ABILITY TO BENEFIT AND FINANCIAL AID:

ADVICE FOR CAREER PATHWAY PROGRAMS

AND ADULT EDUCATION

Josh Beneze

Associate Director for Adult Education

& Workforce

Illinois Community College Board

Kim Wagner

Managing Director

Student Financial Services

Elgin Community College

Forum for Excellence

September 28, 2016

SESSION OBJECTIVES

Overview of Ability to Benefit (ATB)

What is it?

How does it work?

Qualifying Exams

Testimonial / Description from a College F.A. Administrator

Other Important Financial Aid Information

Changes to the FAFSA for 2017-2018 Academic Year

WHAT IS ABILITY TO BENEFIT (ATB)?

“Ability to Benefit” refers to a federal program administered by

the U.S. Department of Education that enables an individual

without a high school diploma or its recognized equivalent to

qualify for Title IV, HEA (Higher Education Act) funds.

“Title IV, HEA funds” refers to all forms of federal student aid

(FSA) authorized under Title IV of the Higher Education Act.

These include, but are not limited to, Pell grant, federal work

study, and federal student loans.

PELL GRANT

Students that are eligible for Title IV aid

under the ability-to-benefit regulations

are potentially eligible to receive the

entire Pell entitlement.

(changed in late 2015)

Previously, students under ATB were granted access only to a

limited Pell award, but the restrictions have been lifted.

HOW CAN A STUDENT ACCESS ATB?

In order to “unlock” access to FSA, a student must be

determined eligible.

Eligibility requires that a student must:

Not have a high school diploma or equivalent;

Be enrolled in an eligible career pathway program; and

Successfully pass or complete one of the ATB alternatives.

Students must also file a FAFSA (free application for federal

student aid).

FAFSA COMPLETION

FINANCIAL AID PROCESSING

Federal Student Financial Aid – “Title IV funds” – students

qualify if they have:

A high school diploma

The recognized equivalent of a high school diploma

Completed homeschooling at the secondary level as defined by the

state law

Completed homeschooling if the state law does not require a

homeschooled student to receive a credential for their education; or

Completed one of the ability-to-benefit alternatives, currently enrolled in

an eligible career pathway program or first enrolled in an eligible

postsecondary program prior to July 1, 2012.

Source: Federal Student Aid Handbook, Volume 1, Chapter 1

GRANDFATHERED STUDENTS

Allows a student without a high school diploma or its recognized

equivalent and who was enrolled in an eligible program within

a Title IV institution prior to July 1, 2012 to be eligible for Title IV

aid under the previous ability-to-benefit alternatives.

WHAT IS AN ELIGIBLE CAREER PATHWAY

PROGRAM?

An “eligible career pathway program” means a program that

combines rigorous and high-quality education, training, and

other services that –

1. Align with the skill needs of industries in the economy

of the State or regional economy involved;

2. Prepares an individual to be successful in any of a full

range of secondary or postsecondary education

options, including apprenticeships registered under

the Act of August 16, 1937 (commonly known as the

“National Apprenticeship Act”; 50 Stat. 664, chapter

663; 29 U.S.C. 50 et seq.);

WHAT IS AN ELIGIBLE CAREER PATHWAY

PROGRAM?

3. Includes counseling to support an individual in

achieving the individual’s education and career

goals;

4. Includes, as appropriate, education offered

concurrently with and in the same context as

workforce preparation activities and training for a

specific occupation or occupational cluster;

WHAT IS AN ELIGIBLE CAREER PATHWAY

PROGRAM?

5. Organizes education, training, and other services to

meet the particular needs of an individual in a

manner that accelerates the educational and

career advancement of the individual to the extent

practicable;

6. Enables an individual to attain a high school diploma

or its recognized equivalent, and at least one

recognized postsecondary credential; and

7. Helps an individual enter or advance within a

specific occupation or occupational cluster.

WHO DETERMINES WHETHER A PROGRAM IS AN

ELIGIBLE CAREER PATHWAY PROGRAM?

“Each institution must make its own determination of

whether a program is an eligible career pathway

program based on the statutory definition in section

484(d)(2) of the HEA, and as described in Dear

Colleague Letter GED-16-09.”

- Attachment to GEN-16-09

Institutions must document the basis for such a

determination.

WHAT DOCUMENTATION MUST BE

MAINTAINED?

Documentation that the program meets the

requirements of an eligible career pathway program.

- Including documentation that the program includes

workforce preparation activities and training for a

specific occupation or occupational cluster and is

aligned with the skill needs of the State or regional

economy.

WHAT DOCUMENTATION MUST BE MAINTAINED

(CONT.)?

For each student, the following documentation must

also be maintained:

- Evidence that the student successfully completed one

of the ATB alternatives; and

- That the student was enrolled in both the Title IV-

eligible postsecondary program component and the

component that enables an individual to attain a high

school diploma or its recognized equivalent.

