Finding 1173275 (2025-003)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-02-11

AI Summary

  • Core Issue: A student was over-awarded $3,698 in PELL funds due to incorrect enrollment status being applied.
  • Impacted Requirements: Compliance with the FAFSA Simplification Act, which mandates adjustments for part-time enrollment.
  • Recommended Follow-Up: Return the over-awarded funds and provide training for financial aid staff on eligibility verification and software use.

Finding Text

Information on the Federal Program: PELL (ALN 84.063); United States Department of Education; Award Year 2024-25; Compliance requirement – Eligibility; Type of Finding: Questioned Costs. Criteria: The FAFSA Simplification Act requires that PELL awards be reduced in direct proportion to the degree to which the student is not enrolled full-time. Condition: For one student record tested, the student was over-awarded $3,698 in PELL grant funds, due to not applying the correct enrollment intensity of 50%. Student was awarded based on Maximum PELL award with no adjustment for less than full-time enrollment. Context: Total federal student aid awards tested: 49, totaling $795,831. Projected out to total aid population of $6,207,420, the likely questioned costs would be $28,844. Cause: Inadequate training in the Ellucian software system to verify the accuracy of student awards and identify over-awards. Effect or Possible Effect: Student was awarded more in aid than allowed. Questioned costs: Known questioned costs totaled $3,698. Recommendation: Return the over-awarded amount to U.S.Department of Education if required. Provide training to financial aid personnel on the federal return requirements and on the software system capabilities that identify student eligibility amounts. Responsible Official’s Response and Corrective Action Planned: See corrective action plan.

Corrective Action Plan

Corrective Action: See above corrective action plan for 2025-002. Contact Persons: Duane Valencia, Assistant Financial Vice President – Student Finance; Jason Kowarsch, Registrar

Categories

Student Financial Aid Eligibility

Other Findings in this Audit

  • 1173271 2025-001
    Material Weakness Repeat
  • 1173272 2025-001
    Material Weakness Repeat
  • 1173273 2025-002
    Material Weakness Repeat
  • 1173274 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 FEDERAL DIRECT STUDENT LOANS $3.76M
84.063 FEDERAL PELL GRANT PROGRAM $2.22M
84.031 HIGHER EDUCATION INSTITUTIONAL AID $1.23M
84.428 AUGUSTUS F. HAWKINS CENTERS OF EXCELLENCE—TEACHER PREPARATION AND DEVELOPMENT $282,591
84.033 FEDERAL WORK-STUDY PROGRAM $138,096
84.007 FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS $79,779
84.379 TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION GRANTS (TEACH GRANTS) $3,772