1. MN Postsecondary Child Care Grant Awarding Graduate/Professional Students Ginny Dodds, MN Office of Higher Education Brenda Larter, MN Office of Higher Education August 2016

2. Postsecondary Child Care Grant  The Postsecondary Child Care Grant provides financial assistance to students who:  Have children 12 and under in day care  14 and under if disabled  Are not receiving assistance under the Minnesota Family Investment Program (MFIP)  Financially qualify per the maximum award chart  Must also show financial need (COA minus other financial aid and resources)  Student applies by:  Completing FAFSA (or MN Dream Act application)  Completing Postsecondary Child Care Grant application (paper)  Downloadable posters on OHE web site 2

3. Postsecondary Child Care Grant  Program statute amended to include graduate and professional students effective 2016-2017 aid year  Sec. 11. Minnesota Statutes 2015 Supplement, section 136A.125, subdivision 2, is amended to read: Subd. 2. Eligible students. (a) An applicant is eligible for a child care grant if the applicant: (1) is a resident of the state of Minnesota or the applicant's spouse is a resident of the state of Minnesota; (2) has a child 12 years of age or younger, or 14 years of age or younger who is disabled as defined in section 125A.02, and who is receiving or will receive care on a regular basis from a licensed or legal, nonlicensed caregiver; (3) is income eligible as determined by the office's policies and rules, but is not a 8.31recipient of assistance from the Minnesota family investment program; (4) either has not earned a baccalaureate degree and has been enrolled full time less than eight semesters or the equivalent, or has earned a baccalaureate degree and has been enrolled full time less than eight semesters or the equivalent in a graduate or professional degree program; (5) is pursuing a nonsectarian program or course of study that applies to an undergraduate, graduate, or professional degree, diploma, or certificate; (6) is enrolled in at least half time six credits in an undergraduate program or one credit in a graduate or professional program in an eligible institution; and (7) is in good academic standing and making satisfactory academic progress. 3

4. Postsecondary Child Care Grant  Campus allocations  Based on # of State Grant applicants reporting children on FAFSA for prior aid year  Factored in graduation/professional students for 2016- 2017 aid year  Lesser of proportional share of appropriation or institution’s request  Initial allocation estimated in spring  Later revised based on prior year utilization rate  50% in September, 50% in December  Contact OHE if funds needed for leading summer term  Reallocations  Performed 4 to 5 times throughout aid year 4

5. Postsecondary Child Care Grant  Campus allocations  Can always carry forward up to 10% of current year initial allocation to next fiscal year  Can only carry back funds from 2 nd fiscal year of biennium to 1 st fiscal year of biennium  Current biennium  Fiscal Year 2016 (Aid Year 2015-2016)  Fiscal Year 2017(Aid Year 2016-2017)  Can use up to 5% of total student awards for aid year for administrative expenses 5

6. Postsecondary Child Care Grant  2016-2017 application modified 6

7. Postsecondary Child Care Grant  Eligible Student  Meet state residency requirements  Be enrolled at least half-time  6+ credits for undergraduates  1+ credit(s) for graduate/professional students  Undergraduate: Has not yet attended on a full-time (15+ credits) basis for eight semesters, 12 quarters, or the equivalent, or earned a bachelor’s degree  Graduate/Professional: Has not yet attended on a full-time (6+ credits) basis for eight semesters, 12 quarters, or the equivalent at the graduate/professional level after earning a bachelor’s degree  Not be in default of any educational loan  Be making satisfactory academic progress  Not be receiving tuition reciprocity benefits from another state  Be pursuing a nonsectarian program or course of study that applies to an undergraduate degree, diploma or certificate  NOTE: Child support hold does NOT affect eligibility 7

8. Postsecondary Child Care Grant  Must ask all applicants to complete State Grant eligibility questionnaire (or similar form designed for grad/prof students)  State residency  Amount of postsecondary attendance  Must request academic transcripts for:  Undergraduate who has 3 or more years of postsecondary attendance  Graduate/Professional student who has 3 or more years of postsecondary attendance at grad/prof level  No difference in transcript review policies and procedures for undergraduates vs graduate/professional students except:  Full-time defined differently 8

