Finding Text
Untimely and Inaccurate Returns of Title IV Funds (R2T4) Material Weakness DEPARTMENT OF EDUCATION ALN #: 84.268, 84.063 Federal Award Identification #: 2021-22 Financial Aid Year Condition: When students withdrew either officially or unofficially, the College did not always return unearned Title IV aid timely due to late dates of determination. There were two incorrect calculations of returned funds for students that withdrew during the term. There was one inaccurate return of funds even though the calculation on the R2T4 was correct. Criteria: 34 CFR 668.22 Questioned Costs: $344 Context: Out of 16 students tested, 3 students who unofficially withdrew during the fall 2021 term had a total of $775 in Pell funds and $3,987 in FDL funds returned late, ranging from 18 to 39 days. Two students had an R2T4 calculation error and 1 student had an incorrect amount of funds returned, netting to $344 total funds incorrectly not returned. Cause: Due to turn over in staffing and lack of communication between the registrar and financial aid office, the College did not maintain compliance for R2T4s. Effect: Return of Title IV funds were not performed timely and incorrect amount of unearned Title IV funds returned. Identification as repeat finding, if applicable: N/A Recommendation: We recommend that the financial aid office work closely with the registrar office to ensure that R2T4s are completed timely when students cease attendance during the term and that an individual knowledgeable in R2T4 review calculations before returns are made. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.