Finding Text
Need Analysis and Estimated Financial Assistance DEPARTMENT OF EDUCATION
ALN #: 84.268
Federal Award Identification #: 2023-2024 Award Year
Condition: Errors in need analysis for federal financial aid led to inaccurate awarding and disbursing need based federal financial aid due to certain estimated financial assistance being set up as non-need based aid.
Criteria: 34 CFR 685.203
Questioned Costs: $3,512
Context: Two students out of 51 were over awarded subsidized loans.
Cause: Some institutional scholarships are set up as non-need based aid but not flagged as estimated financial assistance, so systematically it looked like there was need when need had been met.
Effect: Students not awarded need based federal aid according to eligibility.
Identification as repeat finding, if applicable: Not applicable.
Recommendation: We recommend the College ensure that all scholarships are flagged as estimated financial assistance and an awarding check is done accurately before disbursement is completed for the student.
Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.