Finding Text
2022?004 240 Day Requirement for Unclaimed R2T4 Checks Federal Agency: Department of Education Federal Program Title: Student Financial Aid Cluster CFDA Number: 84.268 ? Federal Direct Student Loans, 84.063 ? Pell Grant Program, 84.007 ? Supplemental Education Opportunity Grant program, 84.033 ? Federal Work Study Program Award Period: July 1, 2021 through June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance (Other Matters) Criteria or specific requirement: The Code of Federal Regulations, 34 CFR 668.164(h)(2) states that an institution that attempts to disburse funds by check and the check is not cashed, the institution must return the funds to the Secretary no later than 240 days after the date it issued that check. Condition: During our testing it was noted that the University did not return certain unclaimed refund checks within the required time frame. Questioned costs: Known questioned costs totaling $2,183. Context: We identified 13 checks totaling $2,183 related to return of Title IV funding that were outstanding for more than 240 days as of June 30, 2022. Cause: The University?s policies and procedures did not ensure that the checks were returned to the Secretary in a timely manner. Effect: Noncompliance with the 240 day requirement. Repeat Finding: No. Recommendation: We recommend that the University review its procedures related to outstanding student checks to ensure they are being returned to the Department of Education within 240 days. Views of responsible officials: See Corrective Action Plan prepared by the University.