PublicationDate: 7/1/95 ChapterNumber: ChapterTitle: Index SectionNumber: SectionTitle: Index PageNumbers: I1-I16 A A-128 audit, 256, 257 A-133 audit, 256, 257 Ability-to-benefit, C-4 ACA see Administrative cost allowance Academic year, 14, A-1 Accepted with assumptions, Pell Grant PPV or EPPV, A-1 Accepted without change or assumptions, Pell Grant PPV or EPPV, 209, A-1 Accepted, Pell Grant PPV or EPPV, 209 see Accepted without change or assumptions Account number, 147-148 Account numbering system, 147-156 Account payable, 158, F-3 Account receivable, 149, 157, 165, F-3 sample student account, 146 see funds receivable Accounting, 141-146 basics, F-1 to F-5 chart of accounts, 147-192, F-1 to F-3 fund accounting, 147, F-4 generally accepted accounting principles, 141 generally accepted auditing standards, 142 institutional requirements, 141-142 ledger accounts, 147-192 normal rules for debiting and crediting, F-4 to F-5 recommended procedures, 141-146 record maintenance for the financial aid office, 143-144 restricted funds, A-1, F-4 sample journal entries, F-6 to F-15 Accounting Information System (AIS), F-1 Accounting period, A-1 Accounts see Ledger accounts Accounts Receivable Management Group (ARMG), 115, 116, 265 Accounts, self-balancing, 148 Accounts, types of asset, 148-152, 155 asset reduction, 148 capital, 148-151, 153, 155-156 capital reduction, 148 cash control, 156 ED/PMS, 156, 157 expense, 148, 149, 150, 151, 155, 156 income, 148, 149, 150, 151, 154, 155, 156 liability, 148, 149, 150, 153, 155, 156 National Finance Center (NFC), 157 receivable, 157, 165 revenue, 148 Accrual basis, A-1 Accrued salaries, A-1 Accrued wages payable, FWS, 166 ACH/EFT see Automated Clearing House/Electronic Funds Transfer Acid-test ratio, 25, A-2 Acronyms, listing, Appendix B Active award, 249 Addresses and telephone numbers, ED offices, D-1 to D-11 see Technical Assistance Directory Addresses for mailing audit reports, 258 Adjusting entry, A-2 Adjusting reported expenditures see ED/PMS Adjustments, Pell Grant see Corrections Administrative capability, institutional, 27-28, A-2 Administrative cost allowance (ACA), 76-77, A-2 FISAP, 232, 235, 245-246, 279 FSEOG, 163, 239, F-8, F-9 FWS, 171-172, F-12 ledger accounts, 150, 151, 152, 154, 159, 163, 171, 182, 183 Pell Grant, 159-160, F-8 Perkins Loan, 182-183, 245, F-14 Administrative offset, A-2 Admission records, 53 Advance payment, 87-88, 89 AFMS see Financial Services Agency funds, A-2 AICPA see American Institute of Certified Public Accountants AIS see Accounting Information System Allocation, 70-71, 79-82 Allocation formulas, 70 Allocation order see Refunds Allowable charges, 106 Amending reports closed awards, 253-254 open awards, 252-253 American Institute of Certified Public Accountants (AICPA), 141 Annual fund activity report, Perkins Loan, 234-236 Appeals of audit and program review determinations, 259, 263, D-11 Application to participate in campus-based programs see FISAP Appropriation, A-3 ARB see Audit Resolution Branch ARMG see Accounts Receivable Management Group As-of-date see Reconciliation period, Direct Loan Asset account, 148 Assets, A-3 Assignment, A-3 Attestation Engagements, 256 Audit, 23, 24, 25, 26, 254-265, A-3 Audit exceptions, A-4 Audit findings see Audit exceptions and Compliance audit Audit Guide, A-4, C-7 Audit report transmittal form, 267 Audit reports see Audit exceptions see also Compliance audit, A-128 audit, and A-133 audit Audit Resolution Branch (ARB), 257, D-10, D-11 Audit trail, 65, 197, A-4 Authorization, institutional disbursing by EFT, 107, 111 legislative, A-4 Pell Grant, 204-205, 209 program level, 71, 79-82 Authorization, student/parent allowable period, 111-112 holding excess funds, 110-111 paying other charges, 106-107, 111 spending, A-4 written authorization from student or parent, 106, 107, 111-112 written notice to student or parent, 106 Authorizations for future periods see ED/PMS 272F Authorizing payments to students, 105-109 Automated Clearing House/Electronic Funds Transfer (ACH/EFT), 87-88, 94-95, 97-98, A-4 calling in requests, 95 processing requests, 95 verifying payment, 95 Automated FEDWIRE System, 5, 96-97, A-4 Automated reporting Direct Loan, 212-216 FISAP, 70, 220-222 MEERS, 250-252 NSLDS, 216-220 Pell Grant, 205-211 Automated suspension of funds, 250, A-4 Automated Voice Response (AVR), A-5 AVR see Automated Voice Response Award, A-5 Award adjustment or revision, A-5 Award authorizations see ED/PMS Award packaging see Packaging Award year, 15-16, 19-20, A-5 B Bank accounts, 99-102 designating federal funds, 101 interest-bearing, 99-100 naming, 101-102 non-interest-bearing, 100 other Title IV funds, 100 Perkins Loan funds, 99-100 separate Title IV account, 100-101 UCC-1 statement, 101-102 Bank errors, identifying and correcting, 194-195 Bank statement in the reconciliation of cash, 194-195 Batch, A-5 Pell Grant, 208-210 Billing service, A-5 Blue Book contents, 2-4 effective date, 5 format, 4 overview, 6 purpose, 1-2 Bookkeeping, 142-146, A-5 Business office, 34-36, A-5 activities, flowchart, 145 records, 34, 35, 142-143 responsibilities, 34-36, 143 Byrd, Robert C., Honors Scholarship, 13, 226, A-5 C Calculating refunds see Refunds Campus Security provisions, 