Finding Text
2023-004 Eligibility
Federal Agency: Department of Education
Federal Program Title: Student Financial Assistance Cluster
ALN Numbers: Various
Award Period: July 1, 2022 through June 30, 2023
Type of Finding:
• Significant Deficiency in Internal Control Over Compliance
• Other Matters
Criteria or Specific Requirement: Per the Code of Federal Regulations, 34 CFR 673.5, students may not be awarded need based aid in excess of their calculated need. In addition, 34 CFR 685.203(j) states that in no case may a loan amount exceed the student’s estimated cost of attendance for the period of enrollment for which the loan is intended less the student’s estimated financial assistance for that period and in the case of Direct Subsidized Loans, the borrower’s expected family contribution for that period.
Condition: During our testing, we noted for 2 out of 40 students tested, we noted an over award. For one of these students, it was an over award of need-based aid in the amount of $672 as total aid paid was greater than the student's total need in the 2022-23 academic year. For the other student, we noted an over award of $1,467 of overall aid during the 2022-23 academic year that was greater than the student’s cost of attendance.
Questioned Costs: $2,139
Context: During our testing, it was noted an erroneous computation of the student’s financial need and cost of attendance thus causing an over award in need based and overall aid.
Cause: Management incorrectly awarded these students based on their financial need and cost of attendance.
Effect: The University is not in compliance with Department of Education requirements.
Repeat Finding: Yes – 2022-002
Recommendation: We recommend the University implements policies to review all student award packages at the start of the academic year to ensure no over awards exist.
Views of Responsible Officials: There is no disagreement with the audit finding.