Finding Text
Finding 2024-001: Student Financial Assistance Cluster - Student Eligibility
Federal Agency: U.S. Department of Education
Program: Student Financial Assistance Cluster (84.007, 84.033, 84.063, 84.268)
Criteria: In accordance with 34 CFR 668.165 (a), before an institution disburses title IV program funds for any award year, the institution must notify a student of the amount of funds that the student or his or her parent can expect to receive under each title IV program and how and when those funds will be disbursed. Additionally, when Direct Loans are being credited to a student's account, the institution must notify the student, or parent, in writing of the date and amount of disbursement, as well as the timing and process by which a parent may cancel the loan. The notification process is often completed by either an award letter or college financing plan. Controls were not in place to ensure College financing plans were emailed to all required students and/or parents.
Condition: The College notifies students of Title IV Funds by emailing a College Financing Plan to the student and/or parent. The College's manual process to identify students who should be notified of Title IV funding did not identify three students out of forty tested that should have received a College Financing Plan.
Cause: The College's process to notify students and/or parents, involves a manual process to identify those who should receive a college financing plan. College financing plans are distributed via email to the student and/or parent. The College does not have a system in place to verify that everyone who received Title IV funding received a College Financing Plan.
Effect: The College did not provide notification via a College Financing Plan of Title IV funding to three of its students as required and potentially could have additional students that did not receive proper notification.
Repeat Finding: This is not a repeat finding.
Questioned costs: None
Recommendation: We recommend that the College implement additional procedures to ensure all students receive notification of Title IV funding as required under 34 CFR 668.165 (a).
View of Responsible Officials and Planned Corrective Action:
Management agrees, see separate Corrective Action Plan.