9. Undergraduate Students 9 Pre-July 1, 1992 Course Work QTR SEM 12+ credits 8 12 9-11 credits 6 9 6-8 credits 4 6 1-5 credits bank* bank* * total credits in each bank divided by 12 to determine the number of full- time quarters or semesters Example: 18 Qtr credits / 12 = 1.5 FT quarters 1.5 X 8 units = 12 units Post-July 1, 1992 Course Work QTR SEM 15+ credits 8 12 14 credits 7.5 11.2 13 credits 6.9 10.4 12 credits 6.4 9.6 11 credits 5.9 8.8 10 credits 5.3 8.0 9 credits 4.8 7.2 8 credits 4.3 6.4 7 credits 3.7 5.6 6 credits 3.2 4.8 5 credits 2.7 4.0 4 credits 2.1 3.2 3 credits 1.6 2.4 2 credits 1.1 1.6 1 credit.5.8 CUT-OFF 94.4 93.6

10. Graduate/Professional Students Use Graduate/Professional transcript review spreadsheet Pre or Post-July 1, 1992 QTR SEM UNITS UNITS 6+ credits 8.0 12.0 5 credits 6.7 10.0 4 credits 5.3 8.0 3 credits 4.0 6.0 2 credits 2.7 4.0 1 credits 1.3 2.0 CUT-OFF 94.4 93.6 10

11. Postsecondary Child Care Grant  Eligible Provider  Licensed child care provider  A legal non-licensed provider  At least 18 years of age  Care for only related children and/or children from one additional household  Others exempted from state licensing (school latch-key program, YMCA camps, etc.)  Not eligible providers:  Child’s other parent, legal guardian or stepparent  Individual residing in same home as student and child 11

12. Postsecondary Child Care Grant  Priority Deadline Date  School must set priority deadline date by which applicants must apply to be included in initial ranking  Renewal applicants must be awarded prior to awarding new applicants  Renewal = enrolled/awarded during previous academic year and has not missed more than one term (not including summer) prior to new academic year  If insufficient funds to award all renewals, school’s written policy determines how to rank applicants  After awarding renewal applicants, award new applicants  If insufficient funding for all new applicants, school’s written policy determines how to rank applicants  School can have policy giving preference to undergraduates or graduate/professional students, or policy for proportional awarding, or first-come/first-serve, etc. 12

13. Postsecondary Child Care Grant  After priority deadline has passed, school’s written policy determines ranking  No requirement to rank renewal applicants first  School can have policy giving preference to undergraduates or graduate/professional students, or policy for proportional awarding, or first-come/first- serve, etc.  Examples (not exhaustive list):  Undergraduates based on date of application then grad/prof students based on date of application  All applicants ranked based on date of application  Rank applicants based on income or EFC 13

14. Postsecondary Child Care Grant  Awarding Period  School must award student for fall through spring terms unless:  Student will only attend partial year  Student will run out of eligibility  Awarding late in year  School has option to award retroactively  Remaining funds won’t cover full academic year 14

15. Postsecondary Child Care Grant  Award Calculation  Award for each term is the lesser of:  Actual child care costs for child for the term  Amount shown on maximum award chart for student’s total income and household size (or parents’, if dependent)  Can be increased by 10% for infant care  Divide by 2 (semester) or 3 (quarter) to get term amount  Prorate for less than full-time enrollment  Undergrads: Divide full-time term maximum award by 15 then multiply by student’s term credits  Grad/Prof: Divide full-time term maximum award by 6 then multiply by student’s term credits  Financial need (COA minus other financial aid and resources)  Can add child care expenses to COA  Students can receive awards for up to 3 full-time semesters or 4 full-time quarters per aid year  i.e., 150% (semester) or 133% (quarter) of annual full-time award 15

16. Postsecondary Child Care Grant 16

17. Postsecondary Child Care Grant  Actual Child Care Costs  As reported by provider on application and verified by school  School can require receipts if questioning information provided  Maximum weekly hours = 40  Can include class time, study time, work time, etc.  No distinction for undergraduate vs graduate/professional students  Maximum hourly cost = $10 center; $5 home care  Providers can’t charge applicants a higher rate than other customers 17

