Pell Grants Postponed

   More than 130 students at Chattanooga College can't get their Pell Grants. They've waited seven weeks and many of them depend on this money outside of the classroom.

    One student called NewsChannel 9 about this problem and we investigated. It appears a Congressional change contributed to this problem. And it changes how the majority of these students live.

    Kenya Houston is out of work right now. She's a single mother attends Chattanooga College and stands one class away from finishing her computer networking degree.

   She hopes it leads to a job and better life for her three year old son Jaryn and his five year old brother.

    But she's waited the last seven weeks for her $1,800 Pell Grant. Houston said it caught her off guard, "This is something I've been getting regularly for two years. I know that it's coming. At this point It really threw us for a loop." Pell pays her tuition and she uses the surplus to meet other life expenses. Chattanooga College administrators say in this recession, many students do that.

   Houston elaborated on the impact, "It means a lot of the things that I want to do with my kids I'm not able to do because I don't have the money."

   Ringing phones and in person student complaints like Kenya's overwhelm Chattanooga College. Sidney Jackson, the college's Financial Aid Administrator, explained, "However our third party services has not sent funds for Pell for (form 1011).That's the problem."

   President Bill Faour says Chattanooga College has used the same Florida processor in his 14 years here. They've never hit this problem. Jackson says the paperwork is tremendous, "That's what we're working on day and night and our third party service have been working basically since the first of July." This year, Pell Grant distribution changed. Congress removed private banks from the equation purportedly to save money. But for processing companies like the Fort Lauderdale, Florida one Chattanooga College uses, it means a lot more work and time.

   The frustration builds for many studends, including Houston. "Us having to go from calling the government back to calling them, that's been a real burden."

   The college's finance director says he averages 80 calls a day dealing with this. And they are making headway. But they expect it to take a month to return to normal.