Finding Text
FINDING 2022-009 ? R2T4 Calculations Federal Agency: U.S. Department of Education; Office of Federal Student Aid Pass through Entity: Not applicable Program Name: Federal Pell Grant Program Federal Direct Student Loan Program ALN and Program Expenditure: 84.063 ($484,684) 84.268 ($149,449) Award Number: P063P203976 P268K223976 Federal Award Year: July 1, 2021 to June 30, 2022 Questioned Costs: 84.063 ($1,167.43) Condition Found: All seven of the R2T4s completed by the School during the fiscal year were reviewed. The following items were noted: ? One R2T4 was calculated correctly, but $1,533.02 of Federal Grant funds were returned instead of $1,617.45 as required by the R2T4 calculation. ? One R2T4 was calculated correctly; however Federal Pell Grant funds totaling $1,083 were not returned to the Department of Education as required by the R2T4 calculation. ? One R2T4 was calculated correctly, but the funds were not returned timely. The correct amount of funds were returned before audit fieldwork began. Criteria: A R2T4 calculation is required when a student withdraws from all courses during an enrollment period. Funds are required to be returned to the Department of Education or lender within forty-five days of the date of determination. Cause: ? The incorrect amount was returned to the Department of Education. ? Due to a miscommunication between the financial aid and business offices, the School missed returning the R2T4 funds. ? Due to a miscommunication between the financial aid and business offices, the School returned the R2T4 funds after forty-five days from the date of determination. Possible Asserted Effect: ? An additional $84.43 of Federal Pell Grant funds should be returned to the Department of Education. ? $1,083 of Federal Pell Grant funds should be returned to the Department of Education. ? The R2T4 funds were not returned within forty-five days from the date of determination. Repeat Finding: See Finding 2021-005 for a similar finding in the prior year. Statistical Sampling: The sample was not intended to be, and was not, a statistically valid sample. Recommendation: The School should return at total of $1,167.43 of Federal Pell Grant funds. The Financial Aid Office should double check the data entry on the R2T4s. Procedures should be improved to ensure that R2T4 funds are returned timely. Management Response: The Student Financial Aid Director returned $84.43 of Federal Pell funds for the first student in question in November 2022. $1,083 of Federal Pell Grant funds were returned for the second student in question on November 4, 2022. Procedures will be improved to ensure that the R2T4 funds are returned timely.