40, C-2 Campus-based programs, 9, 69-84, 91-92, C-5 to C-6, D-4 to D-6, E-2 to E-4, F-8 to F-15 administrative cost allowance, 76-77 allocation of funds, 70-71 applying for funds, FISAP, 69, 70 applying to participate, 22, 70 definition, 69, A-5 to A-6 delivery system, 8-9, E-2 to E-4 deobligation of funds, 71, 117-118, A-9 disbursing funds, 105-110, E-2 to E-4 federal share of funds, 71-75, 91 FISAP, 69-70 funding process, 69-71 funds available for awards, 77-84 nonfederal share of funds, 71-73, 75 Official Notice of Funding, 71 projecting cash needs, 89-92 recordkeeping, 142-146 reporting, FISAP, 220-246 requesting funds, ED/PMS, 87-89, 94-97 transferring funds between programs, 77-78 Cancellation of a loan, A-6 Capital account, 148, 153, F-3 Capital reduction account, 148, F-5 Capitalizing interest, A-6 Carry forward/carry back, FWS, 78, A-6 Cash cash management, 86, 99 excess, 112-114, 119-120, 214 ledger accounts, 149, 150, 151, 152, 155, 156-162, 163, 172, 189, 191 reconciling, 194-197 Cash advance, A-6 see Advance payment Cash control, ledger accounts, 149, 156 Cash management December 1, 1994 regulations, 86, 123-140, 149 Cash needs see Projecting cash needs Cash on hand, 90, 115, 229 Cash pooling, A-6 Cash requests see ED/PMS, requesting funds and requesting payment Central Processing System (CPS), 18, A-6, E-1, E-2, E-3, E-4, E-5, E-7, E-10, E-12 Certification FISAP, 221, 222 of FFEL Program loans, E-5, E-7, E-9 to participate in Title IV programs, 22-23 Certified Public Accountant (CPA) see Independent public accountant CFR see Code of Federal Regulations Changes see Corrections Charges allowable, definition, 106 institutional, 51 noninstitutional, 51 unpaid, 51 Chart of accounts, 147-156, A-6, F-1 to F-5 Checks see Issuing checks Checks and balances, 192-197 clear audit trail, 197 input controls, 196-197 reconciliation of cash and federal funds, 194-195 subsidiary records reconciliation, 197 trial balance, 193-194, 197 Chief Executive Officer (CEO), 30-32 Circular A-128, C-8 Circular A-133, C-8 Clear audit trail, 65, 197 checks and balances, 192-197 in-house control documents, 65, A-18 Clock hour, 15 Closed award, 240, 253-254 Closing, A-6 to A-7 COA see Cost of attendance Code of Federal Regulations (CFR), 8, A-7, C-1 Cohort default rate, A-7 FFEL Program, 28, 260 FISAP, 237-238 institutional eligibility, 28 Perkins Loan, 228, 237-238 Collection agency, A-7 Collection costs, A-7 ledger accounts, 154, 183, 232 Commercial billing service, Perkins Loan, 236 Community service, 9-10, 74-75 Community Service Job Location and Development (CS/JLD) Program, 74-75, 152, 171, 242-244, A-19 Compliance audit, 255-260, D-10 A-128 audit, 256, 257, C-8 A-133 audit, 256, 257, C-8 annual requirement, 255 appeal process, 259 availability of records, 257 corrective action plan (CAP), 258 definition, 255-256 final determination notice, 259 findings, 258 independent auditor, 256-257 liabilities repayment, 259 new regulations, 255 report, definition, A-4 school cooperation, 257 single audit, 255, 256, 257 submitting audit report, 257-258 transmittal form, 267 Compliance with laws and regulations, 27, 33 Confidentiality of records see Family EducationRights and Privacy Act Consolidation loan, A-7 see Federal Consolidation Loan and Federal Direct Consolidation Loan Consumer information requirements, 38-40 Continuing resolution, A-7 Contra account, 156-174, 176-192, A-7 Control account, A-8 Control documents, in-house, 65 Cooperation among school offices, 30, 34, 142 with auditors and program reviewers, 257, 261 Coordination of information among school offices, 33, 34, 36-38 Corrections and adjustments Direct Loan reconciliation, 215 ED/PMS 272 Report, 252, 253 Pell Grant PPVs or EPPVs, 210 Pell Grant, prior year, 254 Corrective action, 259, A-8 Corrective action plan (CAP), 258, A-8 Correspondence courses, 50 Cost of attendance (COA), 8, 11, 12, 39, A-8 CPA (Certified Public Accountant) see Independent public accountant CPS see Central Processing System Credit, 156-174, 176-192, 227 accounting entry, F-3, F-4 Credit balances, 108-109 determining amount, 109 payment to student, 108-109 permission to hold excess funds, 110-112 time frames for paying student, 108-109 Credit hour, 14, 15 Crediting a students account, 106-107, 146 allowable charges, 106-107 notifying FFEL and Direct Loan borrowers, 106 Crediting/debiting rules, F-4 to F-5 CS/JLD see Community Service Job Location and Development Program Cumulative fiscal report, Perkins Loan, 228-234, 272 Cumulative repayment information, Perkins Loan, 236-237, 274 Current value of funds rate, 114 Current-year adjustments see Open award D Dear Colleague letters, C-2 to C-6 Debit, 156-174, 176-192, 227 accounting entry, F-3, F-4 Debiting/crediting rules, F-4 to F-5 Default, A-8 cohort default rate, 28, 228, 237-238 Defaulted loan principal, Perkins Loan FISAP, 174, 179, 188, 229, 234, 272 ledger accounts, 152, 174 Deferment of loan, A-8 Delayed disbursement, 110 Delivery, A-9 of FFEL funds, 103 Delivery system, 8 Deobligation of campus-based funds, 71, 117-118, A-9 Department of Education General Administrative Regulations (EDGAR), 251 Department of Education Payment Management System (ED/PMS), A-9 see ED/PMS Direct