Finding Text
Federal Program:
U.S. Department of Education - Student Financial Assistance Cluster
Federal Supplemental Educational Opportunity Grants, 84.007
Criteria: The College is required to comply with 34 CFR Section 676.10(a).
Condition: During our testing of eligibility, we selected 40 samples and noted one instance where a student was disbursed a Federal Supplemental Education Opportunity Grant (FSEOG), but was not eligible due to not having the lowest expected family contribution (EFC).
Cause: The College did not have controls in place to ensure FSEOG was only disbursed to the students with the lowest EFC.
Effect: The College did not follow federal regulations regarding FSEOG eligibility. The provisions of 34 CFR Section 676.10(a) were not followed and thus a student was improperly disbursed FSEOG.
Questioned Costs: There are a total of $800 of questioned costs associated with this finding.
Recommendation: We recommend that the College implement a control and policy to ensure FSEOG is only disbursed to the students with the lowest EFC.
View of Responsible Officials: The College agrees with the finding. Controls have already been implemented to ensure that compliance with all federal and state requirements are met before aid is disbursed.