Finding Text
Incorrect Calculation of Title IV Funds Refunds (Significant Deficiency) Department of Education Criteria: The total number of calendar days in a payment period or period of enrollment includes all days within the period that a student was scheduled to complete, except that scheduled breaks of at least five consecutive days are excluded from the total number of calendar days in a payment period or period of enrollment and the number of calendar days completed in that period (34 CFR Section 668.22(f)(2)(i)). Condition: During our testing of students that withdrew, we found that the calculation of total days for spring semester was incorrect. Due to this, refunds for the four students that withdrew during the spring semester we calculated incorrectly. Cause: The first day of classes for spring semester was January 10, 2023, however, January 4, 2023 was used as the start date for refund calculations. As a result, the total days used in the calculations was 114 instead of 104. Effect: Students received a smaller refund than they were entitled to. Repeat Finding from a Prior Year: No Recommendation: We recommend a review and approval process be implemented for the dates used in refund calculations of Title IV funds. Management Response: Management Response: Due to the addition of a potential mini-term that was to start in January 2023 the start date for the 2023 spring semester was mistaken with the potential mini-term start date. Moving forward the Financial Aid office will verify the academic calendar with the Registrar’s office prior to the beginning of each semester, and before financial aid calculations are completed.