Finding Text
FINDING 2022-002 ? CONTROLS AND NONCOMPLIANCE OVER ELIGIBILITY AND DISBURSEMENT Federal Department: Department of Education Assistance Listing Number(s):84.063 Program Name(s): Student Financial Aid Cluster Questioned Costs: $500 Criteria Per the Uniform Guidance Compliance Supplement, Federal Suppleental Educational Opportunity Grants (FSEOG) are awarded first to Pell receipts who have the lowest expected family contributions. If an institution has FSEOG funds remaining after giving FSEOG awards to all the Federal Pell Grant recipients at the institution, the institution shall award the remaining FSEOG funds to those eligible students with the lowest expected family contributions who will not receive Federal Pell Grants. Condition During our compliance testing two students received FSEOG funding while having an expected family contribution greather than $0, which would indicate that other Pell receipients had potential need but were not awarded aid. Questioned Costs The known questioned costs were determined by obtaining the amount of FSEOG financial aid that the students were awarded per the College?s student financial aid population. Context The College could not locate documentation to support the reason these students were judgementally awarded the FSEOG funds. Effect There is a possibility that the students who received financial aid were not actually eligible for the amounts received. Cause The cause appears to be an error in the processing of the file documentation would include support for why the FSEOG award was granted even though the student did not have the lowest possible expected family contribution. Identification as a Repeat Finding, if Applicable This is a partial repeat finding. This was reported in the prior year as finding 2021-002. Recommendation We are aware that the Student Financial Aid Department is undergoing updates to its procedures regarding documentation retention. We recommend that the College continue these efforts to ensure future compliance with all applicable documentation requirements. Views of Responsible Officials and Planned Corrective Actions See Corrective Action Plan.