Finding 523565 (2024-006)

Significant Deficiency
Requirement
N
Questioned Costs
$1
Year
2024
Accepted
2025-02-18
Audit: 342864
Organization: Kentucky Wesleyan College (KY)

AI Summary

  • Core Issue: The College incorrectly used withdrawal dates in return of funds calculations for federal financial aid.
  • Impacted Requirements: Compliance with 34 CFR Section 668.22 was not met, affecting two students' financial aid returns.
  • Recommended Follow-up: Revise policies for return of funds calculations and provide staff training to ensure accurate withdrawal date usage.

Finding Text

Federal Program: U.S. Department of Education: Student Financial Aid Cluster: Federal Pell Grant, Assistance Listing 84.063 Federal Supplemental Education Opportunity Grant, Assistance Listing 84.007 Direct Loan Program, Assistance Listing 84.268 Criteria: The College must comply with 34 Section 668.22. Condition: During our testing of official withdrawals, we reviewed the calculation used by the College for the return of funds and noted 2 instances of the wrong withdrawal date being used in the return of funds calculation. Cause: The College does not have a procedure in place to properly review the withdrawal date used in the return of funds calculations. Effect: The provisions of 34 CFR Section 668.22 were not followed and thus 2 students had incorrect return of funds calculations. Questioned Costs: Known questioned costs total $16 that should have been returned and $219 that should not have been returned as a result of our testing. Recommendation: We recommend that the College review and revise their policies and procedures related to the return of funds calculation. The College should ensure the correct withdrawal date is used the return of funds calculation. Additional training should be provided to relevant staff on the proper calculation methods to enhance compliance and accuracy. View of responsible officials and planned corrective actions: The College has reviewed its policies and procedures related to return of funds calculations. When a student wants to withdraw from the College, the student will complete an online withdrawal form. Once the form is completed, an electronic copy of the form is sent to several offices, Financial Aid being included. The Financial Aid Office will use the date on the electronic withdraw form in the Return of Title IV calculation.

Categories

Questioned Costs Student Financial Aid Matching / Level of Effort / Earmarking Special Tests & Provisions

Other Findings in this Audit

  • 523552 2024-001
    Significant Deficiency
  • 523553 2024-001
    Significant Deficiency
  • 523554 2024-002
    Significant Deficiency
  • 523555 2024-002
    Significant Deficiency
  • 523556 2024-002
    Significant Deficiency
  • 523557 2024-003
    Significant Deficiency
  • 523558 2024-004
    -
  • 523559 2024-005
    Significant Deficiency
  • 523560 2024-005
    Significant Deficiency
  • 523561 2024-005
    Significant Deficiency
  • 523562 2024-005
    Significant Deficiency
  • 523563 2024-005
    Significant Deficiency
  • 523564 2024-006
    Significant Deficiency
  • 523566 2024-006
    Significant Deficiency
  • 523567 2024-007
    -
  • 523568 2024-007
    -
  • 1099994 2024-001
    Significant Deficiency
  • 1099995 2024-001
    Significant Deficiency
  • 1099996 2024-002
    Significant Deficiency
  • 1099997 2024-002
    Significant Deficiency
  • 1099998 2024-002
    Significant Deficiency
  • 1099999 2024-003
    Significant Deficiency
  • 1100000 2024-004
    -
  • 1100001 2024-005
    Significant Deficiency
  • 1100002 2024-005
    Significant Deficiency
  • 1100003 2024-005
    Significant Deficiency
  • 1100004 2024-005
    Significant Deficiency
  • 1100005 2024-005
    Significant Deficiency
  • 1100006 2024-006
    Significant Deficiency
  • 1100007 2024-006
    Significant Deficiency
  • 1100008 2024-006
    Significant Deficiency
  • 1100009 2024-007
    -
  • 1100010 2024-007
    -

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $3.94M
84.063 Federal Pell Grant Program $2.21M
84.033 Federal Work-Study Program $137,370
84.007 Federal Supplemental Educational Opportunity Grants $96,329
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $7,544