UPDATING PERKINS CASH ON HAND

If your school participates in the Federal Perkins Loan Program you need to update your 2017-2018 FISAP. Beginning on October 26, 2018, all schools that participate in the Federal Perkins Loan Program must update their “Cash on hand and in depository” as of October 31, 2018. This information is reported on Part III, section A, Line 1.2 on the FISAP for 2017-18. This information must be submitted to the Department of Education by December 14, 2018.

REMINDER TO UPDATE PERKINS CASH ON HAND FOR 2017-2018 FISAP

To assist schools, FSA offers several tips:

  1. Remember to submit the updated FISAP – Simply validating and/or saving the new data entry does not result in submission to the Department. After updating and validating Line 1.2, it is imperative that schools complete the process by using the “Submit” button.
  2. Verify that changes/corrections have been received by the Department – Schools should log in to the Common Origination and Disbursement (COD) Web Site, and from the School tab, select the link for Campus-Based. Once directed to Campus-Based, select “Self-Service” then “Submission Log” to view the log and verify submission of the update.
  3. Signature not required for FISAP changes – Currently, schools are not required to re-send signature pages when changes are made to a previously submitted FISAP.

UPDATE ON SUPPLEMENTAL FUNDS DUE FOR HURRICANE RELIEF

The Hurricanes Harvey, Irma, and Maria Education Relief Act of 2017 extended certain flexibilities to schools that may impact their information reported on 2017-18 Award Year activity on the Fiscal Operations Report. The Department of Education identified schools that were impacted by the 2017 hurricanes or had students enrolled who were impacted by the hurricanes and awarded 2017–18 supplemental Federal Work-Study (FWS) and/or Federal Supplemental Educational Opportunity Grant (FSEOG) funds to all identified schools.

Any unexpended 2017-18 supplemental FWS or FSEOG funding may be carried forward and spent in 2018-19. The maximum amount that may be carried forward is up to 100% of the supplemental award, OR up to 10% of the total (original plus supplemental) allocation for the program. Any amount carried forward must be reported on the FISAP.

If a school returns more than 10% of its 2017-18 total (original plus supplemental) FWS and/or FSEOG allocation, the school will not receive a penalty to its 2019-20 FWS or FSEOG allocations. A school does not have to take any action in Part II, Section C of the FISAP to apply for a waiver of the underuse of funds- the waiver will be granted automatically to impacted schools that received supplemental funding.

Schools that received supplemental funding were not required to provide an institutional match to their 2017-18 FWS or FSEOG allocations. If this is applicable to your school, report any amount of institutional share your school did provide accurately on the FISAP.

If a school encounters Edit Errors (including but not limited to 08030, 08090, and 09060) during the FISAP validation process because of this guidance, you will have the option to log an explanation for the edit citing your status as a school that received supplemental funding. However, you may proceed to submit the FISAP with or without explanation.

2018-2019 SUPPLEMENTAL CAMPUS-BASED FUNDS

Earlier this year, schools with excess FSEOG or FWS funds deobligated their unexpended funds so that ED could reallocate them to institutions with a shortfall.
The Department of Education is getting ready to release 2018-2019 supplemental campus-based funds to eligible institutions for Federal Work-Study (FWS) and Federal Supplemental Opportunity Grant Funds (FSEOG). Schools will be notified by email by the end of September 2018, if they received supplemental Campus-Based funds. This email is typically sent to the Financial Aid Administrator identified on the most recently submitted FISAP. Keep your eye out for an email and check your Statement of Account on the COD website on or after that date to see if your school was allocated these additional funds.

FISAP DEADLINE AND RESOURCES

It’s FISAP Time.

The Fiscal Operations Report for 2017-18 and Application to Participate for 2019-20 (FISAP) is now available on the Common Origination and Disbursement (COD) Web Site.

If your school had Campus-Based expenditures for the 2017-18 Award Year and schools that wish to request funding under the Campus-Based programs for the 2019-20 Award Year are required to electronically submit a FISAP via the COD Web Site.

The deadline for the electronic submission of the FISAP is 11:59 p.m. Eastern time (ET) on October 1, 2018. Transmission must be completed by midnight.

You have lots of resources to help you with the FISAP including updated FISAP Instructions, Desk Reference and the 2019-20 Technical Reference.

It’s important to note that the e-signature option has been discontinued. Instead, hard copy of the FISAP signature page must be signed by your President or CEO and mailed to the address provided. ED is only accepting originals, so no scans or copies either, but don’t worry that the CEO title doesn’t print. It’s a known issue and ED has confirmed it will accept the signature page without the printed title.

In a recent Electronic Announcement, FSA provided some other important reminders for schools.

Any updates to the FISAP and instructions have been outlined in the July 13, 2018 Electronic Announcement.

Only disbursements made from 2017-18 funds should be reported in Part II, Section E, Field 23. If crossover payments are made from 2018–19 funds, the disbursements should be reported in next year’s FISAP (Fiscal Operations Report for 2018-19 and Application to Participate for 2020-21).

