Finding Text
2023–005: Return of Title IV (R2T4) Calculations
Federal agency: U.S. Department of Education
Federal program title: Student Financial Aid Cluster
Assistance Listing Numbers: 84.007, 84.063, 84.268, 84.379
Award Period: July 1, 2022 through June 30, 2023
Type of Finding:
• Significant Deficiency in Internal Control over Compliance
• Other Matters
Criteria or specific requirement:
In accordance with 34 CFR 668.22(a)(1), 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 grant or loan assistance that the student earned as of the student’s withdrawal date.
Condition:
During our testing, it was noted that R2T4 calculations were not completed for 2 students.
Questioned costs:
None.
Context:
2 out of 7 students tested should have had a R2T4 calculation completed upon withdrawing from the College.
Cause:
The College followed their procedures but the report that identifies students who withdrew did not include these students.
Effect:
Funds are not being returned to the Department of Education.
Repeat Finding:
No
Recommendation:
We recommend reviewing the report that is run to identify withdrawn students to understand why these students were not included, as well as implement a compensating control to ensure future students are not missed.
Views of responsible officials:
There is no disagreement with the finding.