AwardYear: 1997-1998 EnterChapterNo: 8 EnterChapterTitle: Federal Supplemental Educational Opportunity Grant Program SectionNumber: SectionTitle: Introduction PageNumbers: 1-2 [[34 CFR 673.1]] The purpose of the Federal Supplemental Educational Opportunity Grant (FSEOG) Program is to encourage schools to provide grants to exceptionally needy undergraduate students to help pay for their postsecondary education. This provision is in Section 413C(c)(2) of the Higher Education Act of 1965, as amended. Giving priority to applicants with exceptional financial need, schools selecting FSEOG recipients must use the selection criteria discussed in Section 1 of this chapter. RECENT CHANGES TO THE FSEOG PROGRAM [[NEW]] [[New Part 673 of 34 CFR]] Part 673 has been added to the regulations as "Part 673--General Provisions for the Federal Perkins Loan Program, Federal Work- Study Program, and Federal Supplemental Educational Opportunity Grant Program," published in the Federal Register (Part IV) on November 27, 1996. Part 673 consolidates common provisions of the campus-based programs (formerly found in Parts 674, 675, and 676), and eliminates duplicate provisions for each program. The regulations, which are effective July 1, 1997, are discussed in the Introduction to Chapter 5. [[Cash management regulations]] Requirements for maintaining and accounting for Student Financial Assistance (SFA) program funds are included in regulations published in the Federal Register November 29, 1996 and become effective July 1, 1997. The new cash management requirements that apply specifically to the campus-based programs are discussed in Chapter 5, Section 3. The new provisions that apply to all SFA programs are discussed in detail in Chapter 3, Section 3. Section 3 of this chapter also provides information on fiscal procedures and records. [[Recordkeeping requirements: 34 CFR 668.24 & 34 CFR 676.19]] The late disbursement provision of the new cash management regulations applies specifically to the FSEOG Program and the Federal Perkins Loan Program. Regulations regarding late disbursements of an FSEOG were removed from 34 CFR 676.16(e), and revised regulations for late disbursements of FSEOGs and Federal Perkins Loans are now in 34 CFR 668.164(g). A school may make a late disbursement of a Perkins Loan and/or an FSEOG to an ineligible student if the student became ineligible solely because the student is no longer enrolled at the school for the award year. Before the student dropped out, the school must have received a Student Aid Report (SAR) or Institutional Student Information Record (ISIR) for the student with an official Expected Family Contribution (EFC) and must have awarded the student the Perkins Loan or FSEOG. The school may make that late disbursement only if the funds are used to pay for educational costs that the school determines the student incurred for the period in which the student was enrolled and eligible, and the school must make the late disbursement no later than 90 days after the date the student became ineligible because he or she was no longer enrolled. New recordkeeping requirements for all SFA programs were published in the Federal Register November 27, 1996 and become effective July 1, 1997. These regulations specify the length of time records must be kept and the formats in which they must be kept. These new requirements as they apply in general to all SFA programs are discussed in Chapter 3, Section 7. For information on how these requirements apply specifically to the campus-based programs, see Chapter 5, Section 3. |