Disallowance Decision [Education] Law and Legal Definition

According to 34 CFR 81.2 [Title 34 – Education; Subtitle A -- Office of the Secretary, Department of Education; Part 81 -- General Education Provisions Act – Enforcement; Subpart A -- General Provisions], the term disallowance decision means “the decision of an authorized Departmental official that a recipient must return funds because it made an expenditure of funds that was not allowable or otherwise failed to discharge its obligation to account properly for funds. Such a decision, referred to as a "preliminary departmental decision" in section 452 of GEPA, is subject to review by the Office of Administrative Law Judges.”