Need Analysis
Planned Corrective Action: ETBU financial aid staff have used a Jenzabar PX product for over 20 years. Within that product, there is no built-in compliance to assist with awarding and managing Federal Direct Loan awarding amounts based on need. The initial Federal Direct Loans were awarded correctly based on student need eligibility. However, when scholarships were added/removed or aid was adjusted based on enrollment status after origination, manual adjustments to loans are required. As a result of previous finding, ETBU implemented processes where Direct Subsidized Loans were over awarded when scholarships were added after initial packaging and eliminated all finding related to Need Analysis in 2022-2023. However, the quality assurance checks were not written to check for reduction of scholarships that might result in an under award of Direct Subsidized Loans. ETBU has a log file to document that the student elected to reduce their subsidized loan which was determined to be a finding. After further review of regulations, ETBU financial aid was only honoring the student request. ETBU financial aid office added this quality assurance check to their procedures and has conducted a 100% check for all Federal Direct Student loans for the 2022- 23 award year for over awards as well as under awarding of all Direct Loans.
ETBU financial aid has implemented a new administrative software, Jenzabar Financial Aid (JFA) for the 2023-24 financial aid year. JFA has built in Federal Direct Loan packaging that checks need at the time of awarding, as well as, evaluating need when awards are changed. Additionally, quality assurance processes have been written in the new software to double check Federal Direct Loan award amounts after any funding movement on student accounts. These processes are completed before any loan disbursements to assure that compliance is maintained.
Person Responsible for Corrective Action Plan: Linda Slawson, Director Financial Aid
Anticipated Date of Completion: Completed