FAC Explorer

Finding 45615 (2022-004)

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Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-01-30
Audit: 44558
Organization: Wingate University (NC)
Auditor: Bdo USA LLP

AI Summary

  • Core Issue: A student received FSEOG funds without being a Federal Pell Grant recipient, violating selection criteria.
  • Impacted Requirements: Federal regulations mandate prioritizing FSEOG awards for students with the lowest expected family contributions who also receive Pell Grants.
  • Recommended Follow-Up: Enhance procedures to ensure FSEOG funds are awarded first to Pell Grant recipients, as confirmed by the Financial Planning Office's new quality control measures.

Finding Text

Federal Program Information: Federal Supplemental Education Opportunity Grants (?FSEOG?) (ALN# 84.007) Criteria or Specific Requirement: E. Eligibility ? Selection of Students for FSEOG awards ? Federal regulations (34 CFR 676.10) require that in selecting among eligible students for FSEOG awards in each award year, the University is required to select those students with the lowest expected family contributions who will also receive Federal Pell Grants in that year. Only if the University has awarded FSEOG awards to all the Federal Pell Grant recipients can they award to FSEOG funds to those eligible students with the lowest expected family contributions who did not receive Federal Pell Grants. Condition: A student was disbursed FSEOG funds during the year who was not eligible to receive a Federal Pell Grant while there were other Federal Pell Grant recipients who were not awarded FSEOG funds. Cause: Administrative oversight with respect to awarding of FSEOG awards. Effect or Potential Effect: The University is not in compliance with prioritizing the awarding of FSEOG funds to Federal Pell Grant recipients. Questioned Costs: None. Context: 1 student out of 136 SEOG recipients was not also a Federal Pell Grant recipient. Identification as a Repeat Finding: There was no similar finding identified during the prior year. Recommendation: We recommend the University enhance its procedures to ensure FSEOG awards are going first to Federal Pell Grant recipients. Views of Responsible Officials: The Financial Planning Office has reviewed its policies surrounding FSEOG awarding and added additional quality control measures for the 2022-2023 award cycle so that FSEOG funding is provided solely to PELL recipients.

Corrective Action Plan

Name of Responsible Individual: Jenn Hall, Director of Financial Planning Corrective Action: The Financial Planning Office has reviewed its policies surrounding FSEOG awarding and added additional quality control measures for the 2022-2023 award cycle so that FSEOG funding is provided solely to PELL recipients. Anticipated Completion Date: December 31, 2022

Categories

Student Financial Aid Eligibility Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $38.22M
84.063 Federal Pell Grant Program $5.20M
84.425 Education Stabilization Fund $3.46M
84.033 Federal Work-Study Program $397,892
84.007 Federal Supplemental Educational Opportunity Grants $376,536