Finding Text
Criteria: Per 34 CFR 690.63, Pell must be disbursed in the exact amount per Pell payment schedules based on their enrollment status, cost of attendance, and expected family contribution.
Per 34 CFR 673.5, loans can only be disbursed if, combined with the other estimated financial assistance the student receives, it does not exceed the student’s financial need. It is noted that improperly calculating the cost of attendance can result in an incorrect amount of Pell being disbursed, as well as possible over- or under-awarding of overall aid.
Condition/context: Of the 40 students selected for general eligibility testing within the Student Financial Aid Cluster, three students were determined to have received an over-award of Pell and/or loans.
Cause: Western Wyoming Community College (the College) utilized the incorrect cost of attendance, which was based on full-time attendance for two semesters for all students, even if those students were only planning to attend a single semester, and the review processes in place failed to identify errors.
Effect: If the Student Financial Aid Office does not properly calculate and disburse Federal aid to students, the College could possibly lose the right to Federal funding.
Questioned costs: $9,218
Identification as a repeat finding: No.
Recommendation: The College should develop, implement, and maintain a more thorough system of review of the cost of attendance and Federal aid calculations in order to ensure that the proper factors for each student are utilized.
Views of responsible officials: Management concurs with the finding. See Exhibit I for the corrective action plan.