AwardYear: 1998-1999 EnterChapterNo: 5 EnterChapterTitle: Campus-based Programs (Common Elements) SectionNumber: SectionTitle: Introduction PageNumbers: 1-4 The Federal Perkins Loan, Federal Supplemental Educational Opportunity Grant (FSEOG), and Federal Work-Study (FWS) programs are called "campus-based" programs because each school is responsible for administering them on its own campus. A school applies for and receives program funds directly from the U.S. Department of Education by submitting an application, the Fiscal Operations Report and Application to Participate (FISAP), each award year. (See page 5-2.) The school's financial aid administrator is responsible for ensuring that eligible students at the school receive program funds according to the provisions of the law, the regulations, the Program Participation Agreement (PPA) signed by both the Secretary of Education and the school's chief administrative officer, and other criteria the Department may establish. CAMPUS-BASED PROGRAMS Federal Perkins Loan Program (formerly National Direct Student Loan Program) Federal Work-Study (FWS) Program (includes Job Location and Development Program) Federal Supplemental Educational Opportunity Grant (FSEOG) Program This chapter covers provisions common to the Perkins Loan, FSEOG, and FWS programs. Chapters 6, 7, and 8 discuss these programs individually. [[Purpose of each program--34 CFR 673.1]] [[Work-college definition--34 CFR 675.41]] The Perkins Loan Program encourages schools to make low-interest, long-term loans to needy undergraduate and graduate students to help pay for their cost of education. The FSEOG Program encourages schools to provide grants to exceptionally needy undergraduate students to help pay for their cost of education. The FWS Program encourages the part-time employment of needy undergraduate and graduate students to help pay for their cost of education and encourages FWS recipients to participate in community service activities. A school may use part of its FWS funds for the Job Location and Development (JLD) Program to locate and develop jobs for students, including community service jobs. JLD is discussed in Chapter 7, Section 6. An eligible school that meets the regulatory definition of "work-college" may also use its FWS and/or Perkins Loan allocation to meet the cost of a Work- Colleges Program, discussed in Chapter 7. RECENT CHANGES ----------------- [[Electronic FISAP requirement, no diskettes or magnetic tape-- Federal Register, September 19, 1997]] All schools are now required to file their FISAP data through the Title IV Wide Area Network (TIV-WAN) electronic FISAP process. The Department no longer provides or accepts paper, diskette, or magnetic tape FISAP forms. PROGRAM PARTICIPATION AGREEMENT ----------------------------------- [[General Provisions--34 CFR 668]] A school that wants to participate in any SFA program must sign a PPA with the Department. The agreement must be signed by the school official legally authorized to assume, on the school's behalf, the agreement's obligations. (For more information on this agreement, see Chapter 3, Section 2.) [[Campus-based regulations--34 CFR 674.8, 675.8, and 676.8]] The agreement provides that the school must use the funds it receives for a program solely for the purposes specified in the regulations for that program and that the school must administer each program in accordance with the Higher Education Act (HEA) of 1965, as amended, and the General Provisions regulations. See Chapter 3 of this handbook for information on the General Provisions. Each of the campus-based programs has additional requirements that are part of the PPA and that are specific to the individual program; these requirements are found in the regulations for each program and in the HEA. Each program's specific requirements are discussed in the chapter for that program. APPLICATION FOR FUNDS ------------------------ To receive funds from the Department for one or more of the campus-based programs, a school must submit a FISAP each award year. All schools are required to file the FISAP data through the electronic FISAP process. The Department no longer provides or accepts paper, diskette, or magnetic tape FISAP forms. Thus, a school must use the TIV-WAN electronic FISAP transmission process through the TIV-WAN using EDExpress to be eligible to participate (request/receive a funding allocation) in the campus- based programs. [[Deadline for filing the FISAP]] Each July, the Department makes available through the TIV-WAN the electronic FISAP for schools to use in applying for funds for the subsequent award year. The information reported must be accurate and verifiable. In July 1998, the Department will distribute to schools the materials essential for preparing the 1997-98 Fiscal Operations Report and 1999-2000 Application to Participate. The deadline for transmitting the completed FISAP to the Department over the TIV- WAN is October 1, 1998. [[School with pending application to participate]] A school that has applied to participate in the campus-based programs for the first time should submit a FISAP by the deadline even if the school has not been certified to participate in the programs. The Department will calculate a funding level for the school and put the funding on "hold" status until the school has been approved to participate. See page 5-15 for information on whom to contact if you have questions about the FISAP. ALLOCATION OF FUNDS ---------------------- The Department allocates funds directly to schools according to the statutory formulas. The allocation (or authorization) for each program is the amount of funding the school is authorized to receive from the Department for an award year. This amount is based on the allocation formulas in the law as well as on the funds appropriated by Congress for the program. A school will not, however, receive an allocation that is in excess of its request. [[Notification of allocation]] The Department notifies schools of their final allocation for each campus-based program in late March each year by sending The Official Notice of Funding. [[Release of unexpended funds to the Department]] If a school does not use its total allocation of funds for SFA campus- based programs, the school must release unexpended amounts to the Department. In June each year, the Department sends schools a Dear Colleague letter advising them that they must release funds not spent by June 30 of that year and asking them to estimate the amount of funds they expect to have used by that date. Later, a school also must determine the actual amounts spent as of the end of the award year and report those amounts on the Department of Education's Central Automated Processing System (EDCAPS). [[Reduction in allocation for returning funds]] If a school returns more than 10% of its allocated funds for a given award year under any one of the three campus-based programs, the Department will reduce the school's allocation for the second succeeding award year by the dollar amount returned unless this provision is waived by the Department. For example, if the school returns more than 10% of its 1996-97 allocation, its 1998-99 allocation will be reduced by the dollar amount returned for 1996-97. [[Waiver of reduction in allocation]] The Department may waive this provision for a specific school if it finds that enforcement would be contrary to the interests of the program. The Department considers enforcement to be contrary to the interest of the program only if the school returned more than 10% of its allocation due to circumstances that are beyond the school's control and are not expected to recur. To request a waiver, a school must submit a written explanation of the circumstances along with supporting documentation. The request for a waiver for the 1998-99 award year had to be postmarked by February 13, 1998. By February 1999, the Department will issue a Dear Colleague letter explaining the process a school must use to request a waiver for the 1999-2000 award year. [[Supplemental allocation]] After schools release their unexpended allocations, the Department reallocates the funds to schools that have met the criteria for receiving a supplemental allocation. Criteria for distributing these funds for each program are established in accordance with the HEA and the campus-based program regulations. CERTIFICATIONS A SCHOOL MUST SUBMIT TO THE DEPARTMENT ------------------------------------------------------------ Included in the FISAP package the Department distributes to schools annually is the Department Form 80-0013, Certifications Regarding Lobbying; Debarment, Suspension, and Other Responsibility Matters; and Drug-Free Workplace Requirements and Standard Form LLL, Disclosure of Lobbying Activities. To participate in the campus-based programs each award year, a school's chief executive officer, or another person who has the authority to sign on behalf of the entire school, is required to complete, sign, date, and submit to the Department the above certification forms with the school's completed FISAP by the established deadline. A detailed discussion of the certification requirements is in Chapter 3, Section 2 of this handbook. |
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