Consolidation Loan, 11-12, A-13 Direct deposit, 87, 97-99 Direct Deposit Sign-Up Form (SF-1199A), 94 Direct Loan see Federal Direct Loan Program Direct Loan Servicing Center, 92, 98-99, 120-122, 212-216 Direct PLUS Loan, 11, A-13, E-14 Direct Stafford/Ford Loan, subsidized, 11, A-13, E-10 to E-11 Direct Subsidized Loan see Direct Stafford/Ford Loan, subsidized Direct Unsubsidized Loan, 11, A-13 to A-14, E-12 to E-13 Disbursement, 105-106, A-9 Disbursing funds, 105-106 allowable methods, 105 credit balances, 108-109 crediting an account, 106-107 definition of disburse, 105 delayed disbursement, 110 early payment, 109-110 electronic funds transfer (EFT), 107, 111 excess funds, 108-109 issuing checks, 107-108 notifying student or parent, 106, 108 paying students or parents directly, 107 Discharge of a loan see Cancellation of a loan Disclosing student information see Family Education Rights and Privacy Act Distribution formula, A-9 Documentation clear audit trail, 65, 197 in-house control documents, 65, A-18 internal control, 192-193 Double-entry bookkeeping, A-9 Douglas Scholarship Program, 14, 226 Drawing down funds see ED/PMS, requesting funds Duplicate, Pell Grant PPV or EPPV, A-9 to A-10 E Early payment, 109-110 ED/PMS, 93-98, 246-250 accounts, 94, 116, 149, 150, 151, 154, 155, 156-157, 159, 161, 164, 167, 177, 189-190 ACH/EFT, 87-88, 94-95, 97-98, 247 adjusting reported expenditures, 252-254 advance payment, 87-88, 94, 247 authorizations for future periods, 249 award authorization, 148, 246 campus-based programs, 246 Federal Direct Loan Program, Level 1 Schools, 246 Federal Pell Grant Program, 204, 246 Federal Perkins Loan Program, 246 Federal Work-Study Program, 246 FEDWIRE see FEDWIRE funds receivable, 229 see accounts receivable journal entries, 141, 145, 148, F-6, F-7, F-8, F-9, F-10, F-12, F-13 ledger accounts see Ledger accounts payment processing, 93-98 payment request record, 98 quarterly report, A-24 Recipients Guide, 5, 86, 88, 89, 95, 97, 115, 116, 120, 247, 249, C-7 reimbursement payment, 88-89, 97, 247 reporting, 248-251 reporting expenditures, 248 requesting funds, 87-89, 92, 94-97 requesting payment, 98, 247-248 sample, 281-285 ED/PMS 272 Report, Federal Cash Transactions Report: Status of Federal Cash, 248-250, A-13 adjustments, 252 sample, 281-285 transmittal letter, 248 ED/PMS 272A, Federal Cash Transaction Report, 95, 97, 249 ED/PMS 272B, Statement of Cash Accountability, 249 ED/PMS 272F, Authorizations for Future Periods, 249 ED/PMS 272G, Inactive Documents Report, 250 EDE see Electronic Data Exchange EDExpress, 206, 212 EDGAR see Department of Education General Administrative Regulations Educational qualifications see Admission records EFC see Expected Family Contribution Effective date of this edition of The Blue Book, 5 EFT see Electronic Funds Transfer 85/15 Rule, 23 EIN see Entity Identification Number Electronic Data Exchange (EDE), 206, A-10, D-2 Electronic FISAP, 220-222, A-10 Electronic Funds Transfer (EFT), 87-88, 90, 94-95, 97-98 borrower authorization, 111 FFEL funds, 103-104 payment of Title IV funds to students, 107 time frames for requesting funds, 105 Electronic Payment Voucher (EPV), 207-211, A-10 Electronic Processed Payment Voucher (EPPV), 209-211, A-10 Electronic reporting see Automated reporting Electronic Statement of Account (ESOA), 205 Electronic Student Aid Report (ESAR), A-10 see Institutional Student Information Record Eligible institution, 22-23, A-10 Eligible student, A-10 ELO see Expanded Lending Option Emergency action, 259, 263, A-10 Employers payroll taxes payable, FWS, 166-167 Encyclopedia of Student Financial Aid, C-7 Enrolled, 109 Enrollment period, 104, 105, 108, 109, 110, 111, 118, 119, A-11 Enrollment status, 215, 218, A-11 Entrance counseling, 33, 36, 262, A-12 Entrance interview see Entrance counseling Entrance interview (for a compliance audit), A-12 Entity Identification Number (EIN), 269, 281-285 EPPV see Electronic Processed Payment Voucher EPV see Electronic Payment Voucher ESAR see Electronic Student Aid Report ESOA see Electronic Statement of Account Evaluation of financial aid program management, 42-45 Excess cash, institution, 86, 89 definition, 112, 119 Direct Loan, 119-120, 212 holding, 113, 115 liabilities, 114, 263 National Finance Center billing, 115 returning, 115 tolerances, 113 Excess funds, institution see Excess cash, institution Excess funds, student authorization to hold, 110-111 credit balances, 108-109 school requirements for holding funds, 111 Executive Summary, 4 Exit counseling, 33, 36, 216, 218-219, 262, A-12 Exit interview see Exit counseling Exit interview (for a compliance audit), A-12 Expanded Lending Option (ELO), 75, E-4 Expected Family Contribution (EFC), 8, 11, 12, 226, 244, A-12, E-1 to E-5, E-10 Expense account, 148 Expired award, 250 F FAA see Financial aid administrator FAFSA, 8, 9, 10, A-12, E-1 to E-5, E-7, E-10, E-12 see Free Application for Federal Student Aid Fair and equitable refund policy, 45 Family Education Rights and Privacy Act (FERPA), 52, 63-64 FARM see Financial Accounting and Reporting Manual for Higher Education FASB see Financial Accounting Standards Board FAT see Financial aid transcript FCC see Federal capital contribution FDDE see Floppy