Finding 1115286 (2024-002)

Criteria – According to federal regulations, institutions are required to calculate and disburse Pell and Teacher Education Assistance for College and Higher Education (TEACH) Grants to eligible students based on specific eligibility criteria. Condition – The University awarded more than the maximum allowed Pell Grant to one student, and more than the maximum allowed TEACH Grant to two students, from the sample of 40 students that were selected for testing. Cause – Human error resulted in the University over-awarding Pell and TEACH grants. Effect – The University did not properly disburse Pell or TEACH Grants, resulting in over awarding the affected students. Recommendation – We recommend that the University provide training to staff on identifying and resolving registration changes and exceeded annual grant limits impacting Pell and TEACH disbursements. We also recommend that the University enhance and monitor the effectiveness of controls to ensure timely and accurate adjustments to students’ disbursements in compliance with federal requirements. View of Responsible Officials – We agree with the auditor’s finding as set forth above. Due to turnover in the financial aid department, there was an incorrect understanding of the maximum award process. We have updated the University’s policies and procedures to ensure they are compliant with Title IV requirements and will be assigning this responsibility to a new employee. The University has refunded, through Common Origination and Disbursement, any federal funding associated with the over-awards as noted in this finding.