Finding Text
Federal Program Information: Federal Supplemental Education Opportunity Grants (ALN# 84.007), Federal Pell Grant Program (ALN #84.063), Federal Direct Student Loans (ALN# 84.268)
Criteria or Specific Requirement: N. Special Test and Provisions – Return of Title IV Funds: When a recipient of Title IV grant or loan assistance withdraws from an institution during a payment period or period of enrollment in which the recipient began attendance, the institution must determine the amount of Title IV aid earned by the student as of the student’s withdrawal date. Additionally, returns of Title IV funds are required to be deposited or transferred into the student financial assistance account or electronic fund transfers initiated to the U.S. Department of Education no later than 45 days after the date the institution determines the student has withdrawn.
Condition: The College did not prepare certain students’ return calculations properly.
Cause: Administrative oversight and insufficient internal controls.
Effect or Potential Effect: Over or underpayment of Title IV funds.
Questioned Costs: Below reportable threshold.
Context: For 3 of 4 students tested, the amounts to return were not calculated in accordance with the requirements.
Identification as a Repeat Finding: This is a repeat of prior year Finding 2021-005.
Recommendation: We recommend the College enhance its procedures and internal controls over the preparation and review of R2T4 calculations to ensure that return amounts are accurately determined.
Views of Responsible Officials: The College agrees with this finding.
The Return to Title IV calculation was off due to the denominator of total days being incorrectly counted. The Director of Financial Aid will calculate the total days for each semester to be used for the calculation and publish them in the annual policy and procedure manual. The current financial aid procedures have been updated.