Finding 499628 (2024-001)

Significant Deficiency
Requirement
N
Questioned Costs
$1
Year
2024
Accepted
2024-09-30
Audit: 322507
Organization: University of Saint Francis (IN)

AI Summary

  • Core Issue: The University incorrectly returned funds to the Department of Education for Title IV aid, affecting compliance with federal requirements.
  • Impacted Requirements: Institutions must accurately calculate and return Title IV funds when a student withdraws, as per federal regulations (34 CFR Sections 668.22).
  • Recommended Follow-Up: Implement secondary reviews to ensure accurate calculations and proper return of funds to prevent future discrepancies.

Finding Text

Federal Agency –Department of Education, Student Financial Assistance Cluster, Federal Supplemental Educational Opportunity Grants, Assistance Listing Number 84.007; Federal Work Study Program, Assistance Listing Number 84.033; Federal Pell Grant Program, Assistance Listing Number 84.063; Federal Direct Loan Program, Assistance Listing Number 84.268. Federal Award Program Year – May 1, 2023 – April 30, 2024 Criteria or Specific Requirement – Special Tests and Provisions – Return of Funds – When a recipient of Title IV grant or loan assistance withdraws from an institution during a payment 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. If the total amount of Title IV assistance earned by the student is less than the amount that was disbursed to the student on his or her behalf as of the date of the institution’s determintation that the student withdrew, the difference must be returned to the Title IV programs as outlined in this section and no additional disbursements may be made to the student for the payment period or period of enrollment (34 CFR Sections 668.22(a)(1)-(3)). Condition – While the earned percentage was appropriately calculated and determined, an incorrect amount of funds was returned. Questioned Costs – $1,381 Context – Out of a population of 38 calculations performed during the examination period, an incorrect amount was returned to the Department of Education for two students due to a discrepancy in the amount of disbursed or available aid. For one additional student, the amount of the return was calculated correctly, but the funds were never returned. We tested all calculations in the population. Cause – The amount of aid originally disbursed was documented incorrectly, or missing communication between the financial aid and business offices. Effect – The University returned the incorrect amount of funds to the Department of Education. Identification as a Repeat Finding – N/A Recommendation – We recommend that the University be diligent in performing secondary reviews to ensure the calculations are performed correctly and funds are adequately returned.

Categories

Questioned Costs Student Financial Aid Special Tests & Provisions Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 499625 2024-001
    Significant Deficiency
  • 499626 2024-001
    Significant Deficiency
  • 499627 2024-001
    Significant Deficiency
  • 1076067 2024-001
    Significant Deficiency
  • 1076068 2024-001
    Significant Deficiency
  • 1076069 2024-001
    Significant Deficiency
  • 1076070 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $10.49M
84.063 Federal Pell Grant Program $3.62M
84.042 Trio_student Support Services $324,925
11.307 Economic Adjustment Assistance $216,139
84.007 Federal Supplemental Educational Opportunity Grants $147,252
84.033 Federal Work-Study Program $128,082
16.525 Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus $101,860
84.031 Strengthening Institutions Programs $58,793
45.024 Jesters - Total National Endowment for Arts $25,000
93.493 Congressional Directives $10,244