Auditor Description of Condition and Effect. The Code of Federal Regulations, 34 CFR 668.22(f)(2)(i), states that scheduled breaks of at least five consecutive days are excluded from the total number of calendar days in the period of enrollment and the number of calendar days completed in that period. It was noted during our testing of R2T4 calculations that the College is not excluding the correct number of days for scheduled breaks of five days or more in both the 2023 fall and 2024 spring terms. Thus, all calculations performed for both of these terms were determined to be inaccurate. Incorrect break days were used in the calculation due to an error in the entering of the College's academic schedule information into the PowerFAIDS system, resulting in incorrect dates being used in the preparation of refund calculations within the system. As a result of this condition, the students' return of funds calculation was not done correctly and the return of funds back to the federal government was for the incorrect amount. No costs are required to be questioned as the amounts did not exceed the reporting threshold. Auditor Recommendation. We recommend the College review the R2T4 requirements and implement procedures to ensure the R2T4 calculations are using the correct amount of term days. Corrective Action. The Director of Financial Aid has reviewed the R2T4 requirements in detail and have implemented enhanced procedures to ensure accurate R2T4 calculations moving forward. One of the key steps in the College's corrective action plan is to introduce a more rigorous review process when developing our annual academic calendars. This includes conducting a pre-term audit of the calendar to verify the total number of term days, including the correct designation of non-instructional days, when developing the proposed academic calendar. Once cross-checking against R2T4 requirements has been completed, the Registrar will bring the proposed calendar to the College’s Institutional Effectiveness Team. This group will then serve as an additional review panel and approval body to ensure all term days, including breaks, are accurately reflected to prevent future discrepancies in the R2T4 calculations. Responsible Party. The Dean of Student Services will take primary responsibility for overseeing this process and ensuring accuracy and R2T4 compliance. Anticipated Completion Date. The corrective action plan is already in progress, with full implementation expected by June 30, 2025.