Ears cut short?

I took a look at Funds for Learning's notes on USAC's conference call, and something jumped out at me: in June, 43% of the funding was denied.  What?!  Why?  So I looked at all the denial reasons for the whole funding year, and it breaks down to:

Denial Reason	FRNs	Requested	Avg. per FRN
471 cancelled by applicant	18	$1,854,308.66	$103,017.15
471 cancelled by RAL	383	$36,358,325.87	$94,930.35
None	10	$60,765.22	$6,076.52
Red Light	18	$461,916.85	$25,662.05
Grand Total	429	$38,735,316.60	$90,292.11

Oh, well, that makes sense.  401 FRNs cancelled by applicants, 18 auto-denied due to the Red Light Rule.  And I'll bet the 10 denied FRNs without any explanation are probably all cancelled by applicants.  So PIA hasn't actually decided to deny any applicants.  It's just slam-dunk denials, to go with the slam-dunk approvals granted so far.  One difference: the $90,000/FRN for denials is much bigger than June's $11,000/FRN for approvals.

Where, oh where, has PIA gone?  Where, oh where, can they be?