Finding Text
Federal Agency: U.S. Department of Education ALN and Title: Student Financial Aid (SFA) Cluster Award Number: Various Area: Special Tests and Provisions ? Return of Title IV Funds Questioned Cost: $0 Criteria: 34 CFR 668.20(d) states that an institution must return the amount of title IV funds for which it is responsible as soon as possible, but no later than 30 days after the date that the institution becomes aware that the student will not or has not begun attendance. 34 CFR 668.22(j) states that an institution must return the amount of title IV funds for which it is responsible as soon as possible, but no later than 45 days after the date of the institution?s determination that the student withdrew. Condition: Of the five (5) samples tested, we noted one (1) sample where the University did not return the funds within the required time frame. Cause: The University?s management is not experienced with handling title IV funds and was not aware that there is a timeline to return funds for non-attendance or withdrawal of students. Effect: The University is noncompliant with the requirements of the special test and provisions on return of Title IV funds. Identification as a repeat finding: 2021-008 Recommendation: The University should improve its controls over the timely determination of whether a student has ceased attendance for purposes of computing a return of Title IV funds. Views of responsible officials: Management agrees. Refer to Corrective Action Plan.