Finding Text
Return of Title IV (R2T4) Order of Funds Returned Federal Agency: U.S. Department of Education Federal Program Name: Federal Pell Grant Program, Federal Direct Student Loans, Federal Work-Study Program, Federal Supplemental Educational Opportunity Grants Assistance Listing Number: 84.063, 84.268, 84.033, 84.007 Award Period: 7/1/2021 ? 6/30/2022 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: R2T4 funds must be distributed in the order prescribed below. The prescribed order must be followed regardless of the institution?s agreements with other state agencies or private agencies (34 CFR 668.22(i)). a. Unsubsidized Federal Direct Stafford Loans b. Subsidized Federal Direct Stafford Loans c. Federal Direct PLUS d. Federal Pell Grant e. Iraq and Afghanistan Service Grant f. Federal Supplemental Educational Opportunity Grants g. Teacher Education Assistance for College and Higher Education Grants Condition: During our testing, it was noted that the University's process did not ensure that funds that were calculated to return were returned to the Department of Education in the correct order. Questioned costs: None. Context: During our testing of 27 students, 1 student's calculated returned funds were not returned to the Department of Education in the proper order. Cause: The University does not have a review process in place to ensure that the calculated funds to return were returned to the Department of Education in the proper order. Effect: The University did not complete an accurate calculation as defined by Federal regulations. Repeat finding: No. Recommendation: We recommend the University implements procedures to ensure that Title IV funds that are to be returned are returned in the proper order. Views of responsible officials: Management agrees with the finding and has developed a plan to correct the finding.