Finding Text
Inaccurate Return of Title IV Funds (R2T4) DEPARTMENT OF EDUCATION ALN #: 84.063 Pell Grants and 84.268 Federal Direct Loans Federal Award Identification: 2021-2022 Award Year Condition: The College did not always calculate unearned Title IV funds correctly. Criteria: 34 CFR 668.22 Questioned Costs: $550 Context: Out of 14 students tested for withdrawal compliance, three students had incorrect R2T4 calculations. The calculations used the incorrect number of completed days or total days. Two of the calculations should have had more Pell Grant returned totaling $295. One of the calculations should have had less Federal Direct Loan returned totaling $255. Cause: Lack of oversight and adequate review. Effect: Incorrect amount of unearned Title IV funds returned. Identification as repeat finding, if applicable: Yes, 2021-004 and 2020-003. Recommendation: We recommend an individual in financial aid with the appropriate level of experience periodically review R2T4 calculations and returns to help ensure that internal controls over the process can operate effectively and achieve compliance. Views of Responsible Officials and Planned Corrective Action: Management is in agreement with this finding. See attached corrective action plan.