Disk Data Exchange Federal application processing system, 8, 18 Federal audit, 43, 255, A-13 Federal capital contribution (FCC), 75, A-13 FISAP, 223, 227, 232, 234, 235 ledger accounts, 172, 176-178 Federal cash drawdowns see ED/PMS, requesting funds Federal Cash Transactions Report: Status of Federal Cash, A-13 see ED/PMS 272 Report Federal Cash Transaction Report see ED/PMS 272A Federal (FFEL) Consolidation Loan, 12, 102, A-7 Federal Direct Consolidation Loan, 11-12, A-13 Federal Direct Loan Program, 11-12, 97-99, 212-216, A-13, D-1, E-10 to E-14 Alternative Origination (Level 3), 98-99, C-5 ledger accounts, 155, 189-191 payment for origination services (POS), 190-191 projecting cash needs, 92-93 reconciliation, 195-196, 212-215 recordkeeping, 57, 62 requesting funds, 92-93, 97-99 returning funds, 119-122 School Origination Level 1, 97-98 School Origination Level 2, 98-99 Servicing Center, 92, 98-99, 120-122, 212-216 Federal Direct PLUS Loan, 11, 212, A-13, E-10, E-14 Federal Direct Stafford/Ford Loan, subsidized, 11, A-13, E-10 to E-11 Federal Direct Unsubsidized Stafford/Ford Loan, 11, A-13 to A-14, E-10, E-12 to E-13 Federal Family Education Loan (FFEL) Program, 12-13, 102-105, 217-220, A-14, C-4, E-5 to E-9 co-payable checks, 104-105 delivering funds to borrowers, 103, 104 disbursing funds, 103 electronic funds transfer (EFT), 103-104 Federal Consolidation Loan, 12-13, 102, A-7 Federal PLUS Loan, 102-103, 217, A-14, E-9 Federal Stafford Loan, subsidized, 12, 58, 102-103, 105, A-15, E-5 to E-6 Federal Stafford Loan, unsubsidized, 12, 102-103, E-7 to E-8 individual checks, 104-105 ledger accounts, 155-156, 191-192 master check, 103-104 obtaining funds, 102-105 recordkeeping, 58-59, 62 requesting funds, 87 returning funds, 118-119 Federal fiscal year, 16 Federal law key resources, C-1 to C-8 Federal master calendar, 16-17 Federal Pell Grant Payment and Disbursement Schedules, A-14 Federal Pell Grant Program, 10-11, 204-211, A-14, C-5, D-2 to D-4, E-1 administrative cost allowance, 150, 159-160 authorization, 91, 204-205 automated reporting methods, 206, 207 ED/PMS, 204, 246 Electronic Payment Voucher, 207-211, A-10 Electronic Processed Payment Voucher, 209-211, A-10 FISAP, 225, 271 Institutional Payment Summary (IPS), 91, 208-209 IPS Batch Report, 209-211 journal entries, 145, F-7 to F-8 ledger accounts, 150, 158-160 Payment and Disbursement Schedules, A-14 payment processing, 266 Payment Vouchers, 205, 207-211 projecting cash needs, 91 recordkeeping, 54-56, 62 reporting, 204-211 requesting funds, 91 Student Payment Summary (SPS), 211 Federal Perkins Loan Program, 10, 75, A-14, E-4, F-13 to F-15 administrative cost allowance (ACA), 76, 182-183, 245-246, F-14 bank account, 99-100 commercial billing service, 236 ED/PMS, 246 Expanded Lending Option (ELO), 75, E-4 federal capital contribution (FCC) see Federal capital contribution federal share see Federal capital contribution FISAP, 223, 226-238, 272-274, 279 fund, 75, funds available for awards, 77 institutional capital contribution (ICC), 75, A-18 to A-19 interest earned on fund, 102 journal entries, F-13 to F-15 ledger accounts, 152-155, 172-189 Level of Expenditure (LOE), 75, 223, A-20 loan interest, 179-180, 183-188 nonfederal share, 75 projecting cash needs, 92 recordkeeping, 55, 59-60, 62 reporting, 226-238, 246 transferring funds to FSEOG, 77, 83 transferring funds to FWS, 77, 83 Federal PLUS Loan, 102-103, 217, A-14, E-9 Federal refund calculation, 45,47, 68 Federal Register, 8, A-14 Federal Reserve Bank (FRB), 87, 95, 96, 98, 247 Federal share, 71 FISAP, 234, 238, 239, 241, 242 FSEOG, 71-72, 239 FWS, 73-75, 242, 243 Perkins Loan see Federal capital contribution Federal Stafford Loan, subsidized, 12, 58, 102-103, A-15, E-5 to E-6 Federal Stafford Loan, unsubsidized, 12, 102-103, E-7 to E-8 Federal Student Aid Information Center, C-1, D-8 Federal Student Financial Aid Handbook, 5, A-15 Federal Supplemental Educational Opportunity Grant (FSEOG) Program, 9, A-15, E-2 administrative cost allowance (ACA), 163, 239 federal share, 71-72, 239 FISAP, 223, 238-240 funds available for awards, 238 funds transferred from FWS or Perkins Loan, 77-78, 83, 238-239 journal entries, F-8, F-9 ledger accounts, 150-151, 160-163 nonfederal share, 72-73 projecting cash needs, 91 recordkeeping, 54, 61, 62 Federal Work-Study (FWS) Program, 9-10, 73-75, A-15, E-3 administrative cost allowance (ACA), 76-77, 171-172, 246 carry forward/carry back, 78 carry forward/carry back, flowchart, 84 Community Service Job Location and Development (CS/JLD) Program, 74-75, 152, 171, 242-243, A-19, F-11 community-service employment, 9-10, 37, 74 ED/PMS, 93 estimating cash needs, 92 federal share, 37, 73-75, 91, 242, 243 FISAP, 223, 240-244 funds available for awards, 241 funds carried forward/carried back, 241 journal entries, F-9 to F-12 ledger accounts, 151-152, 163-172 nonfederal share, 73, 91, 242 recordkeeping requirements, 60 summer employment, 78, 241 transferring funds to FSEOG, 77, 83, 241 FEDWIRE, 90, 95-97, 120, 247-248, 265, A-4, A-15 Automated FEDWIRE System, 5, 96, A-4 calling in requests, 96 Fees for origination see Payment for origination services (POS) FERPA see Family Education Rights and Privacy Act FFEL see Federal