1. DIVISION II FINANCIAL AID: GOING BACK TO BASICS Jenn Fraser and Leslie Schuemann, Academic and Membership Affairs

2. Session Overview  Case studies.  Newly adopted legislation. Government grants. Financial aid from outside sources.  Exempted academic awards.  Midyear withdrawal.  Questions.

3. What We Hope You Learn  Definition and application of frequently used legislation in NCAA Bylaw 15.  Analysis of sources of financial aid.  Calculation of equivalency.

4. The Equivalency Computation Analysis  The numerator includes the amount of countable aid received by the student-athlete.  The denominator is the actual or average cost of full grant-in-aid for the entire academic year. Bylaw 15.5.2.2  The calculation must be done to at least the nearest hundredth. May round student equivalency to the nearest decimal place (hundredths). August 25, 1995, staff interpretation

5. Case Study Government Grants

6. We They from Master College  The facts:  We They is a wrestler from Master College.  We is an incoming freshman with no previous collegiate enrollment.  Master College is a private college.  The full grant-in-aid for all undergraduate students is $46,000.

7. We They’s Financial Aid Package  Athletics award = $16,000.  State grant based on need = $20,000.  State grant for rank in graduating class = $4,000.  What is We They’s equivalency?

8. The Equivalency Computation $16,000$20,000$4,000$46,000?

9. The Equivalency Computation Analysis  The $16,000 athletics award is countable athletically related financial aid. Bylaw 15.02.4.1  The $20,000 state grant is awarded by Master College to We based on financial need. Bylaw 15.02.4.3 and NCAA Proposal No. NC-2012-19  The $4,000 state grant is awarded by We’s home state based on his 10th-place class rank. Bylaw 15.02.4.3 and Proposal No. NC-2012-19

10. Proposal No. NC-2012-19  Exempts government grants (including state grants), provided:  Awarded based on a student’s demonstrated financial need.  Awarded for educational purposes.  Institution may select recipient.  Institution may determine amount of aid or provide supplementary funds.

11. The Equivalency Computation $16,000$20,000$4,000$46,000?

12. The Equivalency Computation $16,000$46,0000.35

13. Case Study Outside Awards

14. I You from Hoosier State College  The facts:  I You is a swimmer from Hoosier State.  I is an incoming student with no previous enrollment.  Hoosier State is a public institution.  The full grant-in-aid for all undergraduate students is $24,000.

15. I You’s Financial Aid Package  Athletics award = $3,000.  Outside award from rotary club = $1,000.  Outside award from high school booster club = $4,000.  Outside award from state high school athletic association = $1,200.  What is I You’s equivalency?

16. The Equivalency Computation $3,000$1,000$4,000$1,200$24,000?

17. The Equivalency Computation Analysis  The $3,000 athletics award is countable athletically related financial aid. Bylaw 15.02.4.1  The $1,000 rotary club scholarship is awarded to recipients with no relation to athletics. Is this award counted in the institutional limit? Bylaw 15.2.6.2

18. The Equivalency Computation Analysis (continued)  The $4,000 booster club scholarship is awarded to students through an established an on-going program. The chair of the booster club serves is a representative of athletics interest. Is this award counted in institutional limits?  The $1,200 state athletic association scholarship is awarded to students who will attend a college in the state. Is this award counted in institutional limits?  Are all of the sources of outside aid permissible?

19. Proposal No. 2012-5  Proposed under the division’s Ease of Burden initiative.  Eliminates outside educational grants, athletics participation as major and not major criterion.  Outside aid is permissible, provided:  Recipient’s choice of institution is not restricted by the donor; and  There is no direct connection between donor and institution. Effective August 1, 2012

20. Determining if Outside Aid is Permissible  Bylaw 15.02.4.2 and Proposal No. 2012-5.  There shall not be a direct connection between the donor of the aid and recipient’s institution. Must determine if representative of athletics who serves as chair of the high school booster club singularly chose recipients.  Recipient’s choice of institution shall not be restricted by donor. Aid limited to in-state institution is considered restricting the choice of the recipient.

21. $3,000$1,000$4,000$1,200$24,000? The Equivalency Computation

22. $3,000$24,0000.13

23. Case Study Exempted Institutional Financial Aid – Academic Awards

24. She Her from Ri University  The facts:  She Her is a lacrosse student-athlete.  She is an in-state student.  Ri University is a private university.  The full grant-in-aid for all undergraduate students is $37,000.  She Her is a continuing student-athlete, majoring in physical therapy.  Her cumulative grade-point average is 3.80.

25. She Her’s Financial Aid Package  Athletics award = $10,000.  Physical therapy academic award = $15,000.  Foundation award for student-athlete who is majoring in physical therapy = $1,000.  What is She Her’s equivalency?

26. The Equivalency Computation $10,000$15,000$1,000$37,000?

27. The Equivalency Computation Analysis  The $10,000 athletics award is countable athletically related financial aid. Bylaw 15.02.4.1  The $15,000 physical therapy academic award is exempted financial aid. Bylaw 15.02.4.3  The $1,000 foundation award for a student-athlete who is majoring in physical therapy is countable athletically related financial aid. Bylaw 15.02.4.1

28. $10,000$15,000$1,000$37,000? The Equivalency Computation

29. $10,000$1,000$37,0000.30

30. Exempting Academic Awards  Two options.  High school record: Ranked in upper 20 percent of graduating class or cumulative grade-point average of at least 3.500 (based on maximum 4.000); or Minimum ACT score of 100 or minimum SAT score of 1140.  College record: At least one academic year in college; and Achieved a cumulative grade-point average of 3.300 for all academic work at the awarding institution.

31. Case Study Midyear Withdrawal

32. He Him from Pro University  He Him is a football student-athlete.  He is an in-state student.  Pro University is a public university.  The full grant-in-aid for all undergraduate students is $15,000.  He believes he is going to get a professional contract and leaves school at the conclusion of the fall term.

33. He Him’s Financial Aid Package  Athletics award =$4,500.  Pell Grant =$2,025.  State grant =$1,000.  What is his equivalency?

34. The Equivalency Computation $4,500$2,025$1,000$15,000?

35. The Equivalency Computation Analysis  The $4,500 athletic award is countable athletically related financial aid. Bylaw 15.02.4.1  The $2,025 Pell Grant is exempted financial aid. Bylaw 15.2.5.1-(e)  The $1,000 state grant is exempted financial aid. Bylaws 15.2.5.1-(m) and 15.02.4.3

36. The Equivalency Computation Analysis (continued)  The $4,500 athletics award was issued for the entire academic year.  He withdrew at the conclusion of the fall term.

37. The Equivalency Computation $2,250$2,025$1,000$15,000?

38. The Equivalency Computation $2,250$15,0000.15

39. Re-awarding Aid  Can Pro University re-award the athletics aid that He Him will not use during the spring term to another student-athlete? Bylaw 15.3.4-(d) and May 14, 1996, official interpretation  Could Pro University have signed He Him to an athletics aid agreement for the fall term only? Bylaw 15.3.3.1

40. Term-by-Term Awards  June 17, 1988, staff interpretation.  Must provide written statement.  Must follow renewal and cancellation requirements.

41. Questions