We previously informed schools in a Feb. 12, 2024 Electronic Announcement that the closeout deadline for the 2022–23 Direct Loan Program Year is Wednesday, July 31, 2024. This is the last processing day before the end of the program year. All school data must be received and accepted by this date to be included in a school’s final ending cash balance for the year.
To be considered successfully closed out, the school must—
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Reconcile to an Ending Cash Balance of $0 and Total Net Unbooked Disbursements of $0, as reflected on your monthly School Account Statement (SAS) Report and in your school’s internal records; and
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Complete the School Balance Confirmation form on the Common Origination and Disbursement (COD) website. The School Balance Confirmation form can be completed after the school has reconciled to a $0 balance both internally and externally. Once the school has completed its final reconciliation, the school should log in to the COD website. From the School options menu, click on the Balance Confirmation link on the left-hand side of the page and follow the instructions on the School Balance Confirmation screen.
Note: A school should verify that it has selected the correct program and award year to close out from the dropdown menu.
To meet the closeout deadline, all records must be submitted to and accepted by the COD System no later than 8 p.m. Eastern time on Wednesday, July 31, 2024. After this deadline, Direct Loan records will not be accepted by the COD System and schools will no longer have Direct Loan funds available to draw down for the 2022–23 award year. In other words, the U.S. Department of Education will reduce the school’s Current Funding Level (CFL) to the greater of Net Drawdowns or Net Accepted & Posted Disbursements.
Notes:
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Though the closeout deadline is July 31, 2024, all cash management, disbursement reporting, and monthly reconciliation regulatory requirements supersede this closeout deadline. If a school is meeting these regulatory requirements, the final closeout stage should begin no later than the last award end date at the school for a given program and year. A school should be able to reconcile to a zero ending cash balance and close out soon after its final disbursements and should not wait until the closeout deadline.
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All records submitted prior to the closeout deadline must be accepted by the COD System to be included in a school's final ending cash balance for 2022–23. Also, refunds of cash transactions can take 7-9 days to process from G6 to the COD System to be included in your school’s balance. Plan accordingly to allow ample time for refunds of cash to be included in your final ending cash balance prior to the deadline.
Note: Schools should not use G6 Drawdown Adjustment transactions to move funds from one program, award year, or school to reconcile another program, award year, or school.
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Exceptions to the last processing day of the program year may be made on a case-by-case basis, if the school’s processing period extends beyond the closeout deadline. Schools falling within this category must contact the FSA Partner and School Relations Center at the number provided below for further assistance.
Note: Extended processing is not needed to submit decreases to award or disbursement amounts or any non-financial changes. If you need to submit increases to award or disbursement amounts or new award or disbursements after the data submission (closeout) deadline, you will need to request an extension to the deadline via the COD website Request Reopen/Extended Processing page. However, you should not submit a request until after you have completed reconciliation of all program records and are ready to submit increases or new award or disbursement data to the COD System.
For additional Direct Loan Closeout information for the 2022–23 program year, schools can refer to the Feb. 12, 2024 Electronic Announcement.
Contact Information
We appreciate your cooperation as we work to close out the 2022–23 Direct Loan Program Year. If schools have questions about this announcement, need assistance with closeout, or have any special processing considerations that will prevent your school from meeting the closeout deadline, contact the FSA Partner and School Relations Center at 1-800-848-0978. You may also email CODSupport@ed.gov.