Finding Text
Finding 2024-001 – Special Tests and Provisions, Return of Title IV Calculations
Federal Program – Federal Direct Student Loans, Federal Pell Grant Program
Federal Agency - U.S. Department of Education
Pass-Through Entity - Not Applicable
Assistance Listing Number - 84.063, 84.268
Federal Award Year - May 31, 2024
Criteria: 34 CFR 668.22 requires that when a recipient of Title IV grant or loan assistance withdraws
from an institution during a payment period or period of enrollment in which the recipient began
attendance, the institution must determine the amount of Title IV grant or loan assistance that the
student earned as of the student's withdrawal date in accordance with Federal regulations and return
the unearned portion of the grant or loan funds to the Title IV programs as soon as possible but no
later than 45 days after the withdrawal date.
Condition/Context: In a sample of 18 students that withdrew during the fiscal year testing, a return of Title IV (R2T4) calculation was not performed for one student.
The sample was not a statistically valid sample.
Cause: The University’s Registrar did not have a procedure to inform Student Financial Aid when a graduate student withdrawals.
Effect: The R2T4 calculation was not performed for a student who withdrew resulting in noncompliance with Title IV requirements.
Questioned Costs: $2,402 in unreturned Title IV funds.
Recommendation: It is recommended that the University implement policies and procedures for withdrawals of graduate students and R2T4 calculations and implement enhanced tracking procedures to ensure timely R2T4 calculations and returns.
View of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and recommendation. The University will implement a process that ensures notification from the Registrar when a student drops from any course or from the University. A review of R2T4 will be completed at that time if deemed necessary. The process will be reviewed annually by the University to ensure compliance.