Finding 23050 (2022-004)

- Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-21
Audit: 18257
Organization: Manna University (NC)
Auditor: Capincrouse LLP

AI Summary

  • Core Issue: Return to Title IV calculations were inaccurate, leading to an incorrect return of funds.
  • Impacted Requirements: Compliance with 34 CFR 668.22 regarding accurate disbursement calculations.
  • Recommended Follow-Up: Collaborate with the third-party administrator to regularly verify R2T4 calculations for accuracy.

Finding Text

Incorrect Return of Title IV Funds Calculations DEPARTMENT OF EDUCATION ALN #: 84.268, 84.063 Federal Award Identification #: 2021-22 Financial Aid Year Condition: Return to Title IV calculations were not always accurate based on the actual amounts disbursed to students. Criteria: 34 CFR 668.22 Questioned Costs: $689 Context: Out of 3 R2T4 calculations tested, 1 student?s return calculation did not use the actual amount of Pell grant disbursed to the student. Cause: This was an oversight by the University. Effect: The error resulted in an additional $689 of Pell grant to be returned to Title IV. This was corrected during the audit. Identification as repeat finding, if applicable: 2021-007 Recommendation: We recommend that the University work with their third-party administrator to regularly review R2T4 calculations for accuracy. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Corrective Action Plan

Incorrect Return of Title IV Funds Calculation Planned Corrective Action: The Vice President of Administration had a meeting with the new supervisor over the department at Campus Ivy that processes R2T4s. The supervisor stated that there have been changes made to ensure that these mistakes will never happen again. The Vice President of Administration will review the R2T4s after Campus Ivy has completed the calculations to be sure that the representative used the correct amount of funds disbursed. The R2T4 that was incorrect has been corrected and the funds have been returned to the Department of Education. Person Responsible for Corrective Action Plan: Cathy Lucas, Vice President of Administration Anticipated Date of Completion: March 7, 2023

Categories

Student Financial Aid

Other Findings in this Audit

  • 23049 2022-003
    Significant Deficiency
  • 23051 2022-003
    Significant Deficiency
  • 23052 2022-004
    - Repeat
  • 23053 2022-005
    - Repeat
  • 599491 2022-003
    Significant Deficiency
  • 599492 2022-004
    - Repeat
  • 599493 2022-003
    Significant Deficiency
  • 599494 2022-004
    - Repeat
  • 599495 2022-005
    - Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $446,858
84.425 Covid-19 Education Stabilization Fund Heerf - Fund for the Improvement of Postsecondary Education Formula Grant $379,936
84.063 Federal Pell Grant Program $364,523
84.425 Covid-19 Education Stabilization Fund Heerf - Student Aid Portion $78,833
84.425 Covid-19 Education Stabilization Fund Heerf - Institutional Portion $54,175