Finding Text
Untimely Returns of Title IV Funds (R2T4) Significant Deficiency DEPARTMENT OF EDUCATION ALN #: 84.268 Federal Direct Loans, 84.063 Federal Pell Grants Federal Award Identification #: 2024-2025 Financial Aid Year Condition: When students withdrew officially, the University did not always return unearned Title IV aid timely. Criteria: 34 CFR 668.22 Questioned Costs: $423 Context: Out of 60 students tested for withdrawal consideration, 2 students who withdrew during the audit period tested had funds returned late. One student was an official withdrawal for Spring 2025 and had $1,697 in federal loans returned in June 2025, 14 days late as this was caught during review of the unofficial withdrawals. The other student was an official withdrawal for Fall 2024 and the University did not complete R2T4 as required and needs to return $423 of Pell. The University is in process to review for any additional late returns for consideration. Cause: This was an oversight by the University. Effect: Noncompliance with R2T4 regulations regarding withdrawals from modular programs. Identification as repeat finding, if applicable: 2024-001 and 2023-001 Recommendation: We recommend that the University run a report of official withdrawals on a monthly basis to process R2T4's and any returns on a monthly basis to ensure those returns are done timely. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.