Who came to Weber & Associates, Inc. and why?
A public post-secondary vocational-technical institution contacted Weber & Associates, Inc. following a U.S. Department of Education program review of their Title IV programs. The review listed 27 areas where the institution was out of compliance with federal regulations and the institution had been placed on federal restrictions regarding future disbursements of student financial aid funds.
What specifically was the situation?
Many of the instances of non-compliance involved a failure to have several written policies and procedures, incorrect R2T4 calculations, and general administrative compliance issues. The major problem was that Federal Pell Grant disbursements had not been reconciled with COD and G-5 at the U.S. Department of Education for four years. The U.S. Department of Education stated that no further disbursement of funds would be allowed until the reconciliation situation was resolved. Because of poor prior reporting it appeared that the institution owed ED over $30,000.
What was important to the prospect?
It was important to the institution to have the situation resolved in a timely manner so the current student grants could be paid. The problem was exacerbated by all of the employees formerly involved with financial aid and fiscal department no longer working at the institution. Student ledger entries were posted incorrectly and the source of funds credited to the student’s accounts were mixed with state grant amounts, veteran’s payments, student payments and Federal Pell Grant payments. The student’s account record was, for example, posted for $7,000 received on a given date, when the records should have shown $2,000 state grant, $1,000 veteran’s funds and $4,000 Federal Pell Grant indicated on the date received.
Why did they come to Weber & Associates, Inc.?
After consulting with another state technical school representative who had previously had problems with their program review and were using Weber & Associates, Inc.’s services, the school representative referred them to Weber & Associates, Inc.
What did Weber & Associates, Inc. do?
Once Weber & Associates, Inc. received the records, a team of experienced financial aid professionals were assigned to the project to help resolve the institution’s problems. In a matter of a few weeks, the Weber team had helped the school resolve the problems.
What was the result of the Weber & Associates, Inc.’s activity?
The process required several conference calls with U.S. Department of Education officials. In the end, the $30,000+ liability was removed and it was ultimately determined that the U.S. Department of Education actually owed the school over $20,000!
In the end, proper reporting and correction of the other program review problems led to the school being able to receive the funds owed them and regular funding was restored. Now that they are a Weber & Associates, Inc. client, all records are in order and the proper processes are being used daily.