Finding Text
Finding number: 2024-002
Federal agency: U.S. Department of Education
Programs: Federal Pell Grants
ALN #: 84.063
Award year: 2024
Criteria
According to 34 CFR 690.83(b)
(1) An institution shall report to the Secretary any change for which a student qualifies
including any related Payment Data changes by submitting to the Secretary the student’s
Payment Data that discloses the basis and result of the change in award for each student.
The institution shall submit the student’s Payment Data reporting any to the Secretary by
the reporting deadlines published by the Secretary in the Federal Register.
(2) An institution shall submit, in accordance with the deadline dates established by the
Secretary, through publication in the Federal Register, other reports and information the
Secretary requires and shall comply with the procedures the Secretary finds necessary to
ensure that the reports are correct.
According to the Federal Register (Volume 83, Number 233):
An institution must submit Pell Grant, Iraq and Afghanistan Service Grant, Direct Loan,
and TEACH Grant disbursement records to COD, no later than 15 days after making the
disbursement or becoming aware of the need to adjust a previously reported
disbursement. In accordance with 34 CFR 668.164(a), title IV, Higher Education Act
(“HEA”) program funds are disbursed on the date that the institution:
(a) Credits those funds to a student’s account in the institution’s general ledger or
any subledger of the general ledger; or students within 15 days of the funds being disbursed to the student. During our testing, we noted
2 students, out of a sample of 40, that was not reported within the required timeframe by 12-13
days.
Cause
The College has policies and procedures in place to report the disbursement records to the
Department of Education through the COD system within the required fifteen calendar days,
however, in this case the procedures were not completed properly.
Effect
The College did not report Pell Grant disbursements to COD within the required time frame.
Questioned Costs
Not applicable
Perspective
Our sample was not, and was not intended to be, statistically valid. Of the 40 students selected
for testing, 2 students, or 5% of our sample, was determined to be reported late to the COD by
12-13 days.
Identification as a Repeat Finding, if applicable
Yes, see finding 2023-002
Recommendation
We recommend that management of the College review, and if necessary, update the policies and
procedures to ensure all Pell Grant funds are reported within the required timeframe.
View of Responsible Officials
The College agrees with the finding.
(b) pays those funds to a student directly.
Title IV, HEA program funds are disbursed even if an institution uses its own funds in
advance of receiving program funds from the Department.
Condition
Federal regulations require the College to report to the Federal Government’s Common
Origination and Disbursement System (“COD”) Federal Pell Grant disbursements made to