Finding Text
Student Financial Assistance Cluster Federal Pell Grants, ALN 84.063 Federal Direct Student Loans, ALN 84.268 U.S. Department of Education Program Year 2024 - 2025 Criteria or Specific Requirement - Special Tests: Return of Title IV Funds 34 CFR 668.22 Condition - Return of Title IV funds were not calculated correctly and funds were not returned within the required time frame. Evidence of review of return calculations is not maintained. Cause - The University calculated a return for three students who completed more than 60% of the payment period. The incorrect amount of Title IV assistance earned was used in determining the postwithdrawal disbursement for three students. For two students, amounts required to be returned were not returned to the Department of Education or removed from the students' accounts within the required time frame. The University does not maintain evidence of review of return of Title IV calculations prepared by the financial aid counselors. Effect or Potential Effect - The incorrect amount of funds were returned and funds were not returned within the required time frame. Questioned Costs - $10,143 Context - Out of a population of 179 official and unofficial withdrawals of students who received Student Financial Assistance, a sample of 20 students were selected for testing. Our sample was not, and was not intended to be statistically valid. For three students, the University calculated a return and returned the funds to the Department of Education, however, the students completed more than 60% of the payment period, therefore, no return was required. For three students, the incorrect amount of Title IV assistance was used in determining the post-withdrawal disbursement which resulted in two students receiving more aid than was earned, and one student receiving less aid than was earned. For two students, the funds were not returned to the Department of Education and the credit to the students' account was not made within the required time frame. Identification as a Repeat Finding - Repeat finding, 2024-003 Recommendation - The University should update their controls to ensure inputs used to calculate the return are accurate and agree to institutional records. The University should review its processes for ensuring return of funds are returned in a timely manner.