Finding Text
2025-004 Special Tests and Provisions Federal Agency: U.S. Department of Education Federal Program Title: Student Financial Assistance Cluster Assistance Listing No. 84.063, 84.268 Federal Award Identification Number and Year: P063P248567 – 2025, P268K258567 – 2025, P268K256514 - 2025 Award Periods: July 1, 2024 through June 30, 2025 Type of Finding: Significant Deficiency in Internal Control Over Compliance Other Matters Criteria or specific requirement: 34 CFR 668.21(a) states that the institution must return all title IV, HEA program funds that were credited to the student's account at the institution or disbursed directly to the student for the payment period. The institution must return those funds no later than 30 days after the date that the institution becomes aware that the student will not or has not begun attendance. Per 2 CFR 200.303, nonfederal entities receiving federal awards are required to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements. Condition: The University did not properly evaluate students in need of Return of Title IV (R2T4) calculations. Questioned Costs: None Context: During our testing of 5 R2T4 calculations, we identified 2 students with no R2T4 calculation performed. These students attended more than 60% of the term and did not require returned funds. Additionally, we identified 3 R2T4 calculations that did not have documentation of review. Cause: The University did not have the appropriate resources and staffing in place to verify they were in compliance with all requirements. Effect: The University could return incorrect amounts based off of their calculations and incorrect calculations could effect student repayment amounts based off of amount earned. Repeat findings: 2024-005 Recommendation: We recommend that the University review policies and procedures related to R2T4 calculations to ensure calculations are performed accurately. Views of Responsible Officials: There is no disagreement with the audit finding.