's Response

The University received its [1] annual audit report in November 2007. It includes an unqualified opinion.

We have now received the [2] Department of Education's Final Audit Determination Letter for FY2006. Its final determination on five findings was "Assuming continued compliance, this finding is closed." Its final determination on one finding was, "This finding is considered closed."

The university has submitted a [3] 2007 Audit Corrective Action Plan to address the unresolved or partially resolved issues.

Supporting Documentation

[1] Annual audit report

[2] Department of Education's Final Audit Determination Letter for FY2006

[3] 2007 Audit Corrective Action Plan