The Solution Center Special Conditions Appeals The Financial Aid Office Professional Judgment Budget Appeals Dependency Overrides

Objective What you will learn? Professional Judgment (PJ) Process for a Professional Judgment Decision Valid/Invalid Reasons for a Professional Judgment Appeal Verification Process for PJ Cost of Attendance (COA) Appeals Types of COA Appeals COA Appeal Adjustments Dependency Overrides (DO) Eligibility Requirements for DO Valid/Invalid Reasons for DO Documentation and Processing DO

Professional Judgment (PJ) Appeals

Professional Judgment Financial Aid Staff allowed to make limited and specific adjustments Using PJ staff can adjust data that determines EFC (Expected Family Contribution) Adjust COA (Cost of Attendance) Make a dependent student independent

Accountability School is held accountable: For all professional judgment decisions For fully documenting each decision School must repay funds student received: If poor judgment used If adjustment made for unreasonable request If not documented properly

Special Circumstances Review of Appeals are based on: One-time Special Circumstance Availability of Funds Timeliness of appeal

Reasons For Appeal Valid Reasons: Invalid Reasons: Decrease in income from employment Death of a parent or spouse Divorce or separation after filing the FAFSA Medical, dental, or nursing home expenses not covered by insurance Elementary or secondary school tuition One time income Recent unemployment of a family member Other changes to the family’s income or assets Invalid Reasons: Vacation expenses (including spring break) Tithing & alms Standard living expenses Utilities Mortgage Payments Home Repairs Credit card expenses Children’s allowances Cosmetic or elective purchases

Documentation Higher Education Act and corresponding regulations use the phrase “on the basis of adequate documentation” Should be enough that an auditor or program review must be able to gain understanding as to WHY a change is warranted as well as HOW the changes were calculated

Verification Federal Guidelines require all students ‘selected for verification’ to complete verification prior to PJ UMass Lowell Policy is that students requesting PJ are selected for verification upon submission of appeal

Divorce / Separation If updated at verification, is not a PJ If verification has previously been completed, it is now PJ If the parent has divorced and married someone new, the new spouse’s income & assets would also be included Question & include spousal maintenance, alimony, child support See AVG-29

Additional Information Be careful handing out forms Check EFC. If EFC is 0, Special not needed See if FAFSA was filled out correctly Verification can increase EFC Don’t put a family through the process if it is not going to help the student

Cost of Attendance (COA) Appeals

COA (Cost of Attendance) Appeal Requests Three forms for 2014-2015 Computer Expense Up to $2500 One per academic career Books & Supplies Supplies can include scrubs, musical instruments, software, other expenses required by course or program Other Includes Dependent Care Monthly Living Expenses Transportation Expenses & Other

Adjustments to the Aid Package Check to make sure there is no COA eligibility Adjustments ONLY provide additional eligibility for loans -OR- Reallocations from Subsidized to Unsubsidized

Dependency Override Appeals

Dependency Override Eligibility Dependency overrides (dependent to independent) may be available for students who document unusual circumstances in their families Reviews are done on a case by case basis An appeal form and adequate supporting documentation is required If the FAA determines an override is appropriate, the FAA MUST write a statement detailing the determination and MUST include the statement and supporting documentation in the student’s file Requests must be submitted each year

Current UML Students with DO Students with a Dependency Override from the prior academic year: are contacted by the student’s financial aid counselor and are sent the form to complete and return

DO at Another School A COGNOS report identifies students who have a Dependency Override processed by another school Student must submit appeal to UML or provide copies of documentation from other school A checklist (LDOVR) is assigned as initiated The counselor contacts the student to explain the situation

Reasons for DO Valid Reasons for a Dependency Override: Physical, mental, emotional abuse by parents Abandonment by the parents Parent incarceration Social service, police or legal intervention Student refugee or asylum & parental location or status is unknown Parent incapacitation (ex: coma) Neglect by parents Invalid Reasons for a Dependency Override: Parents refuse to contribute to education Parents unwilling to provide information on FAFSA Parents unwilling to provide information for verification Student married after filing the FAFSA Parents don’t claim student as dependent for income tax purposes Student lives on own / demonstrates self-sufficiency (without a qualifying situation)

Documentation Documentation is critical Must include reason for the determination Must support decision Should originate from a third party with knowledge of the circumstances Counselors, teachers, clergy, community groups, government agencies, medical personnel, courts, or prison administrators

DO Renewal Process Dependency Override is an annual determination All students requesting an override MUST be verified For every academic year, FAA must affirm circumstances still exist If you are unsure of documentation, or don’t know ASK

Additional Information Do not process a DO for a student who can answer YES to one of the standard dependency questions Consider whether documentation received substantiates student’s ability to answer YES to one of the standard dependency questions