Finding Text
Untimely Returns of Title IV Funds (R2T4) Significant Deficiency
DEPARTMENT OF EDUCATION
ALN #: 84.268
Federal Award Identification #: 2023-2024 Award Year
Condition: There were 2 late returns of funds for students that withdrew during the term and 1 additional late return of funds for a student that did not attend the term.
Criteria: 34 CFR 668.22
Questioned Costs: $0
Context: 2 of 7 withdrawals tested had returns that were 109 and 259 days late totaling $622 and $668, respectively. 1 out of 7 had a late return of 128 days for $4,750 due to a delayed determination of non-attendance. These errors were discovered and corrected during the audit. After these errors were discovered, the Seminary completed a full file review of all 16 withdrawals to ensure accurate and timely R2T4 calculations noting no additional errors.
Cause: The Seminary had staff turnover in the registrar’s office which caused miscommunication between the registrar and financial aid office as well as inaccurate system reports. Because of the inaccurate system reports, the student who didn’t attend wasn’t identified. Additionally, because of the reporting problem, the original returns for students that formally withdrew were based on an inaccurate last day of attendance used in the R2T4 calculation and the late return was due to the correction of the original returns.
Effect: Federal funding was returned late.
Identification as repeat finding, if applicable: N/A
Recommendation: We recommend that the Seminary review all dates provided by Campus Nexus reports to verify correct last day of attendance is used in R2T4 calculations.
Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.