ELIGIBLE CAREER PATHWAY PROGRAM

The Financial Aid office is required to maintain records of

adherence to the “eligible career pathway program” for an

ATB student.

Eligible career pathway programs must meet the Title IV

eligible program standards

Any credit hours earned by an ATB student towards

attaining a high school diploma or equivalent may not be

used in calculating financial aid eligibility.

Collaboration between the Adult Education and Financial

Aid departments are essential.

WHAT ARE THE ABILITY TO BENEFIT (ATB)

ALTERNATIVES?

Passing an independently administered, Department of

Education approved ability-to-benefit test; or

Completed at least six credit hours that are applicable

toward a degree or certificate offered by the

postsecondary institution; or

Completed a state process approved by the Secretary

of Education.

List of currently approved ability-to-benefit tests available in Volume

1, Chapter 1 of the Federal Student Aid Handbook:

(https://www.ifap.ed.gov/ifap/byAwardYear.jsp?type=fsahandboo

k&awardyear=2016-2017 )

WHAT EXAMS ARE APPROVED?

There are four new tests and two continuing tests that are

approved for use in determining eligibility for Title IV, HEA:

New Tests:

Wonderlic Basic Skills Test

(WBST)

Online and Paper-based

Spanish Wonderlic Basic

Skills Test (Spanish WBST)

Online and Paper-based

Continued Tests:

Combined English

Language Skills Assessment (CELSA)

ACCUPLACER

WHAT EXAMS ARE APPROVED?

Wonderlic Basic Skills Test (WBST)

Online and Paper-based

Verbal Forms VS-1 and VS-2

Passing Score: Verbal 200

Quantitative Forms QS-1 and QS-2

Passing Score: Quantitative 210

Spanish Wonderlic Basic Skills Test (Spanish WBST)

Online and Paper-based

Verbal Forms VS-1 and VS-2

Passing Score: Verbal 200

Quantitative Forms QS-1 and QS-2

Passing Score: Quantitative 200

WHAT EXAMS ARE APPROVED?

Combined English Language Skills Assessment (CELSA)

Forms 1 and 2

Passing Scores:

CELSA Form 1: 97

CELSA Form 2: 97

ACCUPLACER

Reading Comprehension, Sentence Skills, and Arithmetic

Passing Scores:

Reading Comprehension: 55

Sentence Skills: 60

Arithmetic: 34

WHAT EXAMS ARE NOT APPROVED?

Six previously approved tests are no longer approved for use in

determining eligibility for Title IV, HEA:

No Longer Approved:

ACT Career Programs

Assessment test (CPAt)

ACT WorkKeys

The College Board DTLS and

DTMS

ASSET: Basic Skills Test

COMPASS

COMPASS/ESL

ADDITIONAL POINTS

Remedial or developmental coursework does NOT count

toward the six (6) credit hours alternative.

Students need not be enrolled in an AE program for the

entire duration of the eligible career pathway program.

Once the student obtains a high school diploma or equivalency

certification, the student becomes Title IV aid-eligible without the need

of ATB.

NOTE: Such a completion, if the student continues on in the career pathway program, or a non-career pathway postsecondary program, will count as a successful attainment of HSE and transition into postsecondary education/training.

ADDITIONAL POINTS

A non-community college AE program may partner with an

eligible career pathway program at a Title IV-eligible

institution for students to access ATB.

This is perfect for an ICAPS partnership between a CBO/ROE/LEA and a

community college CTE program.

BEST PRACTICES

Collaboration is key! – Adult Education office and Financial

Aid

Clearly define what is an eligible career pathway program

at your institution

Understand how a student will qualify at your institution

under the ATB alternatives (e.g. administration of the

Accuplacer test)

Support the student during the process – establish clear

guidance on the multi-step process

IMPORTANT FINANCIAL AID UPDATE

FAFSA CHANGES

Two major changes to the FAFSA (Free Application for Federal

Student Aid) are taking effect for the 2017-2018 school year.

The FAFSA will be available earlier (October 1 of the

previous year instead of January 1 of the upcoming school

year).

The FAFSA will collect income information from an earlier tax

year.

FAFSA CHANGES

When a Student is Attending

College (School Year)

When a Student Can Submit a

FAFSA

Which Year’s

Income

Information is

Required

July 1, 2015 – June 30, 2016 January 1, 2015 – June 30, 2016 2014

July 1, 2016 – June 30, 2017 January 1, 2016 – June 30, 2017 2015

July 1, 2017 – June 30, 2018 October 1, 2016 – June 30, 2018 2015

July 1, 2018 – June 30, 2019 October 1, 2017 – June 30, 2019 2016

QUESTIONS?

FURTHER QUESTIONS?

CONTACT:

Josh Beneze

Associate Director

Adult Education and Workforce

Illinois Community College Board

josh.beneze@illinois.gov

28

Kim Wagner

Managing Director

Student Financial Services

Elgin Community College

kwagner@elgin.edu