Finding Text
Eligibility Federal Agency: U.S. Department of Education (ED) Pass-Through Entity: Direct Funded by the U.S. Department of Education (ED) Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007, 84.033, 84.063, and 84.268 Award Identification Number: P007A240575, P033A240575, P063P241174, P268K251174 Award Year: 2024-2025 Criteria OMB Compliance Supplement, 34 CFR section 690.62 and 690.63: Upon determining a student’s eligibility for a Federal Pell Grant award, an institution must calculate and disburse aid to an eligible student based on the annual Pell Grant limitations set forth by Congress, the student’s enrollment intensity, the student’s cost of attendance and the student aid index (SAI). Condition Significant Deficiency in Internal Control over Compliance – One of the 60 students tested for the eligibility requirements was no longer enrolled at the District at the time of disbursement. Questioned Costs There are no questioned costs associated with this finding. Context There were approximately 6,214 students who received Federal Pell Grants during the year ended June 30, 2025. Effect Without proper review of student’s eligibility records, the District is at risk of noncompliance with the above referenced criteria. Cause The District’s internal control processes were not adequately designed to identify instances of students who dropped prior to disbursement of the Pell Grant awards. Repeat Finding (Yes or No) No. Recommendation The District should strengthen internal controls over the review of dropped students prior to the disbursement of Pell Grant awards to ensure only students enrolled receive a disbursement.