Family Education Loan Program Final adjusted authorization FSEOG, 238 FWS, 241 Perkins Loan, 234 Final regulations, A-16 Financial Accounting and Reporting Manual (FARM) for Higher Education, F-1 Financial Accounting Standards Board (FASB), 141, F-4 Financial aid administrator (FAA), 8, 9, 32, 42, 44, 193, 222, 236, 257, A-2, A-23, C-5, C-6, C-7 Financial aid application and award records, 54-55 Financial aid award year see Award year Financial aid calendar see Master calendar, Fiscal activity calendar, and Sample calendars Financial aid office, 29, 32-33, 36, 143, 204, 212 activities, flowchart, 143 records, 143-144 responsibilities, 32-33 Financial aid transcript (FAT), 144, 220, 262, A-16 Financial management systems, 141-142 Financial need, 8-13, 54, 240, 243, A-16 Financial Payments Group (FPG), 87, 88, 94-97, 115, 116 Financial responsibility, institutional, 23-27, A-16 Financial Services (FS), 93-95, 246, 265 Financial statement, 23, 26, 27, 28, 147, 258, A-16, D-10, F-4 FISAP, 69, 70, 144, 145, 220-246 administrative cost allowance (ACA), 245-246, 279 application to participate, 22, 70, 222-226, 270-271 assessments and expenditures, 225-226, 271 certifications, 221-222, 269 eligible aid applicants, 226, 271 enrollment information, 224, 271 family income, 226, 244-245, 271, 278 federal share of campus-based funds, 234-235, 238, 241, 273, 275, 276 filing deadline, 70, 220 final adjusted authorization, 234, 238, 241, 273, 275, 276 FSEOG, 223, 238-240, 270, 275 funds transferred between campus-based programs, 234, 238, 241, 273, 275, 276 FWS, 223, 240-244, 276-277 FWS funds carried forward/carried back, 78, 84, 241, 276 institutional capital contribution, 232, 235, 272, 273 Job Location and Development Program, 223, 242, 276-277 nonfederal share of campus-based funds, 223, 235, 239, 242, 272-273, 275, 276 open and closed award recoveries, 240 Part I, 221-222, 269 Part II, 222-226, 270-271 Part III, 226-238, 272-274 Part IV, 238-240, 275 Part V, 240-244, 277 Part VI, 244-246, 278-279 Perkins Loan, 223, 226-238, 272-274 Perkins Loan annual fund activity, 234-236, 273 Perkins Loan cohort default rate, 237-238, 274 Perkins Loan cumulative fiscal report, 228-234, 272 Perkins Loan cumulative repayment information, 236-237, 274 prior-year recoveries, 240, 243, 249 program summary, 244-246, 278-279 request for campus-based funds, 223, 270 sample form, 269-280 state grant and scholarship awards, 225-226, 271 Fiscal activity calendar, 14 Fiscal operations, A-16 overview, 21-22 Fiscal Operations Report and Application to Participate (FISAP), A-10 see FISAP Fiscal year, 16 Floppy Disk Data Exchange (FDDE), 207, 208, A-16, D-2 For-profit institution, 25, 256 For-profit organization, 73, 242 Forbearance (on a loan), A-16 to A-17 Ford, William D., Federal Direct Loan Program see Federal Direct Loan Program Form PMS 270, A-23 Form SF-270, 97 Former program names, Federal Perkins Loan Program, 226-227 FPG see Financial Payments Group Fraud/criminal conduct, 28, 31 FRB see Federal Reserve Bank Free Application for Federal Student Aid (FAFSA), 8-10, 143, 205, A-12 to A-13 FS see Financial Services FSEOG see Federal Supplemental Educational Opportunity Grant Program Fund, A-17,F-4 Fund accounting, 147, F-4 Funds advanced to borrowers, Direct Loan ledger accounts, 190 Funds advanced to students, Perkins Loan FISAP, 229, 272 ledger accounts, 173-174 Funds receivable, 229, 272 from ED/PMS, 149, 157, F-6 ledger accounts, F-3 see Accounts receivable Funds, restricted, 147, A-1, F-1, F-4 FWS see Federal Work-Study Program G GAAP see Generally accepted accounting principles GAO see General Accounting Office GAS see Government Auditing Standards GASB see Governmental Accounting Standards Board General Accounting Office (GAO), 256-257 General Electronic Support (GES), 206, 220, A-17, C-6, D-1, D-3 General fiscal records, 53-54 General institutional records, 53 General ledger, 54, 146, F-3 General provisions regulations, 38, 52, C-2 to C-4 General student records, 52-53 Generally accepted accounting principles, (GAAP), 5, 86, 141, 255-256 GES see General Electronic Support Gift aid, 9, A-17 Glossary, Appendix A Government Auditing Standards (GAS), 256 Governmental Accounting Standards Board (GASB), 141, F-4 Grace period, 11, 12, 217, 237, 238, A-17, E-6, E-11, E-13 Grant programs, A-17 Grants paid to students FISAP, 239, 275, 278 ledger accounts, 150, 151, 159-163 Guaranty agency, 12, 264, A-17, E-5, E-7, E-9 Guaranty agency reviews, 264 H HEA see Higher Education Act of 1965, as amended Higher Education Act (HEA) of 1965, as amended, 7, 8, 22, A-17 to A-18 Higher Education Amendments of 1992, 22, 63, 74, A-18 Higher Education Technical Amendments of 1993, A-18 I ICC see Institutional capital contribution Immediate need, 90, 112, A-18 Inactive Documents Report see ED/PMS 272G Incarcerated student, A-18 Income account, 148-151, 154-156 see Revenue Account Independent audit, A-18, D-10 Independent auditor, 256-257 Independent public accountant, A-18 see Independent auditor Information mapping (margin notes), 4 In-house control documents, A-18 Input controls, 196-197 Institutions cash contribution ledger accounts, 161-162, 167-168 Institutions non-cash contribution ledger accounts, 162, 