Year Round Pell Grant Clock Hour Schools Deb Woodcock, Lancaster County CTC

Year Round Pell Grant Clock Hour SchoolsDeb Woodcock, Lancaster County CTC

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Year Round Pell

• If eligible, a student can receive up to 200% of a Scheduled Award within an Award Year.

• Effective for the 2009-2010 Award Year.– Implementation by schools is not optional. – Students eligible for second Scheduled Award in

2009-2010 must be paid.• Objective is to help needy student’s accelerate their

academic progress.• Final Regulations Published October 29, 2009.

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Year Round Pell - Eligibility

• First Scheduled Award (1% to 100%)– Student is Pell eligible– Enrolled at any enrollment status.– Pell awards are calculated as they were prior to the change

in law.

• Second Scheduled Award (101% to 200%)– Student is Pell eligible.– Enrolled at least half-time.– Student has received 100% of first Scheduled Award & their

next payment period(s) falls in the same award year.– Beginning with 2010-2011 Award Year the student must

demonstrate academic year acceleration.

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Year Round Pell - Eligibility

• There is no change in the way an award for a payment period is calculated – Pell formulas have not changed– Calculations by payment period are based on student’s

Scheduled Award for the Award Year.• Within an Award Year, the school continues to pay an eligible

student until reaching 200% of Scheduled Award.– A payment period may include awards from both the first

Scheduled Award and second Scheduled Award.• Clock hour programs of one academic year will never receive

more than 100% of the scheduled award. Clock hour programs of less than one academic year will still receive only the prorated award from the award year.

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Awards Received Prior to Law Change w/o Cross-over• Greater than One but less than two academic years with no

cross-over payment periods.– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Scheduled 09-10 Award – $5350– Program Start/End Date – July 5, 2009 to June 28, 2010

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Jul 5, 2009 to Nov 3, 2009 – $2675 (09-10)Pay Period 2 – (500 Hrs/16 Wks) – Nov 6, 2009 to Mar 2, 2010 – $2675 (09-10)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – Mar 5, 2010 to May 3, 2010 – $0 (09-10)Pay Period 2 – (275.5 Hrs/8 Wks) – May 6, 2010 to Jun 28, 2010– $0 (09-10)

– Payment Periods 1 & 2 did not qualify for a Pell payment because both payment periods fell in the 09-10 award year and 100% of 09-10 scheduled award had already been fully disbursed during the First Academic Year.

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Awards ReceivedAfter Change in Law w/o Cross-Over

• Greater than One but less than two academic years with no cross-over payment periods.

– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Scheduled 09-10 Award – $5350– Program Start/End Date – July 5, 2009 to June 28, 2010

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Jul 5, 2009 to Nov 3, 2009 – $2675 (09-10)Pay Period 2 – (500 Hrs/16 Wks) – Nov 6, 2009 to Mar 2, 2010 – $2675 (09-10)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – Mar 5, 2010 to May 3, 2010 – $1338 (09-10)Pay Period 2 – (275.5 Hrs/8 Wks) – May 6, 2010 to Jun 28, 2010– $1337 (09-10)

– Payment Periods 1 & 2 now qualify for a 09-10 Pell payment because both payment periods fall in the 09-10 award year and the student is now eligible to receive up to 200% of 09-10 scheduled award.

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Awards Received Prior to Change in Law w/ Cross-Over• Greater than One but less than two academic years with a

cross-over payment period.– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Scheduled 09-10 Award – $5350– Scheduled 10-11 Award – $5550

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Aug 30, 2009 to Jan 3, 2010 – $2675 (09-10)Pay Period 2 – (500 Hrs/16 Wks) – Jan 4, 2010 to Apr 17, 2010 – $2675 (09-10)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – May 1, 2010 to Jun 21, 2010 – $0 (09-10)

– Payment Period 1 did not qualify for a Pell payment because the entire payment period fell in the 09-10 award year, and 100% of 09-10 scheduled award had already been fully disbursed during the First Academic Year.

Pay Period 2 – (275.5 Hrs/8 Wks) – Jun 22, 2010 to Aug 17, 2010 – $1387 (10-11)– Payment Period 2 is a crossover payment period. Because a portion of this period falls into

the 10-11 award, the student was eligible for payment from 10-11.

