June 23, 2025
The varsity confronted points inside accounts payable and its Athletics division.
A brand new state audit on Alabama A&M College discovered the HBCU had a number of non-compliance points.
The audit appeared on the college’s accounts from 2019 to 2022. Within the 2023 submitting, the varsity violated seven areas of compliance, as confirmed by WHNT.
The Alabama Division of Examiners of Public Accounts found that the HBCU didn’t appropriately enter an worker’s wage into its system. The error resulted in an overpayment of 1000’s of {dollars} to the worker.
The difficulty stemmed from the worker, who started working on the HBCU in March 2022, receiving an incorrect rent type. The doc had an earlier finish date than contractually agreed upon. Because of this, the particular person obtained extra funds throughout their employment. Nonetheless, the shape was persistently authorized by the College system, falling via the cracks till this latest audit.
“The shape was authorized on eight completely different events by seven completely different approvers. Based mostly on the rent type, the worker’s annual wage was entered into the accounting system to be paid over seven months as a substitute of 12 months, leading to a payroll overpayment totaling $7,228.26,” the state audit mentioned.
One other notable non-compliance space occurred inside the Athletic Division at Alabama A&M. The Examiners’ workplace discovered that the varsity didn’t “guarantee accountability” for all tickets printed and bought.
It added, “Reconciliations supplied have been just for sport day gross sales and weren’t reconciled to the final ledger. Reductions have been supplied to alumni, school, and workers, and for tailgate packages with out documentation or an ordinary checklist of the forms of reductions supplied. Neither a list of complimentary tickets nor proof of supervisory evaluate of the complimentary tickets issued might be supplied.”
The varsity has since rectified the matter by making certain all ticket gross sales are cashless. Nonetheless, the varsity nonetheless should resolve a number of violations, together with failing to reconcile scholar accounts receivable and accounts payable. The audit additionally discovered that the varsity lacked insurance policies for financial institution reconciliations, suggesting that Alabama A&M take steps to develop these procedures to approve reconciliations promptly.
The varsity’s analysis station additionally circumvented its buying course of, whereas journal entries didn’t observe correct process for evaluate and approval both.
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