If you indeed had only $500 of need, that would make sense because I think I read somewhere that the minimum PA grant is $500. If you have EFC over $10,000 you would get a PA grant for 10% of need. The basic gist of the calculation, tuition plus fees, $1,000 for books, $4,000 for educational expenses. $32,000 max. Then subtract EFC and any Pell grant from that= need. Then percent of need met by PA grant is dependent on EFC.
For example school costs $18,000 tuition and fees, add $5,000 for other costs = $23,000
If EFC is > $10,000 then PA grant is 10% of need
$23,000 -$11,000 EFC = $12,000 need, PA grant amount would be $1,200
Anyhow, that’s how I interpreted the program manual