Summary: Release of Campus-Based Funds and Request for Supplemental Federal Work-Study (FWS) Funds.
SUBJECT: Release of Campus-Based Funds and Request for
Supplemental Federal Work-Study (FWS) Funds.
REFERENCE: This letter supplements information found in
Chapters 5-8, Federal Student Financial Aid
Dear Financial Aid Administrator:
The enclosed Campus-Based Reallocation Form (E-40-4P) is used in
the Federal Supplemental Educational Opportunity Grant, FWS, and
Federal Perkins Loan programs (the campus-based programs) for the
- To release 1996-97 award year (July 1, 1996, through
June 30, 1997) unexpended campus-based allocations.
- To inform the Department of Education of your institution's need
for supplemental FWS funds for the 1997-98 award year
(July 1, 1997, through June 30, 1998). If your institution
expended at least 10 percent of its total 1996-97 FWS federal
funds to pay students employed in community service jobs, and
your institution has a fair share shortfall in its 1997-98 final
funding worksheet, your institution may qualify for a
supplemental 1997-98 FWS allocation this fall.
RELEASE OF UNEXPENDED FUNDS - - SECTION A
We plan to reallocate unexpended funds from the 1996-97 award
year as supplemental allocations for the 1997-98 award year under
the campus- based programs. Supplemental allocations will be
issued this fall in accordance with reallocation procedures contained
in the Higher Education Act of 1965, as amended (HEA), and the
current regulations for the campus-based programs.
The Department of Education has authority to reallocate 1996-97
award year funds to institutions only until September 30, 1997.
Rather than waiting to provide this information on your institution's
1996-97 fiscal operations report, which is not due until
October 1, 1997, we ask that you provide us with advance notice of
the amount of your unexpended allocation for each of the
campus-based programs. It is important that you provide us with this
information because many institutions are in need of supplemental
1997-98 funds. Any unexpended 1996-97 funds which you do not
release at this time, cannot be reallocated and will revert to the U.S.
Treasury. Therefore, it is imperative that you advise us of any
unexpended campus-based funds now, by completing Section-A of
the enclosed Campus-Based Reallocation Form.
REQUEST FOR SUPPLEMENTAL 1997-98 FWS
Complete Section B of the enclosed Campus-Based Reallocation
Form only if your institution is requesting supplemental 1997-98
FWS funds. Under Section 442 of the HEA, the Department of
Education reallocates FWS funds to institutions that have a fair share
shortfall and expend at least 10 percent of their total FWS allocation
to pay students employed in community service jobs. In requesting
supplemental 1997-98 FWS funds, an institution should note that
under the HEA, the reallocated FWS funds must be used only to pay
students in community service jobs. The supplemental FWS funds
cannot be used for any other purpose.
DEADLINE FOR SUBMISSION OF CAMPUS-BASED
The deadline for submitting the enclosed Campus-Based
Reallocation Form is a postmark date of no later than July 11, 1997.
Please return the form containing an original signature to the address
shown on the form only if you are releasing campus-based funds or
are requesting supplemental 1997-98 FWS funds. Keep a photo
copy of the completed form for your records. Instructions for
completion of the Campus-Based Reallocation Form are enclosed.
Please coordinate the preparation of this report with your institution's
Chief Fiscal Officer.
Questions regarding the preparation of this report should be referred
to the Campus-Based Programs Financial Management Specialist who
serves your State (listing enclosed).
Michele L. Selvage, Director
Institutional Financial Management Division
Accounting and Financial Management Service
INSTRUCTIONS: CAMPUS-BASED REALLOCATION FORM
If you have expended the full amount of your 1996-97 award year
(July 1, 1996, through June 30, 1997 ) allocation of federal funds in
all three programs, you need not respond to Section A. However, you
must complete and submit Section B by July 11, 1997, if you want
to ensure consideration for supplemental FWS funds for the 1997-98
award year (July 1, 1997 through June 30, 1998).
Please retain a copy of your completed Campus-Based Reallocation
Form for your files.
