Here is the job description in question:

Office Administrator
 Managing telephone, e-mail, and mail communication
 Project coordinator
 Conference Planning
 Database creation and maintenance
 Filing
 Billing and follow-up with affiliates

The job is being offered as a 30 hr per week "salaried" position. (Paid the same flat salary with no regard to actual hours worked.) The employee is currently averaging approximately 40 hrs per week, with no extra compensation either in the form of comp time or extra pay in exchange for the additional hours worked.

Is the employer properly following FLSA guidelines? Does this employee have grounds for asking to be converted to non-exempt status so that s/he can be paid for the actual hours worked?

Thanks!

Doesn't sound like an exempt position to me. If anything, I'd look to the criteria for the Administrative exemption here:
http://www.dol.gov/esa/regs/compliance/whd/fairpay/fs17c_administrative.htm

Oh, and BTW, unless this is a public agency, such as a city or country government, or public school district, etc., compensatory time in lieu of overtime payment is not allowed anyway.