Core Issue: The University lacks documentation for its Direct Loan quality assurance system, violating federal requirements.
Impacted Requirements: Noncompliance with the quality assurance criteria outlined in 34 CFR 685.300(b)(9).
Recommended Follow-up: The University should enhance its understanding of special tests and provisions for federal programs under the SFA cluster.
Finding Text
Federal Agency: U.S. Department of Education ALN and Title: Student Financial Aid (SFA) Cluster ? 84.268 Federal Direct Student Loans Award Number: Various Area: Special Tests and Provisions ? Disbursements to or on Behalf of Students Questioned Cost: $0 Criteria: An additional requirement of the Direct Loan program is that institutions must implement a quality assurance system (34 CFR 685.300(b)(9)). Conditions No documentation was provided of the University?s Direct Loan quality assurance system. Cause: The University is not familiar with the requirements of special tests and provisions. Effect: The University is noncompliant with the requirements of the special test and provisions on disbursements to or on behalf of students. Recommendation: The University must implement procedures to improve its knowledge of special tests and provisions required for the federal programs under the SFA cluster. Views of responsible officials: Management agrees. Refer to Corrective Action Plan.
Categories
Special Tests & ProvisionsStudent Financial AidMatching / Level of Effort / Earmarking