| DCLPublicationDate: 3/1/96 DCLID: GEN-96-9 AwardYear: Summary: Errata and replacement pages for the 1995-96 FSFA Handbook Student Financial Assistance Programs GEN-96-9 March 1996 SUMMARY: Errata and replacement pages for the 1995-96 FSFA Handbook. Dear Colleague: Enclosed are errata and replacement pages for the 1995-96 Federal Student Financial Aid Handbook. Most of the required corrections are listed in the errata sheet, but a few necessitated full replacement pages. In those cases, we have provided both sides of the page so that it may easily be inserted as a replacement in your copy of the Handbook. Only the pages marked "CORRECTION" on the bottom have changes. We hope you find the Handbook useful, and we apologize for any inconvenience these corrections may have caused. Sincerely, William J. Ryan, Director Training and Program Information Division Policy, Training and Analysis Service Student Financial Assistance Programs Enclosure ERRATA The Federal Student Financial Aid Handbook, 1995-96 CHAPTER TWO - Page 2-4 In the third paragraph, the first sentence should read: "Individuals in categories 1, 2, and 4 may receive aid at eligible schools in the United States under the SFA programs." - Page 2-4 In footnote 2, the phrase "(that is, categories 1-4 above)" should read: "(that is, categories 1, 2, and 4 above)." - Page 2-15 In the fourth paragraph, delete the phrase ", and must conform to the standards of the school's accrediting agency if the school is accredited by a nationally recognized accrediting agency that has established satisfactory progress standards." - Appendix C On the page titled "1995-96 SAR Comment Text for Matches and Hold Files," in comment 030, the area code for the Selective Service changed from 708 to 847, effective April 1995. The new phone number is 847-688-6888. CHAPTER THREE - Page 3-96 Delete the phrase "up to one week before or" in the first bullet. - Page 3-96 The last paragraph should read: "Schools should note that if a student withdraws before his or her first day of class, SFA funds may not be used to pay any portion of a student's educational costs.NO MATTER WHAT REFUND POLICY THE SCHOOL USES FOR THAT STUDENT." The last sentence should be deleted. - See attached replacement pages 3-127 and 3-132. CHAPTER FOUR - Page 4-23 After the examples, add: Note that a school with a nonterm program may take into consideration "excused absences." For example, if a school's written policy allows a student up to 50 hours of excused absences, the school may pay a student who had missed 20 of the first 450 hours at the same time it would pay a student who did not miss any hours. By "excused absences," we mean that the student will not be required to make up the 20 hours of absences to receive the degree or certificate for the program. - Page 4-25 In the formula before the last paragraph, the fraction should read: Weeks of instructional time in the fall through spring terms ----------------------------------------------------------------- Weeks of instructional time in program's definition of academic year - Page 4-29 In Step 5 summary, under Formula 2, add after the payment period calculation: OR Annual award P number of terms in the award year (for alternate calculation) - Page 4-40 Under Step 5, add after the payment period calculation: OR Annual award P number of terms in the award year (for alternate calculation) - Page 4-75 In the fourth paragraph, replace the first sentence with: Note that you may still make an interim disbursement to a student who is selected for verification (including a student selected for verification by the school rather than the CPS). - Page 4-75 In the next-to-last paragraph, delete the parenthetical sentence that begins "(Note that....." Replace it with: You must have the student's authorization in writing if you ration cash disbursements by crediting to the student's account the entire payment for the payment period and making periodic cash disbursements to the student from these funds. - Page 4-78 In the last paragraph, second sentence, after "clock -hour" add: "or nonterm credit-hour." - Page 4-80 The last paragraph should read: The difference in the treatment of a student at a clock-hour OR NONTERM CREDIT-HOUR school versus a TERM-BASED credit-hour school is that at a term-based credit-hour school, a student may be paid to repeat a course and does not necessarily have to have completed the program before he or she can be paid for that course. Generally, at a clock-hour or NONTERM CREDIT-HOUR school, the student can be paid again for clock or credit hours that he or she has already completed at that school only if he or she has completed a program and reenrolls to take that program again or another program. - Page 4-96 In the second paragraph, replace "98" with "60" in the second sentence. - Page 4-102 In the last paragraph, delete "Fill in the weeks of instructional time the student is expected to complete in all payment periods occurring in the current award year." Insert: For term-based, credit-hour programs (programs Formulas 2, 3, or 5B), enter the total number of weeks of instructional time in all payment periods in the current award year in which the student will be enrolled and paid. For programs using Formula 4, enter the number of weeks of instructional time required for most full-time students to complete the hours in the program or academic year, whichever is less. For programs using Formula 5, enter the number of weeks of instructional time for a student to complete the hours in the program or academic year, whichever is less. - Page 4-103 In the second paragraph, under "All Programs (Payment Methodology)," replace the second sentence with: Do not use the code "Other." - Page 4-105 In the first paragraph, the last sentence should read: Select "Y" for these students; leave the boxes for the state abbreviation blank. - Page 4-115 Replace the fifth paragraph with: (5D) WEEKS ENROLLED IN THIS AWARD YEAR. Leave this blank for programs using Formula 1. For programs using Formulas 2, 3, or 5B, enter the total number of weeks of instructional time in all payment periods in the current award year in which the student will be enrolled and paid. For programs using Formula 4, enter the number of weeks of instructional time required for most full-time students to complete the hours in the program or academic year, whichever is less. For programs using Formula 5, enter the number of weeks of instructional time for a student to complete the hours in the program or academic year, whichever is less. CHAPTER SIX - Page 6-107 In the second paragraph, delete the word "most" in the first sentence, so that the sentence reads "Schools that participate....." - Page 6-107 In the third paragraph, delete the phrase "If a school maintains federal funds in an investment account," so that the sentence reads "The school must maintain sufficient liquidity...." - Page 6-107 Delete the fourth paragraph beginning with the word "However," including all the bullets. - Page 6-108 Delete the first paragraph on the page. CHAPTER NINE - Page 9-54 The state name for Oregon did not print at the top of the left-hand column. - Page 9-59 The state name for Guam did not print at the top of the right-hand column. CHAPTER TEN - Page 10-13 The last bullet should read: "Have a documented completion and placement rate of 70% or above;" - Page 10-98 The last sentence of the last paragraph before the "Late Disbursement" section should read: Any credit balance remaining in a student's account after the student has dropped below half-time status, withdrawn, or left school before completing the academic program must EITHER BE GIVEN TO THE STUDENT OR RETURNED TO THE STUDENT FINANCIAL ASSISTANCE (SFA) PROGRAMS (SEE PAGE 3-92 OF THE HANDBOOK). SFA FUNDS CAN BE PAID TO THE STUDENT ONLY FOR NINSTITUTIONAL EDUCATIONAL COSTS INCURRED PRIOR TO WITHDRAWAL; OTHERWISE, THESE FUNDS MUST BE RETURNED TO THE SFA PROGRAMS. FFEL FUNDS WOULD BE returned to the lender. *[Charts from case studies 3-127, 3-128, 3-131, and 3-132 are currently unavailable on the BBS, but may be requested by contacting the Student Financial Aid Information Center at 1-800-433-3243.] |