Section A -- INSTITUTIONAL RELEASE OF 1996-97
UNEXPENDED ALLOCATIONS FOR THE FEDERAL
SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANT,
FEDERAL WORK-STUDY AND FEDERAL PERKINS LOAN
You MUST complete Section A if you have unexpended
If you have not expended all of your 1996-97 funds, you must
determine as accurately as possible what your unspent balance(s) will
be for each of the appropriate campus-based programs. In order to
determine whether or not you have an unexpended balance, you must
take into consideration any administrative cost allowance you wish
to claim. You must also take into consideration any 1996-97 Federal
Work-Study (FWS) funds that you carried back into the 1995-96
award year or will carry forward into the 1997-98 award year, any
1996-97 FWS funds transferred to the Federal Supplemental
Educational Opportunity Grant (FSEOG) Program, or Federal
Perkins Loan Federal funds transferred to either FSEOG or FWS.
When you submit your Fiscal Operations Report and Application to
Participate (FISAP) later this year, the amount entered as your
1996-97 adjusted allocation must equal your original allocation plus
any supplemental allocation minus the amount reported as
unexpended on the enclosed Campus-Based Reallocation Form.
Do not report cents.
Item 1 - Report the amount of your unspent FSEOG funds.
Item 2 - Report the amount of your unspent FWS funds.
Item 3 - Report the amount of your final adjusted Federal capital
contribution for the 1996-97 award year that you did not request
from the Department of Education Payment Management System
(ED/PMS) on or before June 30, 1997.
PLEASE NOTE: The 1996-97 authorization in your Department of
Education Payment Management System (ED/PMS) account will be
reduced in September by the amount of any unexpended funds you
report in the Campus-Based Reallocation Form.
Section B -- REQUEST FOR SUPPLEMENTAL FWS FUNDS FOR
THE 1997-98 AWARD YEAR
Complete Section B ONLY if your institution wishes to be
considered for supplemental 1997-98 FWS funds. Section B will be
used to determine whether your institution is eligible to receive
supplemental FWS funds for the 1997-98 award year.
Item 4 - Indicate whether your institution expended at least 10
percent of its total 1996-97 FWS federal funds to pay
students employed in community service jobs. Please
note that your response on the Campus-Based
Reallocation Form will be checked later against the FWS
community service data that your institution provides on
the Fiscal Operations Report and Application to
Item 5 - Indicate the amount of supplemental FWS funds your
institution will be able to spend for community service
jobs during the 1997-98 award year.
INSTITUTIONAL FINANCIAL MANAGEMENT DIVISION
CAMPUS-BASED PROGRAMS FINANCIAL MANAGEMENT
Mrs. C. Franklin-Jones (202) 708-9183 AL, AK, AZ, CO, CT,
alternate - Carolyn Short DE, GA, KY, RI, VT
Mrs. Rhonda Herbert (202) 708-9191 AR, DC, HI, TN, TX,
alternate - Jim Porter VA, PI, GU
Mrs. Alice Payne (202) 708-9754 CA, SC
alternate - Joseph Morris
Ms. Dinah Nelson (202) 708-8759 FL, MS, OH, PA
alternate - Vicki Roberson
Mr. Joseph Morris (202) 708-8745 ID, IL, IN, IA, KS,
alternate - Alice Payne MO
Ms. Vicki Roberson (202) 708-7747 LA, ME, MD, MA,
alternate - Dinah Nelson MI, MN, MT
Mr. Jim Porter (202) 708-7752 NC, ND, OR, SD,
alternate - Rhonda Herbert WA, WV, WI, WY
Ms. Carolyn Short (202) 708-9184 NE, NV, NH, NJ,
alternate - C. Franklin-Jones NM, NY, PR, UT, VI
Ms. Mary Hubbard (202) 708-9230 OK
alternate - Rhonda Herbert
Financial Management Specialist Fax
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.
[[ED Form E40-4P is available in Portable Document Format (PDF).
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