Finding Text
Finding 2024-001 - Return of Title IV
Federal Program - Federal Direct Student Loan Program, Federal Pell Grant Program, Federal
Supplemental Education Opportunity Grant Program
Federal Agency - U.S. Department of Education
Pass-Through Entity - Not Applicable
Assistance Listing Number - 84,268, 84.063, 84.007
Award Number - P268K230367, P063P220367, P007A243598
Federal Award Year - June 30, 2024
Criteria: When a recipient of Title IV grant or loan assistance withdraws from an institution during a
payment period, Title IV regulations (34 CFR 668.22) require the College to determine, through a
Return of Title IV Funds (R2T4) calculation, the amount of Title IV grant or loan assistance that the
student earned as of the withdrawal date and return the unearned portion of the grant or loan to the
Title IV programs as soon as possible but no later than 45 days after the withdrawal date.
Condition/Context: For four of the four students with R2T4 calculations tested, the College did not
return the unearned portion of Title IV aid within 45 days of the date they determined the student
withdrew. The funds were ultimately returned upon completion of the R2T4 calculations. There were
13 students who withdrew that an R2T4 calculation was performed for the 2023-2024 year, of which
four were selected for testing. The sample was not a statistically valid sample.
Cause: The College was delayed in completing the R2T4 calculations timely after the date of
determination.
Effect: The College did not refund the students' aid within the 45 day time frame and was in
possession of funds belonging to the Department of Education longer than allowed based on federal
regulations.
Questioned Costs: None noted.
Recommendation: The College should reevaluate their internal timeline for completion of the R2T4
calculations based on the students date of determination to ensure timely return of funds. The
process of refund transactions should be tracked and monitored to ensure timely return of funds.
View of Responsible Officials and Planned Corrective Action: The Financial Aid Office will employ a
two person process for reviewing R2T4s. The Assistance Vice President of Financial Aid will perform
the R2T4 and the Associate Director of Financial Aid will double check the results once per week.
Any funds needing to be returned will be done within five business days of completion of the R2T4
calculation.