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Awards Received After Change in Law w/ Cross-Over• Greater than One but less than two academic years with a

cross-over payment period.– Total Program Hours – 1551 Hours– Defined Academic Year – 1000 Hours / 32 Weeks– Scheduled 09-10 Award – $5350

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Aug 30, 2009 to Jan 3, 2010 – $2675 (09-10)Pay Period 2 – (500 Hrs/16 Wks) – Jan 4, 2010 to Apr 17, 2010 – $2675 (09-10)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – May 1, 2010 to Jun 21, 2010 – $1338 (09-10)

– (Payment Period 1 now qualifies for an additional 09-10 Pell payment because the student is eligible to receive up to 200% of their scheduled 09-10 award.

Pay Period 2 – (275.5 Hrs/8 Wks) – Jun 22, 2010 to Aug 17, 2010 – $1337 (09-10)

– (Crossover payment period – Payment Period 2 is a crossover payment period because a portion of this period falls into both the 09-10 and 10-11 award years.)

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Awards ReceivedPrior to Law Change w/ Cross-Over• Greater than Two Academic Years

– Total Program Hours – 2000 Clock Hours– Defined Academic Year – 900 Clock Hours / 26 Weeks– Scheduled 09-10 Award – $5350– Scheduled 10-11 Award – $5550

• FIRST ACADEMIC YEAR – 900 hoursPay Period 1 – (450 Hrs/13 Wks) – Aug 12, 2009 to Nov 30, 2009 – $2675 (09-10)Pay Period 2 – (450 Hrs/13 Wks) – Dec 12, 2009 to Mar 28, 2010 – $2675 (09-10)

• SECOND ACADEMIC YEAR – 900 hoursPay Period 1 – (450 Hrs/13 Wks) – Apr 12, 2010 to Jul 30, 2010 – $0 (09-10)Pay Period 2 – (450 Hrs/13 Wks) – Aug 1, 2010 to Nov 28, 2010 – $2775 (10-11)

• REMAINDER OF PROGRAM – 200 hoursPay Period 1 – (200 Hrs/6 Wks) – Dec 1, 2010 to Jan 25, 2011 – $1233 (10-11)

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Awards Received After Law Change w/ Cross-Over• Greater than Two Academic Years

– Total Program Hours – 2000 Clock Hours– Defined Academic Year – 900 Clock Hours / 26 Weeks– Scheduled 09-10 Award – $5350– Scheduled 10-11 Award – $5550

• FIRST ACADEMIC YEAR – 900 hoursPay Period 1 – (450 Hrs/13 Wks) – Aug 12, 2009 to Nov 30, 2009 – $2675 (09-10)Pay Period 2 – (450 Hrs/13 Wks) – Dec 12, 2009 to Mar 28, 2010 – $2675 (09-10)

• SECOND ACADEMIC YEAR – 900 hoursPay Period 1 – (450 Hrs/13 Wks) – Apr 12, 2010 to Jul 30, 2010 – $2675 (09-10)Pay Period 2 – (450 Hrs/13 Wks) – Aug 1, 2010 to Nov 28, 2010 – $2775 (10-11)

• REMAINDER OF PROGRAM – 200 hoursPay Period 1 – (200 Hrs/6 Wks) – Dec 1, 2010 to Jan 25, 2011 – $1233 (10-11)

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2009-2010 Cross-Over Transition

• 2009-2010 Award Year –Award is Required– Generally if you award the second Scheduled Award

from 2009-2010 (including summer 2010 cross-over) the new 2010-2011 regulations do not apply.

• 2010-2011 Award Year –Award is Required– Generally, if you award from 2010-2011 and beyond

(including summer 2010 cross-over) the new 2010-2011 regulations do apply.

• Must develop 2010 cross-over policy prior to July 1, 2010 or regulations apply.

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Cross-Over Payment Period Requirements

• Cross-Over Payment Period Policy –– Payment period that includes both June 30 and

July 1.– Must be assigned to one award year.– Must have valid SAR/ISIR for assigned year.– First and last cross-over payment periods could be

from the same award year.– May be different award year for Pell than for other

Title IV aid.

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Regulatory Requirements

Final Regulations – October 29, 2009• Effective with the 2010-11 Award Year

– Cross-Over Payment Period• If there is a cross-over payment period, the

school must award from the award year with the highest award amount for the payment period for the student.

