Finding 515610 (2024-002)

Significant Deficiency Repeat Finding
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2024-12-18

AI Summary

  • Core Issue: R2T4 calculations were not done accurately or on time, leading to incorrect federal fund returns.
  • Impacted Requirements: Non-compliance with 34 CFR 668.22, resulting in questioned costs of $2,509.
  • Recommended Follow-Up: Implement a second review for R2T4 calculations to ensure accuracy and timeliness.

Finding Text

Incorrect and Untimely Return of Title IV Funds (R2T4) Significant Deficiency DEPARTMENT OF EDUCATION ALN #: 84.268, 84.063 Federal Award Identification #: 2023-2024 Award Year Condition: R2T4's were not always performed accurately and timely. Criteria: 34 CFR 668.22 Questioned Costs: $2,509 Context: 3 out of 60 withdrawals tested had incorrect funds returned. For 2 students, the R2T4 was calculated correctly but the University returned $1,177 more of federal direct loans (FDL) than required. 1 R2T4 calculation was missed and completed during the audit resulting in $2,509 of FDL being returned during the audit. Cause: This was an oversight by the University. Effect: Incorrect amounts of federal funding were returned. The one late return was 405 days late. Identification as repeat finding, if applicable: 2023-003 Recommendation: While the University has made significant progress in this area, due to the complexity of the nonstandard term modular program R2T4 calculations, we continue to recommend that a second review and approval of the calculation be completed as part of the R2T4 process. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Corrective Action Plan

Incorrect Return of Title IV Funds Calculations Planned Corrective Action: The Student Financial Services Office will train additional staff on R2T4 procedures and then conduct secondary reviews to validate the correctness of the R2T4 calculations and return amounts. Person Responsible for Corrective Action Plan: Bryan Taylor, Associate Director of SFS Processing Anticipated Date of Completion: July 1, 2025

Categories

Student Financial Aid Matching / Level of Effort / Earmarking Reporting Significant Deficiency

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $20.35M
84.063 Federal Pell Grant Program $6.52M
84.033 Federal Work-Study Program $401,678
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $356,706
84.007 Federal Supplemental Educational Opportunity Grants $273,628
84.038 Federal Perkins Loan Program $0