Finding Text
Student Financial Assistance Cluster U.S. Department of Education Federal Pell Grant Program 84.063 Award Year 2022 Criteria or Specific Requirement - Eligibility - Each year, based on the maximum Pell Grant established by Congress, ED provides to institutions Payment and Disbursement Schedules for determining Pell awards. The Payment Schedule provides the maximum scheduled award a student would receive for a full academic year as a full-time student based on their EFC and COA. Additionally, students that receive Pell may not receive more than six Scheduled Awards (12 semesters, or the equivalent) as measured by the percentage of ?lifetime eligibility used? (LEU) field in COD (tracked by ED) (20 USC 1070a(c)(5)). The LEU maximum percentage for student eligibility is 600 percent (Chapter 3 in Volume 3, Calculating the Pell and Iraq & Afghanistan Service Grant Awards, of the FSA Handbook). Condition - The amount of a student?s Federal Pell Grant for an academic year is based upon payment and disbursement schedules published by the Secretary of Education for each award year, and the calculation of a Federal Pell Grant is based on the student?s enrollment status from the Payment Schedule for full-time students or the Disbursement Schedule for three-quarter time, half-time, or less than-half time students. The College utilized an incorrect Pell table when calculating the amount of Pell disbursed to a student. Additionally, the College is limited in its Pell Grant funding to be the equivalent of 6 years--600 percent lifetime threshold. Questioned Costs - An error resulted in questioned costs of $2,185 as a result of using the wrong Pell table. There was an additional error in a Pell Grant calculated because the student had exceeded the 600 percent threshold for lifetime Pell resulting in an over award of $3. Context - Out of a population of 286 students receiving federal awards during the year, a sample of 25 students was selected for testing. Out of these 25 students selected for testing, there was one instance in which the College used the incorrect Pell table and one instance in which the Pell award exceeded the 600 percent lifetime threshold. The sample was not, and was not intended to be, a statistically valid sample. Effect - Two students out of the 25 tested received an over-award of Pell. Cause - Management oversight of the control in place to validate the Pell table and Lifetime Maximum table. Identification as a Repeat Finding - No Recommendation - The College should have a procedure to review each students credit hours to determine the proper Pell table. Additionally, review procedures should be implemented to ensure that no student exceeds 600% of their maximum lifetime Pell award. Views of Responsible Officials and Planned Corrective Actions - These Pell recipients are from the 2nd Chance Pell Grant Experiment and guidance has been inconsistent in the awarding process, resulting from staffing issues and high turnover. Student credit hours are now determined using the correct Pell Grant Payment Schedule and awarded accordingly. Verification process includes reviewing student's maximum lifetime Pell award percentage of 600%.