– Acceleration –Academic Year Progression• At least one clock hour in the payment period

must be attributable to the student’s next academic year.

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Cross-Over Payment Period Requirements (2010-2011)• Must assign to the award year in which the student

receives a greater payment for the payment period -based upon information available at initial calculation.– Assume the other year is higher if there is –

• no SAR/ISIR.• a rejected ISIR with no EFC.• an ISIR selected for verification but verification not

completed.

• Student is not eligible for second scheduled award funds, regardless of which Award year is higher if –– Student is not enrolled at least half-time– Student does not meet acceleration requirement.

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Cross-Over Payment Period Requirements (2010 – 2011)• Changes to Awards –

– Until published in Federal Register(Date unknown ??? September ???) -

• Must reassign payment period award if information is received showing a greater payment from other Award Year.

• Must compare all award information again if re-calculating for any reason.

– You may monitor and adjust after Federal Register date.

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2010 Written Cross-Over Policy

• School must have a written policy on how it will determine to which award year a student’s cross-over payment period will be assigned.

• Must develop policy prior to July 1, 2010 or the new regulations automatically apply.

• Developing a policy prior to July 1, 2010 allows for the greatest flexibility.

• Policies written prior to July 1, 10 may provide for –– Awarding all students from 2009-2010, if eligible. – Awarding all students from 2010-2011, if eligible.– Awarding on a student-by-student basis.

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Example 2010 Cross-Over Policy Established Prior to July 1, 2010• Awarding from the 09-10 award year

• Your policy may provide:– All students are awarded year round Pell from

the 09-10 award year– There will be no review of the 10-11 ISIR’s– There will (or will not) be a review of Academic

Year progression. It is the school’s decision whether or not academic year progression is evaluated.

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Example 2010 Cross-Over Policy Established Prior to July 1, 2010• Awarding from 2010-2011 Award Year

– Rules Apply, therefore your policy may provide -• The school will, for all students, pay the higher

of student’s 2009-2010 or 2010-2011 award.– If 2009-2010 award is higher there will (or

will not) be a review of Academic Year progression. It is the school’s decision whether or not academic year progression is evaluated.

– If 2010-2011 award is higher the acceleration rule is not applicable since this would not be a second Scheduled Award.

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Example 2010 Cross-Over Policy Established on of after July 1, 2010• New rules apply for both years–

– The school will, for all students, pay the higher of student’s 2009-2010 or 2010-2011 award.

• If 2009-2010 Pell award is higher, the school will review the student’s acceleration to determine 09-10 eligibility. The acceleration rule applies, regardless of school’s policy.

• If student has not progressed to next academic year, the school will award Pell from 2010-2011, if the student is eligible, since this would not be a second Scheduled Award.

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Acceleration

• Gives meaning to statutory use of term “accelerate” • Generally does not apply to clock hour programs.• At least one clock hour (or partial hour if school uses

partial hours) in the payment period when the award will be from a second Scheduled Award must be attributable to the student’s next academic year.

• Academic Year Minimum: 900 Hours / 26 Weeks• Not “grade progression”.• Must be applied for any required recalculation.

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Acceleration

Clock Hours Not Applicable• When determining if student completed an academic

year, you may not count hours earned through -– Advanced Placement– International Baccalaureate– Testing out– Life experience– Other similar competency measures

• Remedial credit hours DO count

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Acceleration

• Required beginning with the 2010-2011 award year, however, it can be implemented beginning with the 09-10 award year.– Cross-over period payment awarded from

upcoming year does not require counting hours because payment will be from first Scheduled Award.

– Hours earned in the 2010 cross-over payment period count toward acceleration later in 2010-11 Award Year

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Special Circumstances

• Academic Year completion requirement can be waived if –– FAA determines that student was unable to

complete the hours of the academic year due to “circumstances beyond the student’s control”.

– Determination must be documented and made on a student-by-student basis.

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• Special Circumstances beyond a student’s control -– May include, but are not limited to –

• Student withdrawing from classes due to illness

• Student being unable to register for classes necessary to complete his or her eligible program because those classes were not offered.

