| AwardYear: 1996-1997 ChapterNumber: 3 ChapterTitle: Completing the Verification Process Section: Verification Status Codes PageNumber: [Reporting verification status]] When you disburse a Federal Pell Grant award, you must report the student's verification status when you report the payment to ED. Proper reporting shows that the verification procedures have been followed and allows ED to gather information on the impact and effectiveness of the verification requirements. The codes for reporting verification status are discussed in detail below. NOTE THAT THIS REPORTING REQUIREMENT APPLIES EVEN IF THE STUDENT'S APPLICATION WAS NOT SELECTED FOR VERIFICATION. N--Not Selected by the CPS The CPS did not select the applicant, and you did not verify any items. (If verification wasn't required, but you verified some of the student's information anyway, you would not use the "N" code. Instead, you would use one of the other codes, as appropriate.) A--Accurate The application was verified and was accurate. You paid on that data. W--Without Documentation Verification is required, but the applicant has not yet completed the process. A first disbursement has been made. Verification MUST be completed before the next disbursement may be made. When you make that disbursement, you must enter a different verification code on that student's next document/record to reflect the verification status under which the student was finally awarded. [[Award canceled if "W" code remains at the end of processing]] If a student's Federal Pell data record still shows a "W" code after the Pell verification deadline has passed, that student's award eligibility will be dropped, or "zeroed out," from the Federal Pell payment system. The school will not receive Pell funds for the student and must repay any funds already disbursed in accordance with the overpayment procedures detailed in Chapter Five. T--Tolerance [[Use the "T" code when tolerance or exclusion applies]] The application was verified and found to be incorrect. However, the discrepancy was within the tolerance, and the student was paid based on the uncorrected application data. (See the "Tolerance Option Instead of Correcting" section in this chapter.) This code also applies to applicants who are exempt from verification under one of the allowable exclusions. (See the "Verification Exclusions" section of Chapter One.) C--Calculated The SAR was verified and found to be incorrect. You recalculated the EFC and determined that the recalculated award would be the same or higher than the original award. You paid based on the original EFC, without requiring the SAR to be corrected and reprocessed. (If you choose to pay the higher award according to the recalculated EFC, the SAR MUST be corrected and reprocessed using an "R" code. If your calculation is wrong, you will be liable for any overpayment.) R--Reprocessed The SAR was verified and found to be incorrect; it was corrected and reprocessed for that reason. You paid the applicant based on the reprocessed SAR. If a student makes additional errors in correcting and the reprocessed SAR is still not valid for payment, you must have the student make the corrections, and the SAR must again be reprocessed. The "R" code still applies. (If the additional errors fall within the tolerance, the applicant may receive payment without the application being reprocessed again. In this case, use the "T" code.) [[Dont use "R" code for an 01 transaction]] You should also use an "R" code if the applicant voluntarily corrected the application and had it reprocessed without being required to do so. An "R" code applies only to an application that has been corrected and reprocessed. You should never use the "R" code on the output of a student's original application (also called an 01 transaction). S--Selected, Not Verified The application was selected for verification but was not verified either because you have already verified at least 30 percent of your total applications for federal student assistance or because you are participating in the QA Program (see page 2). |