DCLPublicationDate: 2/1/96 DCLID: CB-96-4 AwardYear: Summary: Changes in the 1997-98 FISAP for the Federal Perkins Loan, Federal Supplemental Educational Opportunity Grant (FSEOG), and Federal Work-Study (FWS) Programs. February 1996 CB-96-4 SUMMARY: Changes in the 1997-98 FISAP for the Federal Perkins Loan, Federal Supplemental Educational Opportunity Grant (FSEOG), and Federal Work-Study (FWS) Programs. REFERENCE: The Student Financial Aid Handbook, Chapters 5, 6, 7 and 8. Dear Financial Aid Administrator: We are planning to make certain data collection changes to the 1995-96 Fiscal Operations Report/1997-98 Application to Participate (FISAP). Even though these proposed changes are still subject to the approval of the Office of Management and Budget (OMB), we are advising you of them well in advance of the distribution of the Electronic FISAP materials in July. Enclosed is a copy of the requirements for your planning purposes. Please review the following 1997-98 changes and compare them to the 1996-97 FISAP to ensure that your institution is completely updated on the proposed new data collection requirements. Part I - Identifying Information, Certifications and Warning In Section A, space has been provided below line 3 for institutions to submit OPEID# corrections. Part II - Application to Participate Sections A, B, C, D, and E No changes. Part III - Federal Perkins Loan Program Report Sections A, B, and C No changes. For Section D, how to determine whether or not a defaulted Federal Perkins loan must be counted in a school's cohort default rate has been changed. The status of the loan on June 30 can not be used to exclude the loan from the cohort default rate calculation. The number of days in default (240 days or 270 days past due) is the threshold for inclusion of a loan in the cohort default rate. Once a loan has reached 240/270 days in default, that loan will be counted as a defaulted loan in the cohort default rate, even if the borrower subsequently makes payments that bring the loan current or reduce the past-due status to less than 240/270 days. In such cases, the status of the loan on June 30, which now might be either current or a lesser number of days past due, will not exclude this loan from the cohort default rate calculation. Once a loan reaches 240/270 days in default, paying the loan in full will not exclude the loan from the cohort default rate calculation. An exception to the 240/270-day threshold will be granted in cases where a borrower would have qualified for a deferment for a period beginning prior to the loan hitting the 240/270-day threshold, and the borrower failed to file a request for the deferment in a timely manner. For such a borrower, the loan's past-due status would be adjusted to reflect the deferment period beginning date. Once the 240/270-day threshold has been met, the borrower must make satisfactory arrangements to repay the loan (sign a new repayment agreement and make 6 consecutive monthly payments) before the defaulted loan can be excluded from the cohort default rate. Part IV - Federal Supplemental Educational Opportunity Grant Program In Section C, the information reported on line 6 (Non- Federal Share of Funds to FSEOG Recipients) has been broken down into two component parts. Line 6a instructs institutions to list any amount of non-Federal share that was a cash outlay contributed by the institution. Line 6b asks institutions to indicate the amount of non-Federal share contributed from other institutional resources including institutional grants and scholarships, state scholarships or foundation, or other charitable organization funds. Part V - Federal Work-Study Program Sections A, B, C, D, E, F, and G No changes. Section H - Information about FWS Community Service Activities A new Section H, containing 3 line items on FWS community service activities, has been added to the FISAP this year. These data were previously collected on the Campus-Based Reallocation Form (E40-4P), but have been transferred to the FISAP form. This change will allow your institution to report all of the FWS information in one report instead of two reports. Part VI - Program Summary Section A - Distribution of Program Recipients and Expenditures by Type of Student A new line 18 (Total Number of Students with Automatic Zero EFC) has been added to include zero EFC student data in columns A thru G because these students were not previously accounted for on the Program Summary page. If you need clarification regarding these FISAP changes, please direct any questions to your Campus-Based Programs Financial Management Specialist in Washington, D.C. A list of these representatives and their phone numbers is enclosed. Sincerely, Michele Selvage, Director Institutional Financial Management Division Campus-Based Programs Institutional Financial Management Division Financial Management Specialist Mrs. Jennifer Eades (202) 708-9184 NE, NV, NH, NJ, NM, NY, Alternate: C. Franklin-Jones PR, UT, VI Mrs. C. Franklin-Jones (202) 708-9183 AL, AK, AZ, CO, CT, DE, Alternate: Jennifer Eades GA, KY, RI, VT Mrs. Rhonda Herbert (202) 708-9191 AR, DC, HI, TN, TX, VA, PI, Alternate: Jim Porter GU Mr. Joseph Morris (202) 708-8745 ID, IL, IN, IA, KS, MO Alternate: Alice Payne Ms. Dinah Nelson (202) 708-8759 FL, MS, OH, PA Alternate: Vicki Roberson Ms. Alice Payne (202) 708-9754 CA, SC Alternate: Joseph Morris Mr. Jim Porter (202) 708-7752 NC, ND, OK, OR, SD, Alternate: Rhonda Herbert WA, WV, WI, WY Ms. Vicki Roberson (202) 708-7747 LA, ME, MD, MA, MI, Alternate: Dinah Nelson MN, MT State Representatives Fax: (202) 260-0522 If ultimately you are unable to reach your Financial Management Specialist at the above telephone number, you may call the alternate identified below the name of your Financial Management Specialist, or call (202) 708-7741. 24-HOUR COMMUNICATIONS: For 24-hour information service, call (202) 205-0045 |