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• Special Circumstances beyond a student’s control does not include-– Withdrawing to avoid a particular grade or

failing to register for a necessary class that was offered during the period to avoid a particular instructor.

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Packaging with Cross-Over Payment Periods• You may use a different Award Year for Pell than for

other Title IV aid.– For Pell you must use the Award Year from which

the payment will be made for –• EFC• COA• COD reporting

– EFC and COA for all other Title IV programs can be from the other year, but must be the same for those programs.

– Amount of Pell is EFA for other aid.

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Packaging with Cross-Over

PACKAGING EXAMPLE 1 – Second Payment Period Cross-Over (Pell as 09-10 Trailer).

• Greater than One but less than two academic years with a cross-over payment period.

– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Cost of Attendance – $17,500– Scheduled 09-10 Award – EFC=500 – Award = $4900– Scheduled 10-11 Award – EFC=0 – Award = $5550

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Jan 3, 2010 to Apr 28, 2010 – $2450 (09-10)

Pay Period 2 – (500 Hrs/16 Wks) – May 4, 2010 to Aug 17, 2010 – $2450 (09-10)• REMAINDER OF PROGRAM – 551 hours

Pay Period 1 – (275.5 Hrs/8 Wks) – Sep 1, 2010 to Oct 21, 2010 – $1388 (10-11)

Pay Period 2 – (275.5 Hrs/8 Wks) – Nov 2, 2010 to Dec 19, 2010 – $1387 (10-11)

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Packaging with Cross-Over Payment PeriodsPACKAGING EXAMPLE 1 – Second Payment Period

Cross-Over (Pell as 09-10 Trailer).

Description Amount COA $17,500- EFC (09-10) _ 500

= NEED $17,000

- Pell 09-10 $2,450

- Pell 09-10 C/O _ $2,450

= Remaining Need $12,100

- Sub Loan $3,500- FSEOG $450- FWS $1,000

For All other Title IV Aid, the school uses 2009-2010 EFC of 500

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PACKAGING EXAMPLE 2 – Second Payment Period Cross-Over (Pell as 10-11 Header).



• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Jan 3, 2010 to Apr 28, 2010 – $2450 (09-10)

Pay Period 2 – (500 Hrs/16 Wks) – May 4, 2010 to Aug 17, 2010 – $2775 (10-11)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – Sep 1, 2010 to Oct 21, 2010 – $1388 (10-11)

Pay Period 2 – (275.5 Hrs/8 Wks) – Nov 2, 2010 to Dec 19, 2010 – $1387 (10-11)

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Packaging with Cross-Over Payment PeriodsPACKAGING EXAMPLE 2 – Second Payment Period

Cross-Over (Pell as 10-11 Header).

Description Amount COA $17,500- EFC (09-10) . 500

= NEED $17,000

- Pell 09-10 $2,450

- Pell 10-11 C/O . $2,775




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PACKAGING EXAMPLE 3 – First Payment Period Cross-Over (Pell as 09-10 Trailer).



• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – May 4, 2010 to Aug 17, 2010 – $2450 (09-10)Pay Period 2 – (500 Hrs/16 Wks) – Sep 1, 2010 to Dec 20, 2010 – $2775 (10-11)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – Jan 3, 2011 to Feb 26, 2011 – $1388 (10-11)

Pay Period 2 – (275.5 Hrs/8 Wks) – Mar 3, 2011 to Apr 28, 2011 – $1387 (10-11)

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Packaging with Cross-Over Payment Periods

PACKAGING EXAMPLE 3 – First Payment Period Cross-Over (Pell as 09-10 Trailer).


= NEED $17,500

- Pell 09-10 C/O $2,450

- Pell 10-11 . $2,775




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PACKAGING EXAMPLE 4 – First Payment Period Cross-Over (Pell as 10-11 Header).


– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Cost of Attendance – $17,500– Scheduled 10-11 Award – EFC=0 – Award = $5550

• FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – May 4, 2010 to Aug 17, 2010 – $2775 (10-11)Pay Period 2 – (500 Hrs/16 Wks) – Sep 1, 2010 to Dec 20, 2010 – $2775 (10-11)

• REMAINDER OF PROGRAM – 551 hoursPay Period 1 – (275.5 Hrs/8 Wks) – Jan 3, 2011 to Feb 26, 2011 – $1388 (10-11)

Pay Period 2 – (275.5 Hrs/8 Wks) – Mar 3, 2011 to Apr 28, 2011 – $1387 (10-11)

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Packaging with Cross-Over Payment Periods

PACKAGING EXAMPLE 4 – First Payment Period Cross-Over (Pell as 10-11 Header).


