Audit 383685

FINDING #2025-01 – STUDENT FINANCIAL AID ELIGIBILITY (8000) Criteria According to the Office of the U.S. Department of Education, The Pell Grant is the largest federal grant program offered to undergraduates and is designed to assist students from low-income households. A Federal Pell Grant, unlike a loan, does not have to be repaid, except under certain circumstances. Condition During our federal testing, we identified one selection as having the incorrect disbursed amount. This student (selection #5) was identified as having a Pell calculation error. This student should have received $925 in Pell for term 202570. Effect Due to the miscalculation, the student was misawarded by $373 in Pell Grant funds for the 202570 term. Cause The error occurred due to a miscalculation during the review of the students’ Pell eligibility. This error was identified after the 180-day mark. Per the 24/25 FSA Handbook, 34 CFR 668.164(j)(4), the district cannot make a disbursement more than 180 days after the student became ineligible. Questioned Cost None noted Repeat Finding This is not a repeat finding. Recommendation We recommend the district implement enhanced internal control, such as secondary reviews or automated recalculation checks to ensure that changes in enrollment status are accurately reflected in Pell award calculations. Additionally, for the district to provide staff training on Pell Grant eligibility and recalculation requirements to reduce any future errors. Corrective Action Plan/District Response.