State audits released Friday found problems with federal compliance at three area schools – Durham Technical Community College, N.C. Central University and UNC-Chapel Hill
Reports by State Auditor Beth Wood found issues with meeting federal financial aid rules at Durham Tech and NCCU, and issues with worker certifications for federal grants at UNC.
At Durham Tech, 5 percent of a sample of students received financial aid but were ineligible either because they were not enrolled at least half time or were not registered with the Selective Service System, the agency that maintains the government database that would be used for a military draft. Auditors found that three out of 60 students reviewed got almost $6,000 in financial aid but shouldn’t have.
The audit also found that Durham Tech did not return federal financial aid dollars correctly or in a timely way when some students withdrew. And, the college did not give proper notifications to students about their loan amounts or rights to cancel a loan.
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Both Durham Tech and NCCU were cited for not reporting enrollment changes and disbursements in a timely way to the federal government. NCCU did not adequately monitor its notifications to students.
The UNC audit found that the university did not complete all certifications that ensure employees’ wages charged to federal grants were for services rendered under the grants.
The three schools said they had taken steps to fix the problems and prevent future errors.