The financial aid and business office staff must coordinate efforts to reconcile and report accurately on the FISAP.

If funds are drawn from G5 that exceed the amounts reported on the FISAP, a negative balance will result, and the school will need to return funds to G5.

Example: If a school’s FWS authorized amount was $50,000 and the school reported an expended amount of $40,000 on its FISAP, the school’s award will be closed out at the expended amount of $40,000. If more than $40,000 has been drawn in G5, a negative balance for the amount over $40,000 will result and that amount must be returned.
Appropriate Administrative Cost Allowance (ACA) should be calculated and claimed (see Volume 6 of the Federal Student Aid Handbook). After December 14, 2018, schools are not permitted to make any additional claims to the ACA that were not previously reported on its FISAP.

FISAP INFO FOR PERKINS LOAN INSTITUTIONS

The Federal Perkins Loan Expired last year and the FISAP information has been updated to state that schools may no longer request a Federal Perkins Loan Level of Expenditure. Schools that advanced Federal Perkins Loans to students during 2017-18 are permitted to claim the ACA for this year. No Perkins ACA is permitted to be claimed after 2017-18.

Report the federal share of Perkins Loan Fund’s Excess Liquid Capital that your school returned to the Department in Part III, Section A, line 28 “Repayments of fund capital to federal government.”

Report the institutional share of Perkins Loan Fund’s Excess Liquid Capital that you returned to your school in Part III, Section A, line 30.2 “Distribution of excess/liquid fund capital.”

REALLOCATION AND SUPPLEMENTAL CAMPUS BASED FUNDS DEADLINE

If you’ve got leftover funds that you won’t spend from the 2017-2018 Federal Work-Study (FWS) or Federal Supplemental Educational Opportunity Grant (FSEOG), you should complete the Campus Based Reallocation Form by August 13, 2018 so that other schools can use them. The campus-based reallocation form can also be used by institutions that want to request supplemental 2018-2019 Federal Work Study Funds for employing students in community service jobs. To qualify, schools must have had an FWS fair share shortfall as shown on line 28 of the school’s 2018-2019 final funding worksheet.

The reallocation form can be found on the COD website. For more information including a sample of the form, click this electronic announcement from FSA.

2018-19 FINAL FUNDING AUTHORIZATIONS FOR THE CAMPUS-BASED PROGRAMS

The Final Authorizations for the 2018-2019 Campus-Based programs have been posted to the Department’s COD website (not eCB anymore). Awards for each Campus-Based program in which a school participates is reflected in the school’s 2018-2019 Statement of Account.

Each institution that applied for funds under the Federal Supplemental Educational Opportunity Grant (FSEOG), Federal Work-Study (FWS), and/or Federal Perkins Loan (Perkins Loan) programs for the 2018-2019 Award Year receives a tentative funding level which is based on a Base Guarantee and a Fair Share Increase. However, if the amount of unexpended 2016-2017 funds exceeds 10% of the institution’s 2016-2017 allocation and no waiver for that unexpended amount was approved, the allocation is reduced by the unexpended amount. The final funding worksheets posted on the COD website will show the information that was used in the calculation of each school’s 2018-2019 Campus-Based allocations.

The total 2018-2019 federal funds available for allocation to schools under the FWS, FSEOG, and Perkins Loan programs are as follows:

Program           Total Federal Funds Available for Allocation to Schools

FWS                  $1,130,000,000

FSEOG              $840,000,000

Perkins Loan    $0

For more information about the 2018-2019 Final Funding Authorizations read the Department’s Electronic Announcement here.

CAMPUS BASED FUNDING USER ACCESS TO COD

Federal Student Aid is transitioning business processes for the Campus-Based programs to the Common Origination and Disbursement (COD) System during March 23-25, 2018. Schools will begin using the COD System for Campus-Based business processes on March 26, 2018.

To access the system, users will need to:

  • be enrolled for the COD Online Service by a school’s (or Third-Party Servicer’s) Primary Destination Point Administrator (PDPA) via the Student Aid Internet Gateway (SAIG) Enrollment website
  • have an FSA User ID and password
  • have a valid/registered Two-Factor Authentication (TFA) token

If you’re already a eCB user and a COD user, you’ll probably get access automatically. But if you aren’t you’ll need to request access through your Primary Destination Point Administrator, get a TFA token and get a FSA User ID and password. Instructions and stuff are here.

THIS YEARS SUPPLEMENTAL FWS WILL GO TO HELP HURRICANE VICTIMS

Recently, the Hurricanes Harvey, Irma, and Maria Education Relief Act of 2017 was passed and as a result, Federal Student Aid has adjusted the reallocation process for supplemental FWS funds to assist those students impacted by the hurricanes. Normally supplemental funds are reallocated to other eligible schools but the new legislations provides supplemental FWS funds to be allocated to schools that are in the FEMA-declared disaster areas, and schools that have enrolled a significant number of students that live in the FEMA-declared disaster areas. to work with Congress on additional flexibilities for hurricane-impacted students and schools. Schools are strongly encouraged to award these funds to students impacted by the hurricanes.