Finding Text
U.S. Department of Education
Student Financial Aid Cluster (FAL # 84.268, 84.063)
Eligibility
Significant Deficiency in Internal Control over Compliance
Criteria: The Federal Pell Grant program provides grants to students enrolled in eligible undergraduate
programs and certain eligible post-baccalaureate teacher certificate programs and is intended to
provide a foundation of financial aid. The program is administered by the Department of
Education and postsecondary educational institutions.
Maximum and minimum Pell grant awards are established by statute.
Condition: In our student testing, we detected one instance where the student was not awarded the full
amount that they were eligible for during the fiscal year.
Questioned
Costs: None reported
Effect: Inadequate controls over calculating and disbursing Pell Grant awards will likely result in
inaccurate Pell Grant disbursements.
Cause: This appears to be a manual process. As a result, this miscalculation is due to a matter of human
error.
Repeat finding
From Prior Year:
No
Context: Out of the 55 sample of students tested, one student had an inaccurate Pell Grant
Disbursement. Non-statistical sampling was used. Recommendation:
We recommend that management update their control processes to ensure that the proper Pell
Grant disbursements are made by the District.
Views of Responsible Officials:
We agree with the finding.