1. Session DL-04 Title IV Funding To Schools: From COD Through G5 (For Direct Loans) George Karayianis U.S. Department of Education

2. 2 Title IV Funding to Schools Direct Loan Funding Cash Management G5 – Updates

3. 3 “How do schools get their $Money$?” Direct Loan Funding Process Overview

4. 4 Triangle of Funds Management: Direct Loans COD System G5School

5. 5 Funding Lifecycle Initial funding Disbursement and loan processing (in COD System) Drawdowns (through G5) Monthly reconciliation disbursements/cash –School/COD System/G5 End-of-award year reconciliation and closeout

6. 6 Funding based on actual disbursements 7 day rule –Records submitted up to 7 days in advance of disbursement date can trigger an increase in funding Funding Basics

7. 7 versus Funding Delivery Methods Advanced Funds/ School-Initiated Drawdowns Pushed Cash/ System- Initiated Drawdowns

8. 8 School receives an initial CFL School draws down cash via the G5 Web site School sends in MPNs and actual disbursement records to substantiate cash received COD System sends CFL increases to G5 so school can continue to drawdown funds as needed Advanced Funds/School-Initiated Drawdowns

9. 9 SCHOOL G5COD System Batches CFL Funding Flow Advanced Funds

10. 10 The COD System initiates drawdown requests based on actual disbursements accepted and posted by the COD System and cash is deposited in a school’s bank account Schools must have an accepted origination record and MPN on file before an actual disbursement is accepted and cash is pushed to a school Pushed Cash/System-Initiated Drawdowns

11. 11 Funding Flow Pushed Cash SCHOOL G5COD System Batches CFL Drawdowns FDLs

12. 12 Example: Funded Disbursement Listing

13. 13 Title IV Funding to Schools Direct Loan Funding Cash Management G5 – Updates

14. 14 30-Day Reporting Requirement –685.301(d) Direct Loan 3-Day Cash Rule –668.162(b) Monthly Reconciliation –685.102(b) Direct Loan Cash Management Requirements

15. 15 Monthly reconciliation –Compare your records with the Dept’s to identify and account for discrepancies –Ending Cash Balance (ECB) may not equal $0 Closeout –Process ensuring all records are processed and all cash is accounted for –The “final” reconciliation, but your ECB must = $0 Direct Loan Reconciliation versus End-Of-Year Closeout

16. 16 Beginning Cash Balance Cash Receipts Refunds Of Cash + Ending Cash Balance = Booked Adjustments - Booked Disburse- ments Your Ending Cash Balance Equation --

17. 17 School Account Statement (SAS) COD funding Web screens COD reports G5 Web screens and reports COD and G5 Tools Direct Loan Reconciliation

18. 18 School Funding Information Web Screen

19. 19 Cash Activity Screen

20. 20 Monthly file sent from the COD System –Contains school data as reflected on the COD System Sections of the SAS –Cash summary –Disbursement summary by loan type –Cash detail –Loan/disbursement information Direct Loan School Account Statement (SAS)

21. 21 Title IV Funding to Schools Direct Loan Funding Cash Management G5 – Updates

22. 22 G5 Department of Education’s payment system Formerly known as GAPS Provides location for all school funding processes –Drawdowns –Drawdown adjustments –Refunds –G5 funding reports

23. 23 G5 Homepage

24. 24 G5 Registration

25. 25 My Awards An easy-to-view list of all of your institution's awards in G5 Gives a quick snapshot of the award number, available balance, last date to draw, and award status

26. 26 G5 – My Awards Page

27. 27 How do I Request my Direct Loan Funds???

28. 28 Create Payments

29. 29 Create Payment – Payment Tab

30. 30 Create Payment – Summary Tab

31. 31 Automated E-mail George, Requesting User ID: Georgek@school.edu Your request made on 08/12/2008 for $100.00, has been received. Your control number is 2008081206381 and you will receive your funds on 08/13/2008 in bank account ****9426. If you did not request this payment, please contact Helpdesk at 1-888-336-8930.

32. 32 Drawdown Adjustments Can’t move more than has been drawn Net adjustment must equal zero Do not use adjustments as a substitute for returning excess cash Do not use adjustments to close out a year or bring your school’s cash balance to zero

33. 33 Select Drawdown Adjustments from Payments Menu

34. 34 Enter School ID

35. 35 Click Continue

36. 36 Enter Amount of Adjustment

37. 37 Click Continue

38. 38 Click Submit Adjustments

39. 39 Adjustment Confirmation

40. 40 Advantages of Electronic Refunds Posts to GAPS within 2 business days You control process You direct from which bank account the money is refunded Multiple refunds on one screen and at one time Reduces human error and delays

41. 41 Enter Refund Functionality

42. 42 Enter Refund Amount

43. 43 Confirm refund and click continue

44. 44 Select confirm to process refund

45. 45 Refund confirmation

46. 46 G5 Reporting

47. 47 External Award Activity

48. 48 External Award History Report

49. 49 External Award History Report

50. 50 External Award History Report

51. 51 COD School Relations Center 1-800-848-0978 G5 Helpdesk 1-888-336-8930 Need Funding Help?

52. 52 Related Conference Sessions Session DL-01Direct Loan Fundamentals Session DL-02Direct Loan Servicing Fundamentals Session DL-03Direct Loan Tools (hands-on) Session DL-05 Unlocking the Potential of Direct Loan Reports Session DL-06COD Web Hands-on for Direct Loans Session C-12 Title IV Funding to Schools: From COD through G5 (For Pell Grants, ACG, and National SMART)

53. 53 Contact Information George Karayianis Funds Management Lead, Direct Loan Program Operations Division george.karayianis@ed.gov (202) 377-3141 george.karayianis@ed.gov