Federal Requirement 4.7 / Comprehensive Standard 3.10.2

14.      The institution is in compliance with its program responsibilities under Title IV of the most recent Higher Education Act as amended. (Federal Requirement 4.7)  The institution audits financial aid programs as required by federal and state regulations. (Comprehensive Standard 3.10.2)

X  Compliance           ___ Non-Compliance

Narrative:

Southern University and A&M College (SUBR) was in compliance with its program responsibilities under Title IV of the 1998 Higher Education Amendments. The policies, procedures and guidelines administered by the Office of Financial Aid were subject to audits and review standards established by the United States Department of Education (USDOE) and the State of Louisiana. The State of Louisiana's Single Audit Reports for 2013 and 2014 include a detailed review of the University's financial aid programs and Title IV program administration. This annual audit meets the requirements prescribed by the United States Department of Education in accordance with the Office of Management and Budget (OMB) Audit Criteria A-133.  (Final Audit Determination Enclosed)

SUBR is in good standing in accordance with the Program Participation Agreement (PPA) signed with the United States Department of Education letter dated September 11, 2015 (see attached). The University's PPA is effective until December 31, 2017.

SUBR counsels students about repayment obligations related to student loans. SUBR's 2012 3YR student loan default rate was reported by the USDOE was 11.7% and based on data for fiscal year ending June 30, 2012. SUBR is not placed on the reimbursement method nor was it required to obtain a letter of credit in favor of the USDOE. Furthermore, there were no:

  • significant impending litigation issues with respect to financial aid activities,
  • significant unpaid dollar amounts due back to the USDOE,
  • significant non-compliance issues identified in independents audits of Southern University's financial aid programs.

SUBR is in compliance with regulations for Title IV funding. Finally, SUBR received no adverse communications from the USDOE indicating significant non-compliance with respect to financial aid activities.

On January 26, 2015, the USDOE began an on-site Program Review of the SUBR Title IV programs. This was a routine review conducted by the Department to assess the institutional administration of the Title IV programs. The previous USDOE Program Review occurred more than ten years ago. The on-site visit was completed. SUBR received the USDOE's Program Review Letter on April 30, 2015 which provided the results of the review and any compliance items, required file reviews, and corrective action requirements for the university.

In order to complete all required file reviews, outlined in the Program Review Letter, the university requested an additional 60-day extension.  On June 25, 2015, the university's request for an extension was approved.  SUBR completed its review on August 31, 2015 and forwarded to USDOE a response to all items included in the April 30, 2015 Program Review Letter.  SUBR is currently awaiting the Final Program Review Letter (Sept. 23, 2015).

Supporting Documentation