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Errata

PublicationDate: 6/1/99
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ChapterTitle: Errata
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Revised as of September 1999

Errata:


1) Insert the words "Federal Perkins Loan" between "down" and "funds" in the double asterisk margin note of the left-hand column on page 4-8. (This correction falls under Section 4.4, Requesting Funds from Chapter 4, Requesting, Managing, and Returning Title IV Funds.)

2) Delete the second paragraph and the following bullet from the text on page 4-27. (This correction falls under section 4.7, Disbursing Title IV Program Funds from Chapter 4, Requesting, Managing, and Returning Title IV Funds.) Then replace these deletions with the following paragraphs and bullets:

"For schools with standard term semester, quarter, or trimester credit hours, the earliest the school may pay a student directly or credit a student's account with Title IV program funds is ten days before the first day of classes for a payment period.

For schools with non-standard term credit hours or clock hours, the earliest the school may pay a student directly or credit a student's account with Title IV program funds is the later of:

ten days before the first day of classes for a payment period; or

the date the student completed the previous payment period for which he or she received Title IV program funds."

3) Delete "page 8" and replace with "pages 3, 8, and 9" in the seventh line of the second asterisk margin note of the left hand column on page 6-31. [This correction falls under section 6.5, The Fiscal Operations Report and Application to Participate (FISAP) from Chapter 6, Title IV Reporting, NSLDS, Audit, Program Review, and Guaranty Agency Procedures]. Also, insert "for 1998-99" after "Report" and insert "for 2000-2001" after "Participate" in the eighth and tenth lines, respectively, of the same note.

4) Delete "and the Direct Loan Prgoram" in the second line after "Program" and before "for," the first paragraph under the Just-in-Time Payment Method sub-heading on page 4-11. [This correction fallsunder section 4.4, Requesting Funds, from Chapter 4, Requesting, Managing, and Returning Title IV Funds.]

5) Insert a double-asterisk footnote at the end of the second paragraph under subsection 4.10, Releasing Campus-Based Funds, on page 4-37. Then insert the following double-asterkisk note in the left-hand column of the same page so that it reads:

"**However, there is a exception to this reduction. If a school submits to ED a waiver request that shows just cause for returning the funds to ED and ED approves the request, the reduction would be waived. The reduction may be waived if ED finds that enforcing the reduction would be counter to the interests of the affected campus-based programs."

[This correction applies to Chapter 4: Requesting Managing and Returning Title IV Funds.]

6) Delete "60" and replace with "30" after "within" and before "days" in the second line of the first paragraph at the top of page 4-40. Then insert as a Reference in the left-hand column at the top of the same page: "34 CFR 668.22 (j) (4) (iii) (B)." ([This correction applies to subsection 4.11, Returning Federal Family Education Loan (FFEL) Program Funds, in Chapter 4: Requesting, Managing, and Returning Title IV Funds.]

7) Delete the following wording in the second sentence of the first paragraph under that subsection on page 6-71: " … at the ten schools with the highest loan volume through that agency, as well as at any school whose loan volume is 2 percent or more of the guaranty agency's total loan volume." Replace the deleted wording with the following text: " … at each participating school if:

the school is located in a State in which the guaranty agency is the principal guaranty agency; and

has a cohort default rate, as defined under 34 CFR 668.15, for either of the two immediately preceding fiscal years, as defined in 668.15, that exceeds 20 percent unless the school can meet one of the two following exceptions:

- the school is under a mandate from ED under 668.15 to take specific default reduction measures, or

- the school has a total dollar amount of loans entering repayment in each fiscal year, on which the default rate over 20 percent is based, that does not exceed $100,000."

In addition, on page 6-71 insert the following sentence immediately after the replaced text: "Also, guaranty agencies select schools for review, as alternative to the reviews required under this 34 CFR citation, if ED approves the agency's alternative proposed selection methodology."





Errata:


1) Delete "up to" and replace with "through" in item E of Step 1: Basic Information for the Treatment of Title IV Funds When a Student Withdraws on pages 31, 37, 39, and 41 of Session 5: Returning Title IV Funds.

2) Move the last bullet, "All Title IV aid must be disbursed by the term," between the first and second bullets in Overhead #10 on page 9 of Session 4: Disbursing Title IV Funds.

3) Delete "Except for students subject to delayed disbursement," and substitute "For schools with standard terms (semester, trimester, or quarter credit hours)," in the first line of Overhead #20 on page 22 of Session 4: Disbursing Title IV Funds. Also, insert a second paragraph that states: "Separate criteria exists for early disbursement by schools with non-standard credit hours or clock hours" in the same overhead and page.

4) Insert "unpaid" between "for" and "educational" in the first line of Overhead #23 on page 25 of Session 4: Disbursing Title IV Funds.

5) Add to the second sentence of the last paragraph on page 5 of Session 5: Returning Title IV Funds: "if they did not participate in that program in that prior award year."

6) Substitute "$5,700" for "$5,750" in Step 6 letter K on page 40 of Session 5: Returning Title IV Funds.

7) Add a fourth bullet at the bottom of Overhead #2 on page 3 of Session 2: Appplying for Campus-Based Funds. The fourth bullet is: "the school is liquidating its Federal Perkins Loan Fund."