Section III – Findings and Questioned Costs – Major Federal Programs (Continued)
Federal Agency: U.S. Department of Education
Federal Program Name: Federal Supplemental Educational Opportunity Grant Program; Federal Pell Grant Program; Federal Direct Student Loan; Federal Work Study Program
Assistance Listing Number: 84.007; 84.063; 84.268; 84.033
Federal Award Identification Number and Year: P007A171583; P007A231583; P063P190147; P063P210147; P063P220147; P063P230147; P063Q210147; P063Q220147; P268K230147; P268K240147; P033A211583; P033A231583 - 2023
Award Period: July 1, 2022 – June 30, 2023
Type of Finding:
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: Students were over-awarded and disbursed funds that the students were not eligible for.
Questioned costs: $12,121.
Context: In our testing of 40 students, it was noted 3 students were over-awarded and disbursed PLUS loans funds and 1 student was over-awarded and disbursed Pell and SEOG funds.
Cause: Management incorrectly awarded these students based on their financial need and cost of attendance.
Effect: Students were given funding that they were not eligible for.
Repeat Finding: No.
Recommendation: We recommend the University implement policies to review all student award packages at the start of the academic year to ensure no overawarding exist.
Views of responsible officials: There is no disagreement with the audit finding.
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