163, 168 Institutional capital contribution (ICC), 75, A-18 to A-19 FISAP, 232, 235 ledger accounts, 172, 177, 181-182 Institutional eligibility, 22-23, C-2 Institutional Guide for Financial Aid Self-Evaluation, 44, C-8 Institutional liability, A-19 Institutional matching requirements see Nonfederal share Institutional Participation Division (IPD), A-19 Institutional Payment Summary (IPS), 91, 208-209 Institutional Quality Assurance Program (IQAP), 45, A-19 Institutional records see Records Institutional refund see Refunds Institutional responsibilities, 29 business office, 34-36 financial aid office, 32-33 general, 29 network, 36-38 president/CEO, 30-32 Institutional share see Nonfederal share Institutional Student Information Record (ISIR), 56, 90, 144, 205, A-19, E-1 to E-5, E-7, E-10, E-12, E-14 Interest benefits, A-19 Interest earnings, 102 retaining interest earnings, 102 returning interest to ED, 102 Internal control, 27, 192-197 checks and balances, 192-193 clear audit trail, 197 documentation, 193 input controls, 196-197 reconciliation of cash, 194-195, A-25 reconciliation of federal funds, 193, 195, A-25 separation of functions, 192, 193 subsidiary records reconciliation, 197, A-29 trial balance, 192-194, A-30 Internal control system, 27, 35 IPD see Institutional Participation Division IPS see Institutional Payment Summary IPS Batch Report, 208-211 IQAP see Institutional Quality Assurance Program ISIR see Institutional Student Information Record Issuing checks, 107-108 checks drawn on school account, 108 FFEL checks, 107-108 FFEL master checks, 103-104, E-6, E-8, E-9 proper issuance, 108 J JLD see Job Location and Development Program Job Location and Development (JLD) Program, 74-75, 171, 223 , 242, 243, A-19 Job placement claims, 39 Journal, 146, A-19, F-2 Journal entries, 145-146, F-2 to F-3, F-5 to F-15 sample, ED/PMS, F-6 sample, FSEOG, F-8 to F-9 sample, FWS, F-9 to F-12 sample, NFC, F-6 to F-7 sample, Pell Grant, F-7 to F-8 sample, Perkins Loan, F-13 to F-15 Journal entry, memo account, 148, 151, 152, 162, 163, 168, 170, F-10 K Key Resources, Appendix C L Leave of absence (LOA), 50 Ledger, A-20, F-3 Ledger accounts, 144-192 account numbering method, 147-148 accounts receivable, F-3, F-6 chart of accounts, 147-156, A-6, F-1 to F-5 Direct Loan, 155, 189-191 ED/PMS, 149, 156-157, 159, 161, 167, 177 FFEL funds, 155-156, 191-192 FSEOG, 150-151, 160-163 funds advanced to borrowers, Direct Loan, 190 funds advanced to borrowers, Perkins Loan, 173-174 FWS, 151-152, 163-172 grants paid to students, 150, 151, 159-160, 162-163 institutions cash contributions, 151, 161-162, 167-168 institutions non-cash contribution, 151, 162, 163, 168 institutional capital contribution, 153, 172, 177-178 litigation expenses, 154, 182 National Finance Center (NFC), 149-150, 157-158 Off-campus employer contributions, 151, 165, 168-169 Peace Corps or VISTA, 153, 181, 186 Pell Grant, 150, 158-160 Perkins Loan, 152-155, 172-188 Subsidiary, F-3 Level of Expenditure (LOE), 75, 223, A-20 Liabilities see Compliance audit and Program review excess cash, 114 Liability account, 148-151, 153, 155, 156, 158 Limitation, suspension, or termination (LS&T), 25, 43, 259, 263, A-20 Litigation expenses, Perkins Loan ledger accounts, 154, 172, 173, 182 Loan, A-21 Loan collection see Commercial billing service and Litigation expenses Loan consolidation see Federal Consolidation Loan and Federal Direct Consolidation Loan Loan disclosure statement, 41, A-21 Loan principal, Perkins Loan FISAP, 228-237 ledger accounts, 174-176, F-15 Loan records, 33, 55, 57-60 LOA see Leave of absence LOE see Level of Expenditure LS&T see Limitation, suspension, or termination M Maintaining funds, 99-102 bank accounts, 99-102 interest earnings, 102 Management Information System (MIS), F-1 Manual system, Pell Grant reporting, 204-205, 207-211 Master calendar, 16-17, A-21 Master check, 103-104, E-6, E-8, E-9 borrower authorization, 104 FFEL funds, 103-104, E-6, E-8, E-9 time frames for requesting checks, 104 Matching share see Nonfederal share MEERS see Monthly Electronic Expenditure Reporting System Memo journal entry, 148, 151, 152, 162, 163, 168, 170, F-10 MIS see Management Information System Monthly Electronic Expenditure Reporting System (MEERS), 66, 250-252, A-21, C-7, D-6, D-7, D-11 N NACUBO see National Association of College and University Business Officers Naming bank accounts, 101-102 NASFAA see National Association of Student Financial Aid Administrators National Association of College and University Business Officers (NACUBO), C-7, F-1 National Association of Student Financial Aid Administrators (NASFAA), C-7, C-8 National Defense/Direct Student Loan Program see Federal Perkins Loan Program National Finance Center (NFC), 115, 116, F-6 to F-7 ledger accounts, 149-150, 157-158 National Institutes of Health (NIH), 96 National Student Loan Data System (NSLDS), 216, 217, 218, 219-220, A-21, C-3, C-5, D-11 Nationally recognized accrediting agency or association, 46, A-21 to A-22 Need analysis, 54, 66, 193, A-22 Need analysis report see Institutional Student Information Record and Student Aid Report Network of responsibilities, 36-38 NFC see National Finance Center NIH see National Institutes of Health