Finding 9474 (2023-002)

Significant Deficiency Repeat Finding
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-01-23
Audit: 12991
Organization: Bevill State Community College (AL)

AI Summary

  • Core Issue: The College miscalculated the amount of financial aid earned for students who withdrew, leading to noncompliance with federal regulations.
  • Impacted Requirements: Compliance with 34 CFR Part 668.22, which mandates accurate calculations of Title IV aid within 45 days.
  • Recommended Follow-up: Strengthen policies and procedures for the withdrawal process, including implementing checks to ensure accurate calculations and compliance.

Finding Text

Finding 2023-002 – Special Tests and Provisions: Withdrawal Testing (Significant Deficiency and Noncompliance) Information on the Federal Program: U.S. Department of Education, Student Financial Aid Cluster Criteria: 34 CFR Part 668.22 establishes rules governing the student withdrawal process including the determination of the amount of Title IV assistance the student earned and return the unearned Title IV aid within 45 days. Condition: We selected a sample of 21 students who withdrew and were receiving financial aid. Of the students tested, there were two instances in which the College incorrectly calculated the percentage of aid earned. Cause: The College performed return of Title IV calculations in the system, however, a system glitch was discovered six months after the initial calculations and the College determined the system did not properly calculate the amount of aid earned. The calculations were later updated but not within the required time frame. Effect: The College returned the incorrect amount of financial aid. Questioned Costs: None reported Recommendation: We recommend the College strengthen its policies and procedures surrounding the withdrawal process to accurately document each requirement and implement checks and balances to ensure compliance with all withdrawal requirements. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.

Corrective Action Plan

Corrective Action Plan: Management is in the process of updating Policies and Procedures to help ensure that calculations are run correctly and timely. The Financial Aid office and the Finance Office will work together each semester to ensure Banner setup is correct, updated, and working properly prior to any calculations being performed. Anticipated Completion Date: January 31, 2024

Categories

Special Tests & Provisions Student Financial Aid Significant Deficiency

Other Findings in this Audit

  • 9475 2023-002
    Significant Deficiency Repeat
  • 9476 2023-002
    Significant Deficiency Repeat
  • 585916 2023-002
    Significant Deficiency Repeat
  • 585917 2023-002
    Significant Deficiency Repeat
  • 585918 2023-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.063 Federal Pell Grant Program $6.67M
84.425 Education Stabilization Fund $3.19M
84.047 Trio_upward Bound $1.50M
84.042 Trio_student Support Services $1.17M
84.044 Trio_talent Search $737,465
84.002 Adult Education - Basic Grants to States $323,940
84.066 Trio_educational Opportunity Centers $266,779
84.048 Career and Technical Education -- Basic Grants to States $223,474
84.007 Federal Supplemental Educational Opportunity Grants $188,683
17.259 Wia Youth Activities $123,868
17.600 Mine Health and Safety Grants $94,083
23.002 Appalachian Area Development $85,272
17.268 H-1b Job Training Grants $65,324
84.033 Federal Work-Study Program $22,788
47.076 Education and Human Resources $7,114