Finding Text
Federal Agency: U.S. Department of Education
Federal Program Name: Federal Pell Grant Program, Federal Supplemental Education Opportunity Grants
Assistance Listing Number: 84.063, 84.007
Federal Award Identification Number and Year: P063P191818; P063P231818; P063P241818; P063Q221818; P063Q231818; P007A222600; P007A242600 - 2024
Award Period: 7/1/2023 – 6/30/2024
Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters
Criteria or specific requirement: Per the Code of Federal Regulations, 34 CFR 673.5, students may not be awarded need based aid in excess of their calculated need. In addition, 34 CFR 685.203(j) states that in no case may a loan amount exceed the student’s estimated cost of attendance for the period of enrollment for which the loan is intended less the student’s estimated financial assistance for that period and in the case of Direct Subsidized Loans, the borrower’s expected family contribution for that period.
Condition: One out of forty students tested was awarded need-based Title IV aid greater than their estimated financial need.
Questioned costs: $1,400
Context: During our testing, we noted that one student was awarded and disbursed $3,595 in need-based Title IV aid when they only had calculated financial need of $2,195.
Cause: The University did not adjust need-based Title IV aid once financial need was met.
Effect: Student was awarded need-based aid in excess of calculated need.
Repeat finding: No.
Recommendation: We recommend the University implement policies to review all student award packages at the start of the academic year or time of revision to ensure no over awards exist. In addition, we recommend the University implement procedures for adjusting aid when an outside scholarship is received by the student.
Views of responsible officials: There is no disagreement with the audit finding.