Finding 58470 (2022-001)

-
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-30
Audit: 55292
Organization: Trustees of Amherst College (MA)

AI Summary

  • Core Issue: The College accurately calculated Return of Title IV aid but lacked documentation of the required review by senior management.
  • Impacted Requirements: Compliance with 34 CFR section 668.22, which mandates proper review and approval processes for Title IV aid calculations.
  • Recommended Follow-up: Implement a system to retain evidence of management reviews to ensure accurate and timely Return of Title IV aid calculations.

Finding Text

2022-001 Review of Return of Title IV Funds calculation Cluster: Student Financial Assistance Cluster Grantor: Department of Education Award Names: Federal Pell Grant Program, Federal Supplemental Educational Opportunity Grants, Federal Direct Student Loans Award Year: July 1, 2021 ? June 30, 2022 Award Number: Not applicable Assistance Listing Numbers: 84.063, 84.007, 84.268 Criteria a) In accordance with 34 CFR section 668.22 (a) (1), when a recipient of the 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 the Title IV grant or loan assistance that the student earned as of the student?s withdrawal date. b) Management has a process in place whereby the Return of Title IV aid calculations are prepared by Assistant Dean of Financial Aid and reviewed by Senior Associate Dean or Dean of Financial Aid. Condition We tested a sample of 5 students who were awarded Title IV aid and withdrew from the College during the fiscal year that required a Return of Title IV aid calculation. For each of the 5 calculations, management performed the calculation accurately, however, there was no evidence noting review and approval by the Senior Associate Dean or Dean of Financial Aid based on management?s process. Cause The College did not retain sufficient evidence of the review performed by management over the Return of Title IV aid calculations. Effect An inaccurate Return of Title IV aid calculation could result in the College returning excess Title IV aid to the Department of Education or disbursing excess Title IV aid to the student in excess of allowable amounts in an untimely manner. Questioned Costs None identified. Recommendation We recommend that the College retain sufficient evidence of the review performed by management over the Return of Title IV funds calculations to ensure that the refunds are accurate. Management?s Views and Corrective Action Plan Management?s Views and Corrective Action Plan are included at the end of this report after the summary schedule of prior audit findings and status.

Categories

Student Financial Aid Matching / Level of Effort / Earmarking Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $3.67M
84.063 Federal Pell Grant Program $2.53M
84.425 Education Stabilization Fund $1.95M
47.049 Mathematical and Physical Sciences $900,395
47.074 Biological Sciences $799,256
93.859 Biomedical Research and Research Training $504,290
84.038 Federal Perkins Loan Program $436,512
45.130 Promotion of the Humanities_challenge Grants $320,946
84.007 Federal Supplemental Educational Opportunity Grants $301,920
84.033 Federal Work-Study Program $254,046
99.U00 Capital Arts Fund $244,097
45.163 Promotion of the Humanities_professional Development $167,248
47.075 Social, Behavioral, and Economic Sciences $162,800
43.001 Science $130,647
45.301 Museums for America $82,682
93.865 Child Health and Human Development Extramural Research $61,293
47.076 Education and Human Resources $45,443
93.847 Diabetes, Digestive, and Kidney Diseases Extramural Research $22,827
47.078 Polar Programs $16,891
47.050 Geosciences $15,996
10.310 Agriculture and Food Research Initiative (afri) $15,985
93.173 Research Related to Deafness and Communication Disorders $14,478
45.164 Promotion of the Humanities_public Programs $11,858
45.149 Promotion of the Humanities_division of Preservation and Access $10,090
45.024 Promotion of the Arts_grants to Organizations and Individuals $8,019
47.070 Computer and Information Science and Engineering $582