Finding 1179136 (2025-002)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-12

AI Summary

  • Core Issue: The University failed to provide adequate support for the last day of attendance used in the Title IV funds calculation for a withdrawn student.
  • Impacted Requirements: This deficiency violates 34 CFR 668.22(b), which mandates proper documentation of a student's withdrawal date.
  • Recommended Follow-Up: Implement a process for accurate withdrawal date determination and maintain supporting documentation, along with improved communication between departments.

Finding Text

2025-002 Significant Deficiency: Unsupported Information Utilized in Return to Title IV Funds Calculation (U.S. Department of Education, William D. Ford Direct Loan Program, ALN #84.268; Federal Pell Grant Program, ALN #84.063; Federal Supplemental Opportunity Grant Program, ALN #84.007; and TEACH Grant Program, ALN #84.379) Criteria: In accordance with 34 CFR 668.22(b), an institution must document a student's withdrawal date determined and maintain the documentation as of the date of the institution's determination that the student withdrew. Statement of Condition: During the audit, it was noted that the University could not provide adequate support for the last day of attendance used in completing the return to Title IV funds calculation for one of the withdrawn students tested. Questioned Costs: There is no known monetary error related to this specific issue. Perspective Information: The audit included a detailed testing of 2 student files, of which this significant deficiency applies to 1, indicating an error rate of 50.0%. No other possible students to which this issue could have affected exist beyond those tested during the audit, as all withdrawn students were examined. Cause and Effect: Due to incomplete documentation and lapses in communication, the withdrawal date used in the aid calculation lacked sufficient supporting documentation and did not appear to align with other available records. Using an incorrect date could result in too little or too much Title IV being returned on the student’s behalf. Recommendation: The University should ensure that withdrawal dates are determined in accordance with the code of federal regulations and federal student aid handbook. Once the date is determined in accordance with applicable regulations, appropriate supporting documentation should be maintained to substantiate the date used. View of Responsible Officials: The finance department has begun analyzing existing data path communication within the department and across the University, identifying opportunities for improvement. In the future, the University intends to implement required student attendance reporting by professors. This step will assist in determining last day of attendance via confirmation processes by academic administrators and financial aid administrators and provide supporting documentation for reference. Adding this step is expected to override unreliable communication.

Corrective Action Plan

2025-002 Initial Fiscal Year End, 2025 Summary of Finding- During the audit, it was noted the University could not provide support for the last day of attendance to complete the return of Title IV funds for one of the students tested. This lapse in communication between departments led to a variance in the reported last day of attendance, which in turn did not provide a firm last day for calculating return of funding. Name and Title of Responsible Contact Person(s)- Jane Hodgkins, Vice President for Finance Corrective Action Plan Summary- The Finance Department will implement a compliance checklist to be used when a student begins the withdrawal process or when their absence becomes noticed. This checklist will comply with the Federal Student Aid handbook. This procedure will ensure compliance between Academic and Financial Aid Departments. This data path will begin with notification of respective departments and initiation by the Academic Department passing to Financial Aid with parallel communication with the Finance Department for compliance and accuracy of dates and ultimately the return of the accurate amount of Title IV funds. Anticipated Completion Date- Feb 28, 2026

Categories

Student Financial Aid

Other Findings in this Audit

  • 1179129 2025-001
    Material Weakness Repeat
  • 1179130 2025-002
    Material Weakness Repeat
  • 1179131 2025-001
    Material Weakness Repeat
  • 1179132 2025-002
    Material Weakness Repeat
  • 1179133 2025-001
    Material Weakness Repeat
  • 1179134 2025-002
    Material Weakness Repeat
  • 1179135 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $662,921
84.063 FEDERAL PELL GRANT PROGRAM $403,495
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $9,725
84.033 FEDERAL WORK-STUDY PROGRAM $6,718
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $3,772