Finding Text
Student Financial Assistance Cluster - ALN 84.268 - Federal Direct Student Loans (Direct Loan) & ALN 84.063 – Federal Pell Grant Program, U.S. Department of Education Award Year July 1, 2024 – June 30, 2025 Criteria or specific requirement – Prior to making a disbursement, the school must notify students of the amount and type of Title IV funds they are expected to receive, and how and when those disbursements will be made (34 CFR 668.165(a)(1)). Condition – Students receiving Title IV funds in June 2025 were not notified by the University of the amount and type of Title IV funds they were expected to receive, and how and when those disbursements were made. Cause – The University began transitioning to a new aid packaging system in June 2025, which resulted in the lack of Title IV fund disbursement notifications being made. Effect or potential effect – Students were not notified of Title IV fund disbursements and related information for disbursements made in June 2025. Questioned costs – None Context – Out of a population of 9,294 disbursements, a sample of 25 disbursements were selected for testing. Out of these 25 disbursements, 11 students did not receive notification of the amount and type of Title IV funds they were expected to receive and how and when those disbursements were made. The 11 disbursements occurred in June 2025. The sample of disbursements was not, and was not intended to be, a statistically valid sample. Recommendation – Management should review the system configuration to ensure all Title IV fund disbursement notifications are being made timely with the required proper information included on each notification. View of responsible officials and planned corrective action – A system transition impacted the automated notification process, resulting in notifications not being generated or delivered as expected. The issue has been resolved through system changes and the Financial Aid Department has added verification of disbursement notifications to its Quality Assurance (QA) review process. This additional control ensures confirmation that notifications are generated and sent following each federal aid disbursement cycle.