1. Professional Judgment: Dependency Overrides & Reduced Income Presented by Paul Simenson, Penn State University

2. Exercising Professional Judgment Bananas, Onions, Garlic, A Deck of Cards & Other Secrets to Developing Your Professional Judgment Framework & Other Secrets to Developing Your Professional Judgment Framework

3. First Things First: Why are you here? What do you want from the next 40 minutes? Exercising Professional Judgment

4. Student Aid 101: ( A brief history) UM to CM to FM to “Simplification” Remains Principally Unchanged Guidance From Department Releasing of Monograph 26 USDE Special Conditions Form HEA ’65 Reauthorized in 1992 & Finally August 14, 2008 Exercising Professional Judgment

5. Immutable Truths: Perception is Everything The “Reasonable Person” Standard Responsibility of the Authority Not A Rationing Device for Available Funds. Exercising Professional Judgment

6. Customer Service 101: Courage to Challenge Satisfaction = Reality ÷ Expectations Perception vs. Reality Thing Exercising Professional Judgment

7. Counseling 101: No Talking to Crazy People When in Doubt, Ask for Documentation. (Paper is an unemotional advocate) Hurt People (pause) Hurt People Exercising Professional Judgment

8. Keep in Mind: (there are differences between) Unwilling vs. Unable Institutional Policy vs. Professional Judgment Actionable vs. In-actionable Role of Choosing Exercising Professional Judgment

9. And Now…. To the Nuts & Bolts: What Meets the Measure of an Exception? What Does Professional Judgment Look Like? Is There Documented Support from the Appropriate Parties? Exercising Professional Judgment

10. More…. Nuts & Bolts: HIGHER EDUCATION ACT of 1965, As Amended Section 479A.DISCRETION OF STUDENT FINANCIAL AID ADMINISTRATORS. In General.- Nothing in [Part F, "Need Analysis"] shall be interpreted as limiting the authority of the financial aid administrator, on the basis of adequate documentation, to make necessary adjustments on a case-by-case basis to: the cost of attendance the values of the data items required to calculate the expected student or parent contribution (or both) to allow for treatment of an individual eligible applicant with special circumstances. Exercising Professional Judgment

11. Nuts & Bolts… con’t However, this authority shall not be construed to permit aid administrators to deviate from the contributions expected in the absence of special circumstances. HIGHER EDUCATION ACT of 1965, As Amended Section 479A.DISCRETION OF STUDENT FINANCIAL AID ADMINISTRATORS. Exercising Professional Judgment

12. More…. Nuts & Bolts: How Is it Exercised?  Mitigating Circumstances (Dependency Issues)  Cost of Attendance  Income / Assets (Change of Circumstance How Is it Exercised?  Repeatable / Reliable / Unrelenting Exercising Professional Judgment

13. So, How Good Does Your Professional Judgment Have to Be? Is There a Prescribed, Document-Driven Process? Are Peers Involved? More…. Nuts & Bolts: Exercising Professional Judgment

14. So, What Are The Highlights? Policy Formation (or Invoking Policy) is NOT P.J. P.J. Can Only Occur With The Collection of Supplemental Information It Is Critical You Know Your Institutional Policies & Process Exercising Professional Judgment

15. Your Decisions Must Be… The Tale of the Nun & The Violin… So, What Are The Highlights? Exercising Professional Judgment

16. Your Institutional Polices, Processes & Procedures Toolbox 101: The Big three (3) “gots” to know The Federal Law:HEA’65 CCRAA HEOA’08 Where to Seek Guidance Exercising Professional Judgment

17. Toolbox 101: Final Toolbox Thoughts The financial aid administrator is expected to provide leadership in:  the development of institutional policies & guidelines for exercising professional judgment  ensuring the consistent application of those policies. When questions arise involving professional judgment, the financial aid administrator may find it helpful to consult colleagues at similar institutions. Exercising Professional Judgment

18. Toolbox 101: Final Toolbox Thoughts The financial aid administrator is expected to provide leadership in: A continuing dialogue among financial aid administrators will prove beneficial in refining professional judgment Exercising Professional Judgment

19. The objective is to serve students more equitably & compassionately. Professional Judgment in Eligibility Determination And Resource Analysis November 13, 1993, Monograph Number 10 Updated June 1997 Toolbox 101: Final toolbox Thoughts Exercising Professional Judgment

20. distinguish between changes in a family’s circumstances choicenecessity. The aid administrator should be able to distinguish between changes in a family’s circumstances that are a function of choice, and those that are a function of necessity. distinction Using this distinction will help the aid administrator make better decisions…. is not intended [Professional Judgment] is not intended to be a rationing device and therefore should not be tailored to available financial aid funding. Toolbox 101: Final Toolbox Thoughts Exercising Professional Judgment

21. Constructing Student Expense Budgets April 1993, Monograph Number 9 Updated June 1997 Professional Judgment in Eligibility Determination And Resource Analysis November 1993, Monograph Number 10 Updated June 1997 Monograph A N A S F A A S e r i e s Exercising Professional Judgment

22. Professional Judgment in Eligibility Determination And Resource Analysis October 2007, Monograph Number 21 http://www.nasfaa.org/PDFs/2007/Monograph21.pdf Monograph A N A S F A A S e r i e s Exercising Professional Judgment

23. http://www.nasfaa.org/products/monographs/Monographs.aspx Professional Judgment in Eligibility Determination And Need Analysis August 2012, Monograph Number 26 http://www.nasfaa.org/EntrancePDF.aspx?id=11073 Also:D ear Colleague Letter DCL ID: Gen-09-05 May 8, 2009 http://www.ifap.ed.gov/dpcletters/GEN0905.html

24. One Last Thing As You Go…… Exercising Professional Judgment

25. Questions, Comments, Concerns? Exercising Professional Judgment

26. P.M. Simenson Senior Manager for Administrative & Constituent Services Penn State University (pms2@psu.edu) Thanks… Exercising Professional Judgment