Finding Text
Audit Finding Reference Number Questioned Cost
2023 – 009 – Pell Grant Calculations $8,608
Federal Program and Specific Federal Award Identification
CFDA Title and Number
84.063 Federal PELL Grant Program (PELL)
Federal Award Number
June 30, 2023
Federal Agencies
U.S. Department of Education
Pass-Through Entity
Not applicable
Criteria
Title IV regulations, 34 CFR Section 690.62 (a) stipulates that the amount of a student’s Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each year. Each student’s Pell grant is based upon their enrollment status, cost of attendance and expected family contribution.
Conditions and Contexts
During my audit I noted twenty-four (24) students out of eighty-seven (87) tested whose Pell grant amount was calculated incorrectly. This resulted in ABC over-disbursing Pell in the amount of $8,608.
Cause
It appears that ABC did not review and verify all components of the Pell grant calculation to ensure the proper amount of Pell was disbursed.
Questioned Costs
For purposes of this condition, I have questioned costs totaling $8,608.
Effect
ABC disbursed excess Pell grant funds to students.
Repeat Finding
Yes. See Schedule of Prior Year Audit Finding 2022-009.
Recommendation
I recommend that ABC adhere to federal prescribed regulations by calculating and disbursing Pell grants in accordance with the Department of Education’s Pell payment schedule and in accordance with the Lifetime Eligibility Usage limits.
Management’s Response
Management concurs with this finding. The College will adhere to its policies, procedures, processes, and federal guidelines as it relates to calculating and awarding Pell. The College will return any ineligible funds accordingly.
Responsible Administrators: Director of Financial Aid & Chief Financial Officer
Effective: Immediately and ongoing.