UPDATE: Feds monitoring 11 Alabama colleges - WTVM.com-Columbus, GA News Weather & Sports

UPDATE: Feds monitoring 11 Alabama colleges

Spring Hill College and Fortis College are on the U.S. Department of Education's list for "heightening cash monitoring". Spring Hill College and Fortis College are on the U.S. Department of Education's list for "heightening cash monitoring".
MOBILE, AL (WALA) -

UPDATE: Spring Hill College says it received notice from the U.S. Department of Education on April 8 that it is no longer required to follow the requirements imposed under "heightened cash monitoring" based on its "significantly improved... financial status over the past 21 months."


The Washington Post called it, “The list your college does not want to be on”.

NPR said, “No school wants to be on this list”.

The list includes 11 Alabama colleges, including Spring Hill College and Fortis College in Mobile.

The U.S. Department of Education on Friday released an updated list of institutions that are facing financial restrictions known as “heightened cash monitoring”. Under Secretary of Education Ted Mitchell told reporters, “Institutions might be on heightened cash monitoring for a number of federal or financial compliance issues, some of which may be serious, and others of which may be less troublesome”.

Mitchell gave the following examples:

· Failure to submit a financial statement on time

· Serious concerns about the financial integrity of the institution or its administrative capacity

“It's not necessarily a red flag to students and taxpayers, but it can serve as a caution light,” said Mitchell.

Fortis College Campus President Joe Dalto told FOX10 News his school has operated under “cash monitoring” for the past 9 years and is working to “come off of that”. He said that this does not impair the students' abilities to receive funding. Dalto said this is the first time the Department of Education has disclosed the information to the general public.

Spring Hill College Vice President for Advancement Fred Salancy said the College is on “heightened cash monitoring” because of its score on the Department of Education's financial responsibility review of the College's fiscal year 2013 audit which includes considerations such as assets/liabilities, surpluses and deficits at a given point in time.

Salancy said while heightened cash monitoring does not restrict the College's access to financial aid, “it does limit the funds we can draw down to what has been awarded and disbursed on student accounts”. He said, Spring Hill College has “always drawn funds after we award for ease in reconciliation, so this monitoring really had no impact on us”.

He said, “The FY14 audit reports an increase in net assets and a decrease in our liabilities. Furthermore, we have had a record number of applicants this year (over 7,000), welcomed over 2,000 prospective student visitors to campus (up over 30% from last year), and received 200 deposits to date (more than 40% of last year's deposits during the same time frame). All of these increases are good indicators of a strong freshman class for the fall of 2015”. He expects Spring Hill College's status to improve.

Other Alabama institutions on the list of “heightened cash monitoring” include:

· Alabama State University

· Calhoun Community College

· Central Alabama Community College

· Lawson State Community College

· Marion Military Institute

· University of North Alabama

· University of West Alabama

· Virginia College at Birmingham

· Wallace Community College at Selma

All content © 2015, WALA; Mobile, AL. (A Meredith Corporation Station). All Rights Reserved.
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