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No Pell Grants for Eastern Gateway


Eastern Gateway Community College is barred from awarding Pell Grants to new students admitted to the union’s free online program this fall, according to a U.S. Department of Education official.

This news came a few days after the Eastern Gate informed that it can admit students and little more than a week after the education department ordered the institution to stop enrolling students. At the heart of the case is a July 18 Department of Education letter to Eastern Gateway that said the college had is broken federal financial aid rules by using some students’ Pell Grant funds to substantially subsidize the enrollment of other students who are not eligible for federal aid.

Eastern Gateway said in a press release on its website that it will adhere to the latest suspension.

“After careful discussion with the college’s legal counsel and the Ohio Attorney General’s Office, the college has concluded that it is in the best interest of EGCC to move forward only out of an abundance of caution,” the press release said. “Therefore, and until the EGCC receives responses from [the Education Department]the college is temporarily suspending new tuition-free college enrollments for fall 2022.”

This was reported by a representative of the Department of Education Inside the higher ed the following statement:

“The U.S. Department of Education’s goal is to minimize disruption to students as we evaluate the impact of Eastern Gateway Community College’s (EGCC) treatment of low-income students eligible for federal Pell Grants. As our oversight work continues, EGCC is not eligible to disburse Federal Pell Grant funds to new students accepted for enrollment in the Free College Program after July 18, 2022, until it is revised in accordance with federal student aid laws and regulations. We have provided EGCC with further clarification regarding enrolled students who plan to continue their studies this fall.”

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