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FWS Allocations, "America Reads" and Community Service

PublicationDate: 3/26/97
Summary: FWS Allocations, "America Reads" and Community Service
Author: OPE - Office of the Assistant Secretary for OPE

Posted March 26, 1997

Dear Colleague:

This is the fifth of our periodic updates about Federal Work-Study (FWS)
allocations for 1997/98, the "America Reads" challenge, and community
service. In this letter, I want to (1) describe specifically another
opportunity your institution will soon have to apply for an additional
FWS allocation, and (2) provide general information about the Job
Location and Development Program authority.


You should have received your final 1997/98 FWS allocation by the time
you read this message. In mid-April, your institution will receive a
letter inviting you to apply for an additional 1997/98 FWS allocation
under Section 442(a)(4) of the Higher Education Act of 1965, as amended.
This provision, which has never before been implemented, authorizes the
Secretary, for any year in which the FWS allocation exceeds $700 million,
to allocate 10% of the FWS appropriation above this threshold to
institutions "from which 50% or more of the Pell Grant recipients
attending such eligible institution graduate or transfer to a four-year
institution of higher education."

The U.S. Department of Education (ED) has $13 million in FWS funds to
allocate to institutions under Section 442(a)(4) of the HEA. We
anticipate that allocations will range from $15,000 to $250,000. To
demonstrate that your institution qualifies, we will ask that you
certify, using a one page form that ED will provide, that 50% or more of
the Pell Grant recipients enrolled in your institution for academic year
1990/1991 have graduated or transferred to a four-year institution of
higher education. We encourage you to begin to gather this information
now so that you will able to respond to ED by our anticipated mid-May due

We strongly encourage institutions that receive these additional funds to
use them to expand involvement in community service and to become more
involved in the "America Reads" challenge. We have been very heartened
by your institutions' response to the "America Reads" challenge and the
national effort to make reading tutors available to children in grades
pre-K through elementary. Please note that you are required to spend at
least 5% of any additional allocation that you receive on community


We have had a number of questions about the Job Location and Development
(JLD) Program authorized by the HEA. We are delighted by the number of
institutions that have expressed an interest in using their increased FWS
allocations to expand the number of off-campus positions.

Under the JLD Program, an institution may use 10% of its FWS allocation
or $50,000, whichever is less, to establish or expand a program to locate
and develop off-campus jobs, including community service jobs, for
currently-enrolled students. You are required to use JLD Program funds to
locate jobs for FWS and non-FWS students who want jobs, regardless of
need. Using JLD funds to locate jobs for FWS students only does not
satisfy this requirement. Please note that the program may not be used
to locate jobs for placement of students after they graduate.

JLD Program funds provide support for the administrative costs associated
with establishing or expanding off-campus jobs for currently-enrolled
students. These funds cannot be used to pay students whose jobs were
located or developed as part of an institution's JLD Program. You also
are required to provide an institutional share. Federal funds may be
used to cover up to 80% of the program's costs; the institution must
provide at least 20%, either in cash or in services. In addition, there
is no waiver for the institutional share under the JLD Program.

To participate in the JLD Program, an institution has only to participate
in FWS. While the 1996/97 Financial Aid Handbook directs you to contact
the Institutional Participation and Oversight Service in this office,
that step is no longer required. In completing the FISAP, you will be
directed to provide information that meets all the reporting requirements
for JLD.

We will contact you again soon with more information about the additional
allocation of FWS funds and about the Job Location and Development
Program. We trust that in the meantime this information is helpful as you
plan for 1997/98.

Respectfully submitted,

Elizabeth M. Hicks

Last Modified: 10/21/1999