Federal Student Aid’s Processes for Reallocating Unexpended Campus-based Title IV Funds in Accordance with the Hurricanes Harvey, Irma, and Maria Education Relief Act of 2017

The objective of our audit was to determine whether Federal Student Aid (FSA) designed and implemented processes that provided reasonable assurance that it reallocated unexpended award year 2016–2017 campus-based student financial assistance program funds in accordance with the Hurricanes Harvey, Irma, and Maria Education Relief Act of 2017. First, FSA did not design and implement processes that provided reasonable assurance that it identified all schools participating in the campus-based student financial assistance programs that were affected by or enrolled students affected by a qualifying disaster before reallocating unexpended award year 2016–2017 FSEOG and FWS funds. Second, FSA did not design and implement processes that provided reasonable assurance that it would give preference to schools located in affected areas when reallocating FWS funds.