Finding Text
2024-005
8540.10
Department Of Education
Student Financial Aid
84.063, 84.268
"P063P218567-2024
P268K228567-2024"
N/A
N/A
7/1/23 - 6/30/24
Material Weakness
Material
Appears to be systemic.
"34 CFR 668.21(a) states that the institution must return all title IV, HEA program funds that were credited to the student's account at the instituion or disbursed directly to the student for th payment period. The instituion must return those funds no later than 30 days after the date that the instituion becomes aware that the student will not or has not begun attendance.
Per 2 CFR 200.303, nonfederal entities receiving federal awards are required to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements."
The University did not properly evaluate students in need of Return of Title IV (R2T4) calculations.
283.39
"During our testing of 6 R2T4 calculations, we noted that 4 students were incorrectly evaluated as a withdrawal exemption and no R2T4 calculation was performed. For these 4 students, all 4 should have had an R2T4 calculation, and 2 should have had returned funds. In addition, we observed 1 student for whom 100% of funds were returned despite the student completing a portion of the term. We also noted 1 student who completed the term with passing grades for whom an R2T4 calculation was completed, and funds were returned in error.
Additionally, R2T4 calculations did not have documentation of review."
The college did not have the appropriate resources and staffing in place to verify they were in compliance with all requirements.
The University could return incorrect amounts based off of their calculations and incorrect calculations could effect student repayment amounts based off of amount earned.
No
We recommend that the University review policies and procedures related to R2T4 calculations to ensure calculations are performed accurately.
Management agrees with this finding.
See 0100.25