Nonterm institutions, 15 Nonfederal audit see Compliance audit Nonfederal share, 71-75, A-22 FSEOG, 71-73, 239 FWS, 73-75, 242, 243, 244 Perkins Loan see Institutional capital contribution (ICC) Nonprofit institution, 26 Notice of Proposed Rulemaking (NPRM), A-22 NPRM see Notice of Proposed Rulemaking NSLDS see National Student Loan Data System O Off-campus employer contribution, 73 ledger accounts, 151, 165, 168-169 Office of Inspector General (OIG), 116, 255, 258, C-7, D-10 Office of Management and Budget (OMB), 86, 251 Official Notice of Funding, 71, A-22 sample, initial allocation, 79-80 sample, supplemental allocation, 81-82 OIG see Office of Inspector General OMB see Office of Management and Budget Open award, 240, 252-253 Operator-assisted mode, A-22 Overaward report, Pell Grant, 211 Overpayment, 48, 56, 252, 254, A-22 P Packaging, A-22 Paper reports, phasing out, 205, 206 PAS see Presidential Access Scholarship Payee Identification Number (PIN), 281-285 Payment and processing cycles in an award year, 15-16 Payment for Origination Services (POS), 155, 190-191 Payment period, 108, 109, 252, A-22 to A-23 Payment processing, 15-16, 206 ED/PMS, 93-99 Pell Grant, 204-211, 266 Payment Reimbursement Method, 88-89, 97, 157, A-23 Payment request record, ED/PMS, 98 Payment Voucher, Pell Grant, 205, 207, 208 PDL see Program determination letter Peace Corps or VISTA cancellation, Perkins Loan FISAP, 230 ledger accounts, 153, 181, 186 Peak enrollment period, 113 Peer evaluation, 44, A-23 Pell Grant see Federal Pell Grant Program Pell Grant Recipient and Financial Management System (PGRFMS), 204, 207-211 Period of enrollment see Enrollment period Perkins Loan see Federal Perkins Loan Program PGRFMS see Pell Grant Recipient and Financial Management System Phasing out paper reports, 205, 206 PIN see Payee Identification Number PLUS Loan, see Direct PLUS Loan and Federal PLUS Loan Policies and procedures manual, 40-42, A-23 Posting, 106, A-23, F-3 PPA see Program Participation Agreement PPV see Processed Payment Voucher Presidential Access Scholarship (PAS), 13 Principal and interest, A-23 Prior year adjustment see Closed award Prior year drawdowns, 113 Prior year recoveries, 240, 243, A-23 Private employers, FWS, 73 Pro rata refund, 46-47, 68 Processed Payment Voucher (PPV), 209-211 Program balance, 148, 157 Program determination letter (PDL), 264-265, A-24 Program of study, 52 Program Participation Agreement (PPA), 22, 94, A-24 Program review, 260-265, A-24, D-8 appeal process, 263 area of focus, 261-263 ED actions, 263 exceptions, A-24 findings, 262 purposes, 260 reasons for findings, 262 reasons for liabilities, 262-263 repayment of liabilities, 264-265 school cooperation, 261 school-selection criteria, 260 unannounced reviews, 261 Program review exceptions, A-24 Program Summary, FISAP, 244-245, 278 Program-specific records, 56-61 Projecting cash needs, 89-93 Direct Loan, 92-93 formula, 90 FSEOG, 91 FWS, 92 Pell Grant, 90-91 Perkins Loan, 92 Promissory note, 36, 59, 62, 93, 98, 212, 237, 238, A-24 Public institution, 26 Publications see Key Resources PV see Payment Voucher Q Quality control, 43, 45 Quarterly report, A-24 see ED/PMS 272 Report R RDE see Recipient Data Exchange Reauthorization, 7-8, 22-23, A-24 to A-25 Recipients Guide, ED/PMS, 5, 86, 88, 89, 95, 97, 115, 116, 120, 247 Recipient Data Exchange (RDE), 207, 208, A-25, D-2 Reconciliation bank statements, 194 cash, 194-195, A-25 Direct Loan, 144, 145, 195-196, 212-215 federal funds, 192, 195, A-25 Pell Grant, 211 subsidiary records, 197 worksheets, 200-201 Reconciliation acknowledgment file, Direct Loan, 214-215 Reconciliation file, Direct Loan, 213-214 Reconciliation period, Direct Loan, 213 Recordkeeping (accounting) activities, 142-146 business office, 34-36, 145-146 financial aid office, 32-33 Recordkeeping systems, 144 Records audit and program review, 62 automated systems, 62, 66 Family Education Rights and Privacy Act (FERPA), 52, 63-64 general student records, 52-53 institutional law enforcement unit, 63 maintenance requirements, 51-52 management procedures, 64-67 microfilm and microfiche, 62 retention requirements, 62 student master records, 66 Recoveries, prior-year, 240, 243 Reference manuals see Key Resources Refund policy, 46, A-25 see Refunds Refunds, 24, 31, 32, 33, 34, 35, 39, 40, 45-51, 53, 54, 55, 57, 58, 65, 66, 118-120, 121-122, 252, 262, A-25, C-3 allocation order, A-2 to A-3 fair and equitable refund policy, 45, A-25 federal refund calculation, 47 general principles and definitions, 46-48 leaves of absence (LOAs), 50 overpayments, 45, 48 pro rata refund, 46, 47 process, flowchart, 68 repayments, 45, 48 timely processing, A-29 withdrawal date, 49-50 Regional Inspector General for Audit (RIGA), 258, D-10 Reimbursement payment, 88-89, 97, 157 Rejected (Pell payment data), 210, A-25 Renewal FAFSA, A-26 Repayment, A-26 see Refunds Repayment of liabilities from audit or program review, 117, 264-265 Repayment policy, A-26 Repayment schedule, A-26 Repayments to federal government, 177, 232 Reporting, 22, 55-56, 117-118, 211 campus-based programs, 220-246 campus security, 40 Direct Loan, 212-216 ED/PMS, 248-250 exemptions, 45 exit counseling, 216, 218-219 FFEL, 217-219 FISAP, 220-246 