Finding Text
Criteria or specific requirement – Special Tests and Provisions – Return of Title IV Funds (34 CFR 668.22(a)(1) through (a)(5)
Condition – The College’s internal controls did not ensure the calculation of amounts to be returned to the U.S. Department of Education were correct.
Questioned costs - $0
Context – Out of the population of 18 students who withdrew during the year and were awarded federal aid, 3 were selected for testing. Our sampling method was not, and was not intended to be, statistically valid. The amount calculated to be returned for one student due to their withdrawal was incorrect.
Effect – More Title IV funds were returned to the U.S. Department of Education than required.
Cause – The College’s internal controls did not ensure the calculated amount to be returned was correct.
Identification of repeat finding, if applicable – 2023-001
Recommendation –The College should update their controls to ensure each calculation of funds to be returned is correct.
Views of responsible officials and planned corrective actions – The Financial Aid Director is responsible for the return of federal funds. The college’s ERP system calculates the return amounts. Although there was no error in the calculation the $6.00 due to the college was returned to the Department of Education. See separate report for planned corrective actions.