Finding Text
Finding 2025-003 Program Affected Assistance Listing - 84.063 U.S. Department of Education - Direct Award Student Financial Aid Cluster Award Year July 1, 2024 through June 30, 2025 Criteria Per Volume 7, Chapter 2 of the Federal Student Aid Handbook, Pell Grant scheduled awards are based on information provided on the Free Application for Federal Student Aid (FAFSA) form, the presence of a valid Student Aid Index (SAI) on the student's FAFSA Submission Summary or Institutional Student Information Record (ISIR), the academic year structure, and the Pell Grant cost of attendance for a full-time student for a full academic year. Condition and Context During testing of Pell Grant disbursements, we noted the following: At CMCC, we noted the recalculation of one 2025 spring semester Pell Grant disbursement differed from the actual Pell Grant disbursment made resulting in an increase of $295 to the student account. After discovering the error and discussing with CMCC, the Pell Grant disbursement was adjusted for the additional $295 and reported to the COD system. Our testing included a total of 11 CMCC students with Pell Grant disbursements totalling $64,197. The one recalculation exception discovered resulted in a deviation rate of 0.46%. At York County Community College (YCCC), we noted the recalculation of one 2025 spring semester Pell Grant disbursement differed from the actual Pell Grant disbursement made resulting in a reduction of $628 to the student account. After discovering the error and discussing with YCCC, the Pell Grant disbursement was adjusted for the reduction of $628 and reported to the COD system. Our testing included a total of four YCCC students with Pell Grant disbursements totalling $13,358. The one recalculation exception discovered resulted in a deviation rate of 4.70%. Cause and Effect The conditions identified were caused by the transition to a new SIS that occurred during the year resulting in improper Pell Grant disbursements. Questioned Costs Based on the deviation rates previously identified, likely questioned costs at CMCC and YCCC would be $41,472 and $123,051, respectively, of the total Pell Grant Program funds disbursed at the respective campuses. Recommendation We recommend the System implement a process in which all disbursement calculations are checked for accuracy in the SIS. Identification as a Repeat Finding, if Applicable Not applicable. Views of Responsible Officials and Planned Corrective Action Management agrees with the finding. See attached Corrective Action Plan.