JACKSONVILLE, Fla. -

Unbudgeted expenditures over $1,000 will require board of directors approval under changes made by the Florida State College at Jacksonville Foundation board.

The changes are being made in the wake of an Inspector General's report of the college and its foundation that found financial irregularities and questioned benefits paid to outgoing President Steven Wallace and one of his vice presidents.

Earlier in the year, the federal government demanded repayment of $4.7 million in Pell Grants to 1,300 students by mistake.

The Florida State College at Jacksonville's board of trustees ultimately eliminated the job of a the controversial vice president and suspended four employees.

Wallace agreed to resign, although his modified contract calls for him to be paid nearly $1.2 million in pay and benefits over the next 18 months.

Of the foundation's policy changes, board chairman Wade Barnes said: "The policies and procedures are being updated to improve transparency and the documentation process."