Finding Text
Student Financial Assistance Program Cluster – Department of Education
Federal Financial Assistance Listing #84.268 Federal Direct Student Loans ‐ 2022/2023 P268K211430
Federal Financial Assistance Listing #84.063 Federal Pell Grant Program ‐ 2022/2023 P063P201430
Special Tests & Provisions: Return of Title IV Funds
Material Weakness in Internal Control over Compliance
Criteria: The unearned amount of Title IV assistance to be returned is calculated by subtracting the amount of Title IV assistance earned by the student from the amount of Title IV aid that was disbursed to the student as of the date of the institution’s determination that the student withdrew (34 CFR 668.22(e)).
Condition: Eight instances were identified where there was no documented control over the Return of Title IV calculation.
Cause: The University did not have a documented control over all of the Return of Title IV calculations.
Effect: Without a secondary review and approval, there is a possibility that the Return of Title IV calculations could be incorrect.
Questioned Costs: None
Context/Sampling: Of the 16 students in which a Return of Title IV funds were calculated, 3 were tested. There were also 9 additional students that were tested based on a population of all withdrawn students or 46 students. The amount tested was $60,000 of the total population of funds received of $299,000.
Repeat Finding from Prior Years: Yes
Recommendation: The University should review its current controls over Return of Title IV calculations and ensure those controls are properly documented.
Views of Responsible Officials: Management agrees. Management’s complete response can be found in the separately issued corrective action plan.