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3 golden objects Minnesota Legislature

Office of the Legislative Auditor - Financial Audit Division

Report Summary
State University System

Management Letter

Fiscal Year 1993

 

Public Release Date: June 24, 1994 No. 94-26

Objective

The audit scope was limited to the testing of major federal programs administered by the State University System. We included the following federal programs:

  • Federal Family Educational Loans
  • Federal Perkins Loans
  • Federal PELL Grants

Conclusions

We found that state universities had not complied with federal regulations in the following areas:

  • Cash management procedures need to be improved. (Moorhead, Mankato, St. Cloud, and Bemidji State Universities)
  • Administrative cost allowance for campus-based aid exceeded. (Moorhead State University)
  • Federal Work-Study expenditures purposely overstated on federal cash transactions report. (Moorhead State University)
  • Student dependency status not documented in file. (Moorhead State University)
  • Federal Family Loan proceeds released to an ineligible student. (St. Cloud State University)
  • State match for the Federal Perkins program not deposited timely. (St. Cloud, Mankato, and Winona State Universities)
  • Stafford Loan exit counseling not conducted for all students. (Bemidji State University)

In addition, we noted that St. Cloud State University needs to improve computer access controls over its financial aid system.