Finding Text
Federal Program Information: Federal Supplemental Educational Opportunity Grants (ALN:
84.007), Federal Pell Grant Program (ALN: 84.063), Federal
Direct Student Loans (ALN: 84.268)
Criteria or Specific Requirement
(Including Statutory, Regulatory
or Other Citation):
N. Special Tests and Provisions – Return of Title IV Funds: The
amount of earned Title IV grant or loan assistance is
calculated by determining the percentage of Title IV grant or
loan assistance that has been earned by the student and
applying that percentage to the total amount of Title IV grant
or loan assistance that was or could have been disbursed to
the student for the payment period or period of enrollment
as of the student’s withdrawal date. A student earns 100
percent if his or her withdrawal date is after the completion
of 60 percent of (1) the calendar days in the payment period
or period of enrollment for a program measured in credit
hours, or (2) the clock hours scheduled to be completed for
the payment period or period of enrollment for a program
measured in clock hours (34 CFR 668.22(e)(2)). Otherwise,
the percentage earned by the student is equal to the
percentage (60 percent or less) of the payment period or
period of enrollment that was completed as of the student’s
withdrawal date. The percentage of Title IV grant or loan
assistance that has not been earned by the student is the
complement of one of these calculations. Standard termbased
institutions must always use the payment period as the
basis for the determination.
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: For certain students identified through our testing, the
University did not properly calculate the amounts to be
returned to the ED.
Cause: Administrative oversight with respect to return of Title IV
fund calculations.
Effect or Potential Effect: The University is not in compliance with the return of Title IV
funds requirements.
Questioned Costs: None.
Context: For 1 of 2 students selected for testing, the University did not
properly calculate the amount of Title IV aid to be returned
to the ED. The amount returned to the ED was greater than
the amount owed based upon the student’s withdrawal date.
Identification of Repeat Finding: No similar findings noted in the prior year.
Recommendation: We recommend the University enhance its procedures over
the return of Title IV fund calculations to ensure that returns
of funds are calculated accurately, in accordance with
federal regulations.
Views of Responsible Officials and
Planned Corrective Actions:
The issue has been addressed and reviewed. Going forward
the Director of Financial Aid will set up and review all periods
of enrollment and dates in the return of funds calculation on
COD prior to the start of the academic year.