Finding Text
Federal Program Information: Student Financial Assistance Cluster: Federal Supplemental Education Opportunity Grants (Assistance Listing #84.007), Federal Work-Study Program (Assistance Listing #84.033), Federal Pell Grant Program (Assistance Listing #84.063), Federal Direct Loan Program (Assistance Listing #84.268)
Criteria or Specific Requirement: N. Special Tests and Provisions – Disbursement to or on Behalf of Students: Federal regulation 88 FR 41092 states an institution must submit Pell Grant, Iraq and Afghanistan Service Grant, Direct Loan, and TEACH Grant disbursement records to COD, no later than 15 days after making the disbursement or becoming aware of the need to adjust a previously reported disbursement.
Condition: The University did not report student’s direct loan disbursement to the COD within the required timeframe.
Cause: Administrative oversight.
Effect or Possible Effect: The University was not in compliance with required federal guidelines.
Questioned Costs: None.
Context: Direct Loan COD disbursement: Based on a sample of 25 Direct loan disbursements tested, 1 instance of a student’s Direct Loan disbursement was not reported to COD within 15 days as required.
Identification of Repeat Finding: This is a new finding for FY2024.
Recommendation: The University should implement procedures to ensure that student status changes are reported in a timely manner.
Views of Responsible Officials: After speaking with a Common Origination and Disbursement (COD) system representative, she stated that schools will receive a Warning Edit 055 when record of disbursement has not been received after 30 days. She verified that we did not receive this Warning Edit 055 from COD because we had not exceeded 30 days. The COD rep went on to share that this 15-day regulation used to be a 30-day regulation, but COD has not updated their Warning Edit 055 process to notify schools. It’s only done after 30 days. COD rep did identify a report Michelle will run to identify anyone who is not showing up with a disbursement record prior
to the 15 days. The COD report is called the Anticipated Disbursement Queue and will be ran every 14 days to identify any potential issues.