Finding 635970 (2022-001)

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Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-02-21
Audit: 54885
Organization: Knox College (IL)
Auditor: Sikich LLP

AI Summary

  • Core Issue: Two students did not receive the full Pell Grant amounts they were eligible for, totaling a shortfall of $550.
  • Impacted Requirements: This finding relates to noncompliance with eligibility criteria for Title IV aid as outlined in 34 CFR 690.62.
  • Recommended Follow-Up: The University should review and improve its policies and procedures to ensure accurate disbursement of Title IV aid.

Finding Text

2022-001 - Student Financial Aid Cluster - (a) Federal Supplemental Educational Opportunity Grants (b) Federal Work Study Program (c) Federal Perkins Loan Program - Federal Capital Contributions (d) Federal Pell Grant Program (e) federal Direct Student Loans, Assistance Listing No. (a)84.007 (b)84.033 (c)84.038 (d) 84.063 (e)84.268 - Year Ended June 30, 2022. Criteria: 34 CFR 690.62 states, "The amount of the student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year. Condition: We tested 40 files, 18 of which were Pell Grant recipients, and 2 students did not receive the full amount of their allowed Pell grants. The students were eligible for $65,480 but received $64,930. Cause: For one student, this condition was caused by using the 20-21 Pell Award Chart for a 21-22 Pell Award. For the other student, this condition was caused by using the College's institutional EFC instead of the student's EFC noted on their FAFSa. Effect: The result is one student did not receive $150 of eligible Pell monies and the other student did not receive $400 of eligible Pell monies. We consider this condition to be an instance of noncompliance relating to the Eligibility compliance requirement. Statistical sampling was not used in making sample selections. Questioned Costs: $0. Cause and Effect: Without proper review of eligibility of financial aid, students may receive an incorrect amount of Title IV aid. Students should receive the proper amount of aid. Recommendation: We recommend the University evaluate policies and procedures to ensure students receive the proper amount of Title IV aid. Views of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan. See Schedule of Findings and Questioned Costs for chart/table.

Categories

Student Financial Aid Eligibility Matching / Level of Effort / Earmarking

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $5.43M
84.063 Federal Pell Grant Program $1.71M
84.038 Federal Perkins Loan Program $1.39M
84.425 Education Stabilization Fund $1.37M
84.042 Trio_student Support Services $336,770
84.217 Trio_mcnair Post-Baccalaureate Achievement $301,113
84.033 Federal Work-Study Program $253,458
84.007 Federal Supplemental Educational Opportunity Grants $173,558
47.070 Computer and Information Science and Engineering $28,326
47.076 Education and Human Resources $15,659
45.024 Promotion of the Arts_grants to Organizations and Individuals $10,000
47.075 Social, Behavioral, and Economic Sciences $1,622