Finding 577754 (2023-003)

Federal Agency: U.S. Department of Education Federal Program Title: Student Financial Aid ALN Number: Student Financial Aid Cluster Award Period: June 01, 2022 through May 31, 2023 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: Based on our testing, we noted one student who was disbursed $817 more than they were awarded. Questioned Costs: $817 Context: One student was disbursed more Title IV aid than they were awarded. Cause: The College disbursed one students Title IV aid that was greater than their awarded amount. Effect: Students may be awarded need based aid in excess of their calculated need. Repeat finding: No Recommendation: We recommend the College implement policies to review all student award packages at the start of the academic year to ensure no overawards exist. Views of responsible officials: There is no disagreement with the audit finding.