Finding Text
Criteria or specific requirement: The amount of a student's Pell Grant for an academic year is based upon the payment and disbursement schedules published by the Secretary for each award year (34 CFR 690.62). The Code of Federal Regulations (34 CFR 690.80(b)(1)) states if the student’s enrollment status changes from one academic term to another within the same award year, the institution shall recalculate the Federal Pell Grant award for the new payment period taking into account any changes in the cost of attendance. Uniform Grant Guidance (2 CFR 200.303) requires nonfederal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure students are awarded and disbursed the proper federal fund amounts.
Condition: During our testing of disbursements to eligible students, we noted one instance of a Pell award not being properly disbursed.
Questioned costs: None reported.
Context: In our eligibility sample of 40, one student was not properly disbursed their Pell award. Student was enrolled half-time for fall and winter, and less-than-half time for spring. Student only received a disbursement in fall.
Cause: The students award was based on full-time enrollment level, but the student was only enrolled half-time in fall and winter. Pell recalculation was not performed for this student, and remaining aid was not paid.
Effect: A student did not receive all their Pell Grant Aid.
Repeat Finding: No.
Recommendation: We recommend the University review the current procedures for awarding Title IV funds and implement changes necessary to ensure federal funds are awarded and disbursed in accordance with federal regulations.
View of Responsible Official: The University agrees with the finding.