FAC Explorer

Finding 525539 (2024-001)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2024
Accepted
2025-03-04
Audit: 344611
Organization: Benedict College (SC)
Auditor: Capincrouse LLC

AI Summary

  • Core Issue: The College failed to return unearned Title IV aid on time and miscalculated R2T4 for a student who withdrew.
  • Impacted Requirements: This violates 34 CFR 668.22, leading to noncompliance and a questioned cost of $441.
  • Recommended Follow-Up: Assign a qualified financial aid staff member to regularly review R2T4 calculations and returns to ensure compliance.

Finding Text

Return of Title IV (R2T4) Significant Deficiency DEPARTMENT OF EDUCATION ALN #: 84.063 Federal Pell Grants and 84.268 Federal Direct Student Loans Federal Award Identification #: 2023-2024 Award Year Condition: When students withdrew either officially or unofficially, the College did not always return unearned Title IV aid timely. Additionally, the College did not always calculate the R2T4 correctly. Criteria: 34 CFR 668.22 Questioned Costs: $441 Context: Out of 25 students, 1 student who withdrew during the audit period tested had funds returned 6 days late. Additionally, this student’s R2T4 was not properly calculated. The College did not adjust the student’s Pell grant based on courses the student began attendance in before completing the R2T4. This error resulted in $441 in Pell grant funds that need to be returned to the Department of Education. Cause: The R2T4 calculation error was due to oversight by management when processing the R2T4 because the student changed enrollment level several times before the R2T4 was processed. This also caused the return to be processed late. Effect: Noncompliance with R2T4 regulations. Identification as repeat finding, if applicable: Not applicable. Recommendation: We recommend an individual in financial aid with the appropriate level of experience periodically review R2T4 calculations and returns to help ensure that internal controls over such process can operate effectively and achieve compliance. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Categories

Student Financial Aid Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking Significant Deficiency

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $12.04M
84.063 Federal Pell Grant Program $6.83M
84.425 Covid-19 Education Stabilization Fund Heerf Historically Black Colleges and Universities (hbcus) $1.56M
84.031 Higher Education Institutional Aid $1.12M
11.028 Connecting Minority Communities Pilot Program $885,577
84.425 Covid-19 Education Stabilization Fund Governor's Emergency Education Relief Fund $650,188
84.425 Covid-19 Education Stabilization Fund Heerf Student Aid Portion $563,536
81.137 Minority Economic Impact $520,539
15.904 Historic Preservation Fund Grants-in-Aid $500,000
84.007 Federal Supplemental Educational Opportunity Grants $477,744
84.033 Federal Work-Study Program $443,408
15.932 Preservation of Historic Structures on the Campuses of Historically Black Colleges and Universities (hbcus). $442,806
17.289 Community Project Funding/congressionally Directed Spending $338,666
11.024 Build to Scale $335,735
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $332,556
84.047 Trio Upward Bound $326,654
81.104 Environmental Remediation and Waste Processing and Disposal $212,601
20.701 University Transportation Centers Program $202,416
84.120 Minority Science and Engineering Improvement $181,779
47.049 Mathematical and Physical Sciences $178,185
59.077 Community Navigator Pilot Program $92,274
12.330 Science, Technology, Engineering & Mathematics (stem) Education, Outreach and Workforce Program $90,393
59.043 Women's Business Ownership Assistance $83,610
81.123 National Nuclear Security Administration (nnsa) Minority Serving Institutions (msi) Program $70,540
84.425 Covid-19 Education Stabilization Fund American Rescue Plan--Elementary and Secondary School Emergency Relief (arp Esser) $58,069
20.237 Motor Carrier Safety Assistance High Priority Activities Grants and Cooperative Agreements $54,911
43.002 Aeronautics $42,419
11.034 Mbda Capital Readiness Program $41,947
93.959 Block Grants for Prevention and Treatment of Substance Abuse $31,566
20.215 Highway Training and Education $25,397
93.297 Teenage Pregnancy Prevention Program $23,230
47.070 Computer and Information Science and Engineering $16,561
47.084 Nsf Technology, Innovation, and Partnerships $13,881
11.620 Science, Technology, Business And/or Education Outreach $8,454
93.859 Biomedical Research and Research Training $8,315
43.008 Office of Stem Engagement (ostem) $7,928
47.083 Integrative Activities $4,659
47.076 Stem Education (formerly Education and Human Resources) $4,502