The institution is in compliance with its program responsibilities under Title IV of the 1998 Higher Education Amendments. (In reviewing the institution’s compliance with these program responsibilities, the Commission relies on documentation forwarded to it by the U.S. Department of Education.) (Title IV program responsibilities)
Compliance Status
Louisiana State University and A&M College is in compliance with this principle.
Narrative
Louisiana State University and A&M College (LSU) is in compliance with its program responsibilities under Title IV of the 1998 Higher Education Amendments. The LSU Office of Undergraduate Admissions and Student Aid is responsible for processing all student financial aid, which includes student loans, grants, work-study employment, and scholarships [1]. Eligibility for these types of assistance is based upon the Free Application for Federal Student Aid (FAFSA) [2]. In accordance with federal regulations, the office provides on its Website a guide to consumer information (e.g., tuition rates, refund policy, withdrawal procedures, repayment of student loans, etc.) [3].
With regard to Title IV programs, LSU has:
In 2013 the university completed the USDOE recertification process to participate in federal student aid programs. The Program Participation Agreement issued by USDOE grants LSU the authority to participate in these programs until 2018 [4].
Table 1. Cohort Default Rates of Federal Student Loans |
|
Year |
Default Rate |
2010 |
3.4% |
2009 |
2.7% |
2008 |
4% |
2007 |
3.8% |
Additionally, LSU’s cohort default rates based on student federal loan programs are in compliance with USDOE regulations. As shown in Table 1, LSU’s student loan program has a low default rate. The most recent official cohort default rates for Fiscal Years (FY) 2008, 2009, and 2010 are 4.0%, 2.7%, and 3.4%, respectively [5].
The university also receives federal financial aid funds via electronic transfer and has not been required to obtain a letter of credit on behalf of the USDOE. The most recent Fiscal Operations Report and Application to Participate (FISAP) was submitted to the USDOE for the FY 2011-12 award-year report and FY 2013-14 award-year application [6].
The Office of the Louisiana Legislative Auditor is responsible for auditing the financial statements of the state in accordance with Louisiana Revised Statute R.S. 24:513 [7]. This office performs annual audits of LSU in accordance with OMB Circular A-133. These audits cover all major federally funded student aid programs, and an audit opinion is issued at the statewide level in the Louisiana Single Audit. The audits include tests of compliance with applicable federal laws and regulations and a review of internal controls used in administering the programs [8][9][10].
The Louisiana Office of Student Financial Assistance (LOSFA) periodically conducts program reviews that determine the extent to which the university complies with federal and state regulations and LOSFA policies in administering state scholarship and grant programs. LOSFA is the administrative arm of the Louisiana Student Financial Assistance Commission and the Louisiana Tuition Trust Authority. This agency is the USDOE’s designated guarantor of Federal Family Education Loans in Louisiana [11].
The institutional audit, expected in January 2014, will provide updated data [12].