Special Tests and Provisions – Return of Title IV Funds Federal Agency: U.S. Department of Education (ED) Pass-Through Entity: Direct funded by the U.S. Department of Education (ED) Program Name: Student Financial Assistance Cluster Assistance Listing Numbers: 84.007, 84.033, 84.063, and 84.268 Award Identification Number: P007A230565, P007A240565, P007A240568, P007A244666, P033A230565, P033A230568, P033A234666, P033A240565, P033A240568, P033A244666, P063P230042, P063P230043, P063P230636, P063P240042, P063P240043, P063P240636, P268K240042, P268K240043, P268K240636, P268K250042, P268K250043, P268K250636 Award Year: 2024-2025 Criteria 34 CFR 668.22(a), 34 CFR 668.22(e), and 34 CFR 668.22(f) When a recipient of Title IV assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV aid earned by the student as of the student’s withdrawal date. The amount of Title IV assistance that is earned by the student is calculated by determining the percentage of aid earned by the student and applying the percentage to the total amount of Title IV assistance that was disbursed and that could have been disbursed to the student. If the total amount of Title IV assistance earned by the student is less than the amount that was disbursed to the student, or on his or her behalf, as of the date of the institution’s determination that the student withdrew, the difference must be returned to the Title IV programs. For programs measured in credit hours, the percentage of aid earned by the student is determined by dividing the total number of calendar days in the payment period or period of enrollment into the number of calendar days completed in that period as of the student’s withdrawal date. The total number of calendar days in a payment period or period of enrollment includes all days within the period that the student was scheduled to complete, except that scheduled breaks of at least five consecutive days are excluded from the total number of calendar days in a payment period or period of enrollment and the number of calendar days completed in that period. The unearned amount of Title IV assistance to be returned is calculated by subtracting the amount of title IV assistance earned by the student as calculated under paragraph (e)(1) of this section from the amount of title IV aid that was disbursed to the student as of the date of the institution’s determination that the student withdrew. Condition Significant Deficiency in Internal Control over Compliance and Noncompliance – The following deficiencies were noted: 1 of 60 students’ Return of Title IV calculation was calculated incorrectly for Miramar College (the College did not exclude the scheduled breaks from the total number of calendar days in the payment period or period of enrollment). 1 of 60 students’ Return of Title IV calculation was calculated incorrectly for Mesa College (the College excluded scheduled breaks from the total number of calendar days in the payment period or period of enrollment when the courses in the program were offered in modules and did not have scheduled breaks of at least five consecutive days). 1 of 60 students’ Return of Title IV funds was returned in the incorrect amount for Mesa College (the College had a transposition error in the institution’s required amount to return). Questioned Costs There are no questioned costs associated with the condition identified. Context There were approximately 1,527 Return of Title IV calculations performed during the year ended June 30, 2025. Effect The District is not in compliance with the Federal Return of Title IV requirements described in the OMB Compliance Supplement. Cause The District’s internal controls were not adequately designed to prevent erroneous information utilized in the calculations and to ensure funds are returned accurately. Repeat Finding (Yes or No) No. Recommendation The District should strengthen internal controls over the review of Return of Title IV calculations to ensure that calculations and funds returned are accurate.
Special Tests and Provisions – Enrollment Reporting Federal Agency: U.S. Department of Education (ED) Pass-Through Entity: Direct Funded by the U.S. Department of Education (ED) Program Name: Student Financial Assistance Cluster Assistance Listing Numbers: 84.007, 84.033, 84.063, and 84.268 Award Identification Number: P007A230565, P007A240565, P007A240568, P007A244666, P033A230565, P033A230568, P033A234666, P033A240565, P033A240568, P033A244666, P063P230042, P063P230043, P063P230636, P063P240042, P063P240043, P063P240636, P268K240042, P268K240043, P268K240636, P268K250042, P268K250043, P268K250636 Award Year: 2024-2025 Criteria OMB Compliance Supplement, OMB No. 1845-0035 – Institutions are required to report enrollment information under the Pell grant and the Direct and FFEL loan programs via the National Student Loan Data System (NSLDS). Institutions must review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website which the financial aid administrator can access for the auditor. The data on the institutions’ Enrollment Reporting Roster, or Enrollment Maintenance page, is what NSLDS has as the most recently certified enrollment information. There are two categories of enrollment information: “Campus Level” and “Program Level,” both of which need to be reported accurately and have separate record types. The NSLDS Enrollment Reporting Guide provides the requirements and guidance for reporting enrollment details using the NSLDS Enrollment Reporting Process. Condition Significant Deficiency in Internal Control over Compliance and Noncompliance – During testing over the NSLDS reporting requirements, the following deficiencies were noted: • 27 of 60 students’ effective dates were not accurately reported in NSLDS (date of change do not agree to effective dates). • 16 students from City College • 9 students from Mesa College • 2 students from Miramar College • 6 of 60 students’ enrollment statuses were not accurately reported on NSLDS (status per student accounts do not agree to status per NSLDS). • 4 students from City College • 2 students from Mesa College Questioned Costs There are no questioned costs associated with the condition identified. Context The District disbursed financial aid to approximately 14,730 students that required student enrollment and program enrollment reporting to NSLDS. Effect The District is not in compliance with the Federal enrollment reporting requirements described in the OMB Compliance Supplement. Cause The District did not report enrollment information for students under the Pell Grant and Direct Loan Programs via NSLDS timely or accurately. • For the students with dates of change not agreeing to the effective dates. • The District’s system automatically modified the withdrawal date to the beginning of the term for students who withdrew from all their classes. • For the students with enrollment status not accurately reported, there was an error in reporting the enrollment status after the student had dropped all their classes for term. Repeat Finding (Yes or No) Yes, see 2024-003 in the Summary Schedule of Prior Audit Findings. Recommendation The District should implement a process to review, update, and verify student enrollment statuses, program information, and effective dates that appear on the Enrollment Reporting Roster file or on the Enrollment Maintenance page of the NSLDS Professional Access (NSLDSFAP) website.