Summary: Release of Campus-Based Funds and Request for Supplemental Federal Work-Study (FWS)
SUBJECT: Release of Campus-Based Funds and Request for Supplemental Federal Work-Study (FWS) Funds.
REFERENCE: This letter supplements information found in Chapters 5 through 8 of the Federal Student Financial Aid Handbook.
Dear Financial Aid Administrator:
The Campus-Based Reallocation Form is used in the Federal Supplemental Educational Opportunity Grant (FSEOG), FWS, and Federal Perkins Loan programs (the Campus-Based programs) for the following purposes:
To release 1998-1999 award year (July 1, 1998 through June 30, 1999) unexpended Campus-Based allocations.
To request supplemental FWS funds for the 1999-2000 award year (July 1, 1999 through June 30, 2000). If your institution expended at least 10 percent of its total 1998-1999 FWS federal funds to pay the federal share of earnings for students employed in community service jobs, and your institution has a fair share shortfall in its 1999-2000 final funding worksheet, your institution may qualify for a supplemental 1999-2000 FWS allocation.
In the new FISAP software you will be receiving in July 1999, you will find that the Campus-Based Reallocation Form (E-40-4P) has been incorporated into the FISAP software. Before you can access the Reallocation Form, you will need to import your prior year data record (message class FPYD01OP). This is required to populate the Reallocation Form with your school's name and identifier. The Reallocation Form can then be accessed by selecting Tools|Setup|Reallocation Form. After the form is completed, you will need to export the reallocation data from the FISAP software and then transmit the file (FREL01IN) to the Department over the Title IV WAN using EDConnect. You will receive an acknowledgment file (message class FREA01OP) in your mailbox approximately one day after the reallocation file is received by the Department of Education. This file contains a text acknowledgment message which can be viewed in EDConnect by selecting File|New View|Text File View and selecting the file FREA01OP.
Release of Unexpended Funds Section A
We plan to reallocate unexpended funds from the 1998-1999 award year as supplemental allocations for the 1999-2000 award year under the Campus-Based programs 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.
We have authority to reallocate 1998-1999 award year funds to institutions only until September 30, 1999. Rather than waiting for your institution's 1998-1999 fiscal operations report, which is not due until October 1, 1999, we ask that you provide us with advance notice of the amount of any 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 1999-2000 funds. Any unexpended 1998-1999 funds which are not released 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 by completing Section A of the Campus-Based Reallocation Form found in your FISAP software.
Request for Supplemental 1999-2000 FWS Funds Section B
Complete Section B of the Campus-Based Reallocation Form only if your institution is requesting supplemental 1999-2000 FWS funds. Under Section 442 of the HEA, we reallocate FWS funds to institutions that have a fair share shortfall and expended at least 10 percent of their total FWS allocation to pay students employed in community service jobs. In requesting supplemental 1999-2000 FWS funds, you should note that under the HEA, the reallocated FWS funds can 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 the Campus-Based Reallocation Form
The deadline for submitting the Campus-Based Reallocation Form is August 27, 1999. Please transmit the Reallocation Form data to us only if you are releasing Campus-Based funds or are requesting supplemental 1999-2000 FWS funds. You can print a copy of the completed Reallocation Form within the FISAP software to keep for your records. Please do not send in a paper copy. Instructions for completion of the Campus-Based Reallocation Form are enclosed. Also enclosed is a Reallocation Form that can be used as a worksheet prior to entry of the data in the FISAP software. 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