institutional responsibility, 28 MEERS, 66, 250-252, A-21, D-6, D-7, D-11 NSLDS, 219-220 Pell Grant, 204-211, D-2 to D-3 PGRFMS flowchart, 266 student enrollment status, Pell, 207 Student Status Confirmation Reports (SSCRs), 215-216, 217-218, 220, A-28 to A-29 Reporting expenditures see ED/PMS Reporting periods Direct Loan reconciliation, 212-215 Pell Grant, 208-209 Request for Advance or Reimbursement (Form SF-270) see Reimbursement payment Requesting funds, 21, 87, 222, 223, 247-248, D-2, D-4 to D-5, D-6 ACH/EFT, 87, 94-95 advance payment, 87-88 campus-based programs, 87, 91-92, 94-97 Direct Loan, 92-93, 97-99 ED/PMS, 87-89, 93-97 FEDWIRE, 87, 94, 95-97 FFEL Program, 87 immediate need, 90 Pell Grant, 90-91, 266 reimbursement payment, 88-89 time frames, 104 Requesting payment see ED/PMS and Requesting funds Responsibilities see Institutional responsibilities Restricted funds, 147 Returning funds to ED, 112, 114-122 audit or program review liabilities, 117, 264-266 closed awards, 115-116 deobligation of campus-based funds, 117-118, A-9 Direct Loan funds, 119-122 excess cash, 112, 115, 120 FFEL funds, 118-119 interest earned, 112, 117 National Finance Center (NFC) billing, 115, 116 unused funds, 116 Revenue account, 145, 148, 150 see Income account RIGA see Regional Inspector General for Audit Robert C. Byrd Honors Scholarship see Byrd, Robert C., Honors Scholarship Rule, 85/15, 23, C-4 S Sample financial aid calendars, 17, 19, 20 Sample ED/PMS 272 Report, 281-285 Sample, FISAP, 269-280 Sample journal entries see Journal entries Sample student account receivable card, 146 SAP see Satisfactory academic progress SAR see Student Aid Report Satisfactory academic progress (SAP), 27, 31, 33, 39, 40, 118, 262, A-26 Self-balancing accounts, 148 Self-evaluation, 44, A-26 Self-help aid, 9, A-26 Separation of functions, 29, 32, 34, 193, A-26 to A-27 Service bureau, ED/PMS, 95 Servicing Center see Direct Loan Servicing Center SFAP see Student Financial Assistance Programs Single Audit (Act), 256 Single entry bookkeeping, A-27 Site visit, A-27 Skip tracing, A-27 SOA see Statement of Account Special allowance, A-27 SPRE see State Postsecondary Review Entity SPRP see State Postsecondary Review Program SPS see Student Payment Summary SSCR see Student Status Confirmation Report SSIG see State Student Incentive Grant Program Stafford Loan see Federal Stafford Loan State grant and scholarship awards, FISAP, 225-226, 271 State Postsecondary Review Entity (SPRE), 263-264, A-27 to A-28 State Postsecondary Review Program (SPRP), A-28 State Student Incentive Grant (SSIG) Program, 13, 226, A-28 Statement of Account (SOA), 91, 204-205, 253, A-27, D-3 Statement of Cash Accountability,see ED/PMS 272B Student account records sample, 146 Student Aid Master Record, A-28 see Student master record Student Aid Report (SAR), 56, 90, 144, 205, A-28, E-1 Student Assistance General Provisions, C-2 to C-4 see General provisions regulations Student consumer information, 38-40 Student financial aid programs, 7-14, Appendix E Student Financial Assistance Programs (SFAP), B-4 Student master record, 66 Student Payment Summary (SPS), 211, A-28, D-3 Student records, 52-53 Student Right-To-Know provisions, 39-40, C-2 Student Status Confirmation Report (SSCR), 55, 215-216, 217-218, 220, A-28 to A-29 Student wages, FWS, 9-10, 169-171 Subsidiary accounts, 146, 157, 165, 227, A-29 Subsidiary ledgers, 148, 197, F-3, F-6 Subsidiary records reconciliation, 197, A-29 Supplemental allocation, 71 Supplemental appropriation, A-29 see Supplemental allocation Supplement Educational Opportunity Grant (SEOG) see Federal Supplemental Educational Opportunity Grant (FSEOG) T T-accounts, A-29, F-3 Tape exchange see Recipient Data Exchange Technical Assistance Directory, Appendix D Telephone numbers, ED offices see Technical Assistance Directory Term-based institutions, 14-15 TFM see Treasury Financial Manual Third-party servicers, 36, 227, 255, C-3 Timely processing of refunds and repayments, A-29 Title IV of the Higher Education Act, 7-8, A-29 Title IV programs, 7, Appendix E Title IV Student Financial Aid, 7-14, 69, A-29 to A-30, Appendix C, Appendix E Transferring funds between campus-based programs, 77-78 flowchart, 83 FSEOG, 77 FWS, 77 Perkins Loan, 77 spending transferred funds, 77 Treasury Financial Manual (TFM), 114 Trial balance, 193-194, A-30, F-3 worksheet, 198-199 U UCC-1 statement, 101-102 Unexpended funds see Deobligation of campus-based funds and Returning funds to ED Unreconciled records, Direct Loan, 215 Unsubsidized Federal Stafford Loan, 12, A-30, E-5, E-7 to E-8 Users guides, A-30 Direct Loan software, C-6, D-1 ED/PMS, 249, C-7 EDE, 206, C-6 Electronic FISAP, 221, C-7 Floppy Disk Data Exchange, 206 GES, 206, C-6, D-3 MEERS, 251, C-7 Recipient Data Exchange, 206 V Verification, 40, 45, 53, 55, 144, 207, 262, A-30, C-3, C-6, E-1 W Week of instructional time, 15 William D. Ford Federal Direct Loan Program see Federal Direct Loan Program Withdrawal date, 49-50 Withholding, FWS, 151, 165, 167, F-11 Work-College Program, 69, 74 Work-Study Program see Federal Work-Study (FWS) Program Worksheets, 198-201 cash reconciliation, 200 federal funds reconciliation, 201 trial balance, 198-199 Workshops NACUBO, F-1, F-5 |