Finding Text
Finding 2025-002 Program Affected Assistance Listing - 84.007, 84.033, 84.063, 84.268 U.S. Department of Education - Direct Award Student Financial Aid Cluster Award Year July 1, 2024 through June 30, 2025 Criteria Per 34 CFR section 668.22(j), an institution must return the amount of Title IV funds for which it is responsible as soon as possible but no later than 45 days after the date of the institution’s determination that the student withdrew. Condition and Context During testing of returns of Title IV funds (R2T4), we noted the following: At Eastern Maine Community College (EMCC), we selected two 2024 fall semester students for R2T4 compliance testing from a total poulation of 98 students across all of the 2025 academic year. During our testing, we noted one of the 2024 fall semester student selected had a R2T4 processed after the required 45-day timeframe from the date of determination to when the U.S. Department of Education's Common Origination and Disbursement (COD) system was notified. This was due to conversion from the PowerFAIDS student information system (SIS) to the Anthology SIS originally set to occur effective January 1, 2025. A decision was made to delay the conversion date to April 1, 2025 but also required more testing and configuration to be sure there were no more delays. This delay in the conversion from PowerFAIDS to Anthology SIS disrupted the expected sequence of events for processing student aid and, as a result, was submitted to the COD system after the 45-day deadline. Based on discussion with management, it is expected that all 2024 fall semester students at EMCC with R2T4 processed during the conversion period were filed late. At Central Maine Community College (CMCC), we selected four 2025 spring semester students for R2T4 compliance testing from a total poulation of 304 students at CMCC across all of the 2025 academic year. During our testing, we noted three of 2025 spring semester students selected had a R2T4 processed after the required 45-day timeframe from the date of determination to when COD system was notified. This was the result of the conversion from PowerFAIDS to the Anthology SIS in April 2025 which delayed the processing of R2T4 to COD. Based on discussion with management, it is expected that all 2025 spring semester students at CMCC that had a return determination after February 28, 2025, were filed late. Cause and Effect The conditions identified were caused by the transition to a new Anthology SIS that occurred during the year resulting in late submissions to COD. Questioned Costs None noted. Recommendation We recommend the System implement a process in which all refund calculations are reviewed by the appropriate level of management to ensure timely filing to the COD system is occurring. Identification as a Repeat Finding, if Applicable Not applicable. Views of Responsible Officials and Planned Corrective Action Management agrees with the finding. See attached Corrective Action Plan.