SUMMARY OF CHANGES and CORRECTIONS TO

**U.S. DEPARTMENT OF EDUCATION'S JANUARY 2000AUDIT GUIDE**

## \"AUDITS OF FEDERAL STUDENT FINANCIAL ASSISTANCE PROGRAMS AT PARTICIPATING INSTITUTIONS AND INSTITUTION SERVICERS\"

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**Below is a summary of changes and corrections made to this guide since
it was first posted on this website in January 2000 through September
27, 2007:**

**Date Page**

**[of Change]{.underline}** **[Numbers]{.underline} [Summary of
Changes]{.underline}**

9/27/2007 N/A See "Dear CPA Letter" No. CPA-07-03 posted on the

same webpage as this summary.

> **Reason for change:** To amend the Audit Guide
>
> by prescribing mandatory procedures for audits of postsecondary
> institutions and servicers designed to identify (1) prohibited
> inducements paid by lenders in the Federal Family Education Loan
> (FFEL) program and (2) the denial of students' access to FFEL lenders
> and guaranty agencies of their choice.

8/30/2007 N/A See "Dear CPA Letter" No. CPA-07-01 posted on the

same webpage as this summary.

> **Reason for change:** To amend the Audit Guide
>
> by prescribing mandatory procedures for audits of postsecondary
> institutions and servicers to cover two new student financial
> assistance programs: the Academic Competitiveness Grant (ACG) Program,
> and the National Science and Mathematics Access to Retain Talent Grant
> (National SMART Grant) Program.

6/29/2005 I-7 The following address change was made for

submission of the Audit Reporting Package.

> For regular mail and commercial overnight delivery:

U.S. Department of Education

Application, School Eligibility and Delivery Services

School Eligibility Channel, IPM

830 First Street, NE

Room 71I1

Washington, DC 20002-5402

> Phone \# to include on overnight packages is either
>
> \(202\) 377-3162 or (202) 377-4328.
>
> **Reason for Change:** To reflect address and telephone number
> changes.

6/29/2005 I-9 The following address change was made for

submitting questions regarding financial statement audit

requirements or the financial statement presentation.

U. S. Department of Education

Performance Improvement and Procedures, SEC

Attn: Financial Analysis

Union Center Plaza #3

830 First Street NE, Room 74D3

Washington, DC 20202-5300

Tel. (202) 377-4263

> Fax: (202) 275-4535
>
> **Reason for Change:** To reflect address and telephone number
> changes.

02/28/02 II-29 The second paragraph under the heading\--

> **"Time frame for Return of Federal Funds"**
>
> was changed to reflect "30" calendar days (Effective July 1, 2000)
> instead of "60". In addition, the CFR citations were changed. The
> paragraph now reads:
>
> If the student received a FFEL, an institution must calculate the
> refund due to a student and return to the lender any portion of the
> refund allocated to the loan programs within 60 calendar days (30 days
> effective July 1, 2000) (34 CFR 668.22(j), 682.607, 685.306) of the
> earliest of these dates:
>
> **Reason for Change:** To reflect changes in the SFA regulations.

07/31/00 Appendix E Appendix improperly used the word "servicer" instead
of "institution" throughout this appendix. As such, wherever the word
"servicer" appeared, it was changed to the word "institution".

07/31/00 II-9 & II-11 The Internet address for obtaining borrower
information was changed from home.gvi.net/\~edoig/sfa.htm to
www.ed.gov/offices/OIG/nonfed/sfa.htm

06/14/00 Appendix D Guidance concerning how to download the software for
generating Example E, Schedules A, B, and C has been removed and the
software is no longer available. Either the Wordperfect template or the
PDF format should be used instead.

> **Reason for Change:** The diskette generated by the software is no
> longer required for submission. Paper copies of the Schedules are
> required.

04/25/00 II-4, 4^th^ arrow Inserted the regulatory citation "34 CFR
668.175" at the

> end of the sentence.

**Reason for Change:** Need for regulatory citation.

03/15/00 I-1, paragraph 3 The bracketed note concerning A-133 audit
requirements

> has been revised to eliminate the statement that this guide must be
> used for program specific audits to satisfy the A-133 requirement.
>
> **Reason for Change:** OMB Circular A-133, paragraph 200(c) allows
> program specific audits only when an auditee expends Federal awards
> under only one Federal program **and** the Federal program's laws,
> regulations, or grant agreements **do not** require a financial
> statement audit of the auditee. Since the SFA regulations require
> financial statements, this option is not available.

12/14/00 II-7, step g The word "program" was changed to "courses".

**Reason for Change:** For correctness.

12/19/00 II-4, The first bullet under the caption "had for the *award*

> *year* that ended during the institution's fiscal year (34 CFR
> 600.7):" was changed from:
>
> More than 50% of its courses as correspondence or
>
> telecommunications; to:
>
> More than 50% of its courses as correspondence and/or
>
> telecommunications;

12/19/00 II-7, step g The words "correspondence or telecommunications"
was changed to "correspondence and/or telecommunications".

**Reason for Change:** If the institution has both correspondence and
telecommunications courses, the combination of the two cannot exceed
50%.