A framework for monitoring quality control (QC) of processor contracts administered by the Department of Education's Office of Student Financial Assistance (OSFA) is presented and applied to the Pell Grant program. Guidelines for establishing QC measures and standards are included, and the uses of a sampling procedure in the QC system are…

The issues, options, and procedures for annually measuring overall payment error in the Pell Grant program are specified in detail. Guidelines for establishing a definition of Pell Grant payment error are provided, and the design issues related to error measurement are examined. A comparison is made of options for selecting a study sample and for…