NASFAA’s Credential Training The Campus-Based Programs Janette Rozell Assistant Director of Financial Aid & Compliance Georgia Gwinett College GASFAA Winter Workshop February 24, 2017
Lesson 1: Campus-Based Common Provisions
Campus-Based Common Provisions Federal programs administered by schools All three programs share certain common provisions FSEOG FWS Perkins Loan
Application Process Schools apply to the U.S. Department of Education Participation E-App Federal Funds FISAP
Matching Requirements Schools match a portion of the federal allocation
Matching Requirements Schools match a portion of the federal allocation Exceptions
Transfer of Funds Between Programs Schools may transfer campus-based funds Up to 25% of Perkins Loan FCC Perkins Loan FWS FSEOG Work-Colleges Program
Transfer of Funds Between Programs Schools may transfer campus-based funds Up to 25% of FWS total allocation Perkins Loan FWS FSEOG Work-Colleges Program
Transfer of Funds Between Programs Schools may transfer campus-based funds Up to 25% of FSEOG total allocation, but only to FWS Perkins Loan FWS FSEOG Work-Colleges Program
Independent and Part-Time Students If an allocation is based on their financial need, a reasonable portion must be available to these students No minimum enrollment requirement
Carry-Forward Option Schools may carry forward up to 10% of current allocation for: FWS FSEOG Funds must be spent first and matched using next year’s funds
Carry-Back Option Schools may carry back up to 10% of current allocation for: FWS FSEOG Summer options Funds must be matched
Administrative Cost Allowance Running a Community Service FWS Program Training FWS tutors Complying with consumer information requirements Payment of staff salaries Office equipment and supplies Travel, such as for training
Underutilization of Allocation Schools must reallocate unspent funds Returning more than 10% of an allocation will affect future allocations Waiver of the penalty may be requested
Lesson 2: The Federal Supplemental Educational Opportunity Grant Program
FSEOG Student Eligibility Meet general eligibility criteria Demonstrate financial need Pursuit of first baccalaureate degree Award may be prorated if less than full time Cost of attendance (COA) – Expected family contribution (EFC) = Financial Need
FSEOG Award Amounts Awarded for one year at a time Minimum: $100 Maximum: $4,000 School determines award amounts Maximum of $4,400 during study abroad
FSEOG Selection Groups First group: Second group: EFC Pell LEU exceeded prior to first payment period
Lesson 3: Federal Work-Study
FWS Student Eligibility Meet general eligibility criteria Demonstrate financial need Undergraduate and graduate students No minimum or maximum award amount School determines award amounts School may use its allocation in several ways
Eligible Employment On campus or off campus employers May need to include work: In the public interest Related to student’s educational program Not involving solicitation of other potential students
Eligible Employment Federal, state and local employment laws apply Cannot displace regular employees May need off-campus employment agreement
Payments to Students Students must be paid for time worked At least federal minimum wage At least monthly Undergraduate Hourly Graduate Hourly or Salary
Payments to Students Schools may use various payment methods Nonfederal share may be in noncash contributions Federal share cannot pay fringe benefits or employer share of mandatory payments Students may be exempt from: Withholdings FICA taxes Disaster-affected students may be paid FWS
Community Service Requirement Must spend at least 7% of FWS allocation for work of benefit to community Must employ at least one reading tutor School returns unspent portion of 7% requirement Waiver may be requested
Community Service Requirement Must be services designed to improve quality of life or solve problems for community members On-campus CS positions must be open to the public Encouraged to include jobs promoting civic education and disaster preparedness Must inform FWS students about CS jobs May pay for travel time to/from CS jobs
Lesson 4: The Federal Perkins Loan Program
Loan Types Name changed over time National Defense Student Loan National Direct Student Loan 7/1/72 7/1/87 11/1/04 Federal Perkins Loan
Program Status Authorized through 9/30/15 Continue disbursing 2015–16 loans first disbursed before 10/1/15 No loans for 2015–16 to new borrowers after 9/30/15 May offer new loans after 9/30/15 to prior borrowers (borrowed in 2014–15 or earlier) At least one disbursement on or before 6/30/15 Enrolled at same school Enrolled in same program Awarded entire Direct Subsidized loan eligibility first
Student Eligibility Meet general eligibility criteria Demonstrate financial need Priority given to exceptional need Undergraduate and graduate students Willingness to repay Prior total and permanent disability discharge of Title IV or TEACH Grant may affect eligibility
Perkins Loan Award Amounts Awarded for one year at a time Loan limits may be exceeded by up to 20% for study abroad students Annual Limit Aggregate Limit Undergraduate $5,500 $27,500* Graduate $8,000 $60,000** * Students in first or second year of a program cannot exceed $11,000. ** Includes all undergraduate borrowing.
Master Promissory Note Legal contract obligating student to repay Must use Perkins MPN approved by the ED Paper eMPN Single-year or multi-year option Multi-year MPN expires
Disclosures and Counseling Pre-disbursement disclosures, in writing Exit counseling, in person or electronically Before student ceases half-time enrollment, graduates or leaves school Within 30 days of learning student left or did not complete exit counseling Collect borrower information Repayment disclosures, in writing
Perkins Loan Repayment Grace period Initial Post-deferment Repayment period and payment amounts Deferment Forbearance
Perkins Loan Repayment Cancellation Discharge Death Total and Permanent Disability Default Rehabilitation