Finding Text
Assistance Listing Number, Federal Agency, and Program Name - Student Financial Assistance Cluster (Federal Pell Grant Program - 84.063, Federal Direct Student Loans - 84.268)
Federal Award Identification Number and Year - 84.063 and 84.268
Pass-through Entity - N/A
Finding Type - Significant deficiency
Repeat Finding - No
Criteria - In accordance with 2 CFR 200.303, the College must establish and maintain effective internal control over its federal awards in order to provide reasonable assurance that it is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Specific to these Title IV programs, 34 CFR 668.22 outlines the requirements for institutions to follow when returns of Title IV funds are required, including identifying when calculations are necessary and the time frame in which they are required to be returned.
Condition - There was a lack of internal controls in place related to the return of Title IV funds.
Questioned Costs - $104
If Questioned Costs are Not Determinable, Description of Why Known Questioned Costs were Undetermined or Otherwise Could Not be Reported - N/A
Identification of How Questioned Costs Were Computed - R2T4 corrected amounts were computed using the correct number of days attended. Questioned costs were computed by comparing the required amounts to be returned to the amount originally returned by the University for the four incorrect calculations.
Context - Of the seven students selected for R2T4 calculation testing, five student calculations included incorrect number of days attended within the calculation inputs.
Cause and Effect - A lack of review of the inputs to the R2T4 calculation inputs lead to inaccurate computation of the amount to be returned.
Recommendation - We recommend the University implement a review control that would identify errors in inputs to the R2T4 calculation.
Views of Responsible Officials and Corrective Action Plan - The director will update the academic calendar on the COD R2T4 calculator yearly and verify dates and length of breaks are correct. The University will continue to have the senior financial aid advisor complete R2T4, and the director will sign off on calculations.