= NEED $17,500

- Pell 10-11 C/O $2,775

- Pell 10-11 . $2,775




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Transfers

• If student received 100% of the first Scheduled Award at prior school(s), assume the student completed the complete academic year.

• If student received less than 100%, use same ratio to the receiving school’s academic year as the % of the Scheduled Award that was received from the other school(s) to determine hours completed. Round up. (Ratio calculation on next slide)

• Receiving school may use actual hours earned at prior school(s).– Clock hours do not have to transfer to new school– Clock hours need not be related to academic program

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Transfer Ratio Calculation

• Assume student completed the same ratio of the academic year as the % of Pell received– Prior school disbursed $1,645 of $5,350– Your school’s academic year is defined as 900

clock hours/26 weeks– $1,645 X 900 / $5,350 = 276.73 clock hours

completed at prior school (Round up)– Assume student completed 277 clock hours of

academic year.• Record assumed number of clock hours completed

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Academic ProgressionWhen a student changes schools during the 09-10 award year after receipt of a Pell, clock hours must be assumed in order to determine eligibility for a second scheduled award.•School A Hours completed per assumption ratio = 277 hrs

Pell received = $1645

•School B -- Greater than One but less than two academic years– Total Program Hours – 1551 Clock Hours– Defined Academic Year – 1000 Clock Hours / 32 Weeks– Scheduled 09-10 Award – EFC=0 – Award = $5350

•FIRST ACADEMIC YEAR – 1000 hoursPay Period 1 – (500 Hrs/16 Wks) – Sep 1, 2009 to Dec 20, 2009 – $2675 (09-10)

***Pay Period 2 – (500 Hrs/16 Wks) – Jan 3, 2010 to Apr 28, 2010 – $2675 (09-10)•REMAINDER OF PROGRAM – 551 hours

Pay Period 1 – (275.5 Hrs/8 Wks) – May 3, 2010 to Jun 20, 2010 – $1388 (09-10)

Pay Period 2 – (275.5 Hrs/8 Wks) – Jun 23, 2010 to Aug 17, 2010 – $1387 (09-10)

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Academic Progression

• 09-10 Pell AwardSchool Scheduled

Award% of Scheduled Award

Pell Payment

Clock Hours completed

Cumulative Hours

A 1st 30.7% $1645 277 277

B – PP1Acad yr1

1st 50% $2675 500 777

B – PP2Acad yr 1

1st

2nd19.3%30.7%

$1030$1645

500 1277

B – PP1 – PP2Acad yr 2

2nd

2nd25%25%

$1338$1337

275.5275.5

1552.51828

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Cross-Over Pell Reporting

• If Pell disbursements must change Award Years due to the requirement to pay largest payment then:– COD

• Cancel disbursement from the incorrect year and re-originate and enter actual disbursement amount under the correct award year.

– G-5• Business Office will do a draw down adjustment

reassigning the Pell disbursement to the correct Award Year and draw down any additional Pell funds from the proper Award Year if necessary

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Cross-Over Pell Reporting

• If Pell disbursements must change Award Years due to requirement to pay largest payment then:– G5

• LATEST WORD: Department is trying to allow schools to be able draw upcoming year Pell funds earlier than July 1.

– FISAP• Report Pell disbursement on the FISAP for the

Award Year from which Pell was paid.– If FISAP already filed, adjustments made during

Fall edit/correction process (by December 15).

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COD Reporting

• There is a new new field in the COD Common Record called Additional Eligibility Indicator (AEI).

• When awarding funds from the student’s second Scheduled Award, set AEI to “true”.

• When the AEI field is set to “true”, no POP MRR is triggered, but it still triggers the concurrent enrollment flag.

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Thank you for your participation!

Deb WoodcockDirector of Financial AidLancaster County CTCPhone: (717) 464-7054

E-mail: [email protected]

Documents

Year Round Pell Grant Clock Hour Schools Deb Woodcock, Lancaster County CTC