18. Postsecondary Child Care Grant  Actual Child Care Costs  Required subtractions:  Basic Sliding Fee Child Care Assistance  Transition Year Child Care Assistance  Early Learning Scholarship  Spouse’s Child Care Grant  Employer-subsidized child care assistance  Any other child care assistance  Court-ordered child care support from other parent (if not already included in child support received or other untaxed income on FAFSA) 18

19. Postsecondary Child Care Grant  Actual Child Care Costs  Can include breaks within or between terms  If between, divide between adjoining terms  Summer term not considered a “break”  Cannot include costs for weeks/days student not receiving child care  Child care started later in term  Summer sessions combined into summer term and student not receiving child care during one session 19

20. Postsecondary Child Care Grant  Maximum Award Chart  Maximum award in statute is $2,800 per eligible child per academic year (fall through spring terms)  Student qualifies for maximum award if total income <= 185% of federal poverty level  Lesser amount if income > federal poverty level  Maximum annual award for student’s total income and household size can be increased by 10% for higher cost infant care  Student and Provider must complete “Request for Adjustment to Infant Care” form (Appendix 9) 20

21. Postsecondary Child Care Grant  Changes Affecting Award Amount  Total Income or Household Size  MFIP Status  Actual Child Care Costs  Hours  Rate  Provider  Other Child Care Assistance  Student Enrollment Level  Document all changes in student’s file 21

22. Postsecondary Child Care Grant  Changes to Award  If award increased, disburse additional funds to student, if available  If award decreased  Reduce award for subsequent terms of the aid year; or  Bill student and return funds to Child Care Grant Program 22

23. Postsecondary Child Care Grant  Award Denial/Termination  Must provide written notification to student (App 6)  Provider should also be notified  Valid reasons for denial/termination:  Does not meet program eligibility requirement*  e.g., undergraduate with bachelor’s degree or equivalent of 4 years of full-time postsecondary attendance  e.g., graduate/professional student without bachelor’s degree or equivalent of 4 years of post-bachelor’s full-time attendance at the graduate/professional level  e.g., enrolled less than half-time (6 credits undergraduate; 1 credit graduate professional)  Ineligible provider  Other parent available during day care hours  Failure to provide required info/documentation  Intentional failure to report changes  False information on application  Extended absences without approved LOA *Examples shown do reflect all program eligibility requirements 23

24. Postsecondary Child Care Grant  Award Denial/Termination – Appeal Process  Denial/Termination notices informs student of right to appeal decision  Student first goes through school’s financial aid appeals process  Student can subsequently appeal to OHE if not satisfied with school’s appeal decision  OHE reviews documentation to verify school correctly followed program statues, rules and policies  OHE notifies student and school of decision 24

25. Postsecondary Child Care Grant  Changes to Enrollment Level  If student drops class within drop/add period or later withdraws without attending  Recalculate award for revised enrollment level  Return any overpayment to program  If student withdraws from class(es) after attending but still enrolled for 6 or more credits (undergraduate) or 1 or more credits (grad/prof)  Complete partial withdrawal refund calculation using OHE Refund Calculation Spreadsheet (if before award adjustment end date)  If no refund of institutional charges for partial withdrawal, note in student’s file in lieu of refund calculation spreadsheet  No action required if beyond award adjustment end date 25

26. Postsecondary Child Care Grant  Full Withdrawal (or below half-time enrollment)  If refund of institutional charges, use OHE Refund Calculation Spreadsheet for full withdrawal  If no refund of institutional charges, make note to that effect in student’s file 26

27. Postsecondary Child Care Grant  Reporting  Schools must report total program awards, expenditures and waiting list to date on monthly basis throughout aid year  Funds balance due to OHE by July 31, 2017  Final report due to OHE by August 10, 2017  OHE sends final report spreadsheet template to school  School populates spreadsheet with individual student data  Reporting done by MnSCU central office for MnSCU campuses 27

28. Postsecondary Child Care Grant  Final Report Data  Student Name  SSN (blank for MN Dream Act students)  Total Income  Household Size  Total hours awarded per week for all children  Number of children in daycare  Total actual child care costs for award period  Total child care grant award  Amount of award used for on-campus daycare  Amount total award was increased due to 10% infant care adjustment.  Undergraduate or Graduate/Professional 28

29. 29 Questions & Answers

30. Brenda Larter (651) 355-0612 Brenda.Larter@state.mn.us