Finding 628446 (2022-001)

-
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2022-10-31

AI Summary

  • Core Issue: Three students were not awarded Pell Grants correctly due to errors in the Financial Aid system related to their enrollment status.
  • Impacted Requirements: Compliance with 34 CFR 690.63(b) regarding proper Pell award adjustments based on enrollment and withdrawal status.
  • Recommended Follow-Up: Review the Financial Aid awarding system to prevent locking Pell awards and ensure proper adjustments are made for students who withdraw.

Finding Text

Pell Awards Other Matter DEPARTMENT OF EDUCATION ALN #: 84.063 Federal Award Identification #: 2021-22 Financial Aid Year Condition: 3 students out of 46 tested were not properly awarded Pell based on enrollment status. Criteria: 34 CFR 690.63(b) Questioned Costs: $0 Context: In the eligibility, disbursement, and withdrawal testing 3 students had Pell awarding errors. 1 student had the Pell award in the Financial Aid awarding system locked so that it could not be updated based on the student?s enrollment status, whereas the other 2 students had Pell awards incorrectly adjusted based on the students withdrawing midway through the academic term. All 3 students resulted in Pell being under-awarded by a total of $2,744 and Pell amounts have been corrected during the audit the audit process. Cause: The Financial Aid awarding system allowed a lock on a Pell award and Financial Aid made incorrect adjustments of Pell awards when evaluating withdrawal students. Effect: Pell was not awarded correctly based on enrollment status. Identification as repeat finding, if applicable: N/A Recommendation: We recommend that the Financial Aid awarding system be reviewed to make sure no other students? Pell awards are locked during the awarding term and that a process be used to review and adjust Pell to be paid in alignment with enrollment status. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Categories

Eligibility

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $20.52M
84.063 Federal Pell Grant Program $4.77M
84.425 Covid - 19 Education Stabilization Fund Heerf - Student Aid Portion $4.64M
84.425 Covid-19 Education Stabilization Fund Heerf - Institutional Portion $4.17M
84.038 Federal Perkins Loan Program $2.36M
84.425 Covid-19 Education Stabilization Fund - Heerf Strengthening Institutions $581,358
84.033 Federal Work-Study Program $363,336
84.007 Federal Supplemental Educational Opportunity Grants $256,924
84.031 Higher Education_institutional Aid - Strengthening Institutions Program (title Iii) $228,557