Office of Student Financial Assistance June 23

Office of Student Financial Assistance | June 23 – 24, 2015 STATE FINANCIAL AID PROGRAMS 2015 -16 TRAINING WORKSHOPS

2015 -2016 PRESENTERS Clantha Mc. Curdy Senior Deputy Commissioner Robert Brun Associate Commissioner Alison Connolly Assistant Director – Student Loan Programs Oliver Mc. Ardle Senior Program Manager

2015 -2016 Workshop Agenda 8: 30 – 9: 00 Registration & Continental Breakfast 9: 00 – 9: 15 Welcome & Introductions 9: 15 – 9: 45 DHE Policies & Legislative Update / OSFA Year in Review 9: 45 – 10: 45 State Financial Aid Programs Review 10: 45 – 11: 00 Break 11: 00 – 12: 30 Financial Aid Programs Review (Continued) 12: 30 – 1: 30 Lunch 1: 30 – 3: 00 No Interest Loan Program Review

Financial Aid Programs 2015 - 2016

2015 -2016 Public College Financial Aid Programs

Public College Programs Cash Grant Program Need-base grant awarded to full or part-time students $27 million allocated in FY 2015 – level funding in FY 2016 Approximately 30, 000 assisted each year Campus allocation is formula-driven New funding model implemented in FY 2012 Model is based on a formula that considers three-year average of key factors: - Institutional enrollment - EFC = O – Pell EFC – (revised annually, as required) - EFC = Pell to 10, 000 (equivalent to median income)

Public College Programs Cash Grant Program Notification of FY 2016 Allocations sent to campuses in mid-May Funds scheduled for two equal disbursements, fall and spring (anticipated for September and January) Funds may be awarded to full and part-time students Grants may be awarded up to the cost of tuition/fees (student) Institutions are required to reconcile and submit an aggregate report to OSFA at close of each fiscal year

Public College Programs Tuition Waivers Over 26 various waivers offered annually Cost to the Commonwealth generally exceeds $50 million List of more popular waivers include the following: John & Abigail Adams Scholarship Need-Based Tuition Waiver Categorical Waivers Foster Child Tuition Waiver Adopted Child Tuition Waiver Valedictorian Waiver National Guard Waiver Paul Tsongas Tuition Scholarship Waiver Mass Transfer Tuition Waiver

Public College Programs Tuition Waivers Need-Based Waiver is the largest of all waiver programs, averaging $19 m annually FY 2016 allocation for the Need-Based Waiver is based on new funding model (identical to formula used for the Cash Grant) Expenditure level periodically increased to reflect changes in enrollment and eligibility demands Over the year, OSFA has clarified the FAFSA requirement for certain waivers via the Dear Colleague letter Institutions are required to reconcile and report all awarded waivers as part of the annual year-end data submission Year-End Financial Aid Data File will include identifier for a larger number of the waiver programs

Public College Programs John & Abigail Adams Scholarship Implemented in 2004 - with a cohort of 13, 000 students designated to receive scholarship in first year of college, starting fall 2005 Approximately 18, 000 designated annually in the last four years – which seems to have peaked Roughly 30% of students from each new class take advantage of the scholarship Award equals value of tuition only – ranging up to $1, 742 Recipient must enroll full-time Cumulative GPA of 3. 0 minimum to maintain scholarship

Public College Programs John and Abigail Adams Scholarship

Public College Programs John & Abigail Adams Scholarship BHE approved amended guidelines in March 2011 Incorporates the Science Test as a selection criteria, effective with high school graduation class of 2016 ▪ Student must achieve at least one advanced score and at least proficient on other tests, which when combined, must rank in the top 25% of all district scores to be designated as an Adams Scholar Provides up to six years for designated students to receive the eight semesters of tuition scholarship waiver ▪ Allows greater flexibility to the student ▪ Removes the “consecutive” semester enrollment requirement ▪ Allows student to enroll less than full-time or not at all, and resume eligibility upon the return to full-time status ▪ Student must continue to meet all other criteria – FAFSA Completion, GPA, etc.

Public College Programs John & Abigail Adams Scholarship Amended guidelines, cont’d Extends eligibility to students who do not initially enroll in a public college or university immediately following high school graduation ▪ Student may begin college at a non-public institution and transfer to public ▪ Must transfer with a minimum 3. 0 GPA ▪ Student may also take a “gap” year or simply delay enrollment ▪ Student is no longer eligible once the six year mark after graduation is reached Grants appeal approval to Commissioner’s “designee” ▪ All appeals for continued eligibility will be handled by OSFA ▪ Appeals granted if extenuating or unusual circumstances can be documented. Students should not be encouraged to appeal if circumstances do not meet criteria

Public College Programs John & Abigail Adams Scholarship Duplicate letters of eligibility are available from the MA Department of Elementary and Secondary Education (781) 338 -3625 OR (781) 338 -3640 Adams Appeals may be submitted to the following: Adams Scholarship Committee Massachusetts Department of Higher Education 454 Broadway, Suite 200 Revere, MA 02151 Evidence of extenuating circumstances required Must include appeal, copy of transcript and documentation to support extenuating circumstance

Public College Programs Categorical Waivers Applies to Veterans, Senior Citizens and Native Americans Recipient may possess a prior bachelor’s degree – Senior Citizens Waiver Institution must waive state-supported courses Encouraged to waive non-state supported costs Courses must be applied to an eligible certificate or degree program Requires recipient to be matriculated

2015 -2016 Financial Aid Programs

Financial Aid Programs Early Childhood Educators Scholarship Created in FY 2006 with a $1 m initial appropriation; funding grew to $4 million in FY 2008 and FY 2009 Average expenditure is approximately $3. 4 million last three fiscal years, anticipate similar funding in FY 2016 Awards cover cost of tuition, fees and some related costs for up to three courses (9 credits) per semester for an undergraduate program, where appropriate One-year minimum employment as an early educator or provider for eligibility Award values will remain unchanged in 2015 -2016, but a credit limit may be imposed

Financial Aid Programs Early Childhood Educators Scholarship Maximum award amounts Public University $500 per credit, maximum of $4, 500 per semester Private College/University $500 per credit, maximum of $4, 500 per semester State University $400 per credit, maximum of $3, 600 per semester Community College $250 per credit, maximum of $2, 250 per semester 2016 -17 Application – April 1, 2016 – June 1, 2016

Financial Aid Programs Early Childhood Educators Scholarship ECE Scholarship fully integrated into MASSAid System From OSFA website under the ECE Scholarship program or Student Portal - applicant selects: How Do I Apply? ……. and must follow prompts below: MANDATORY REQUIREMENT: If you have not already done so, please complete the 2016 -2017 Free Application for Federal Student Aid (FAFSA) MANDATORY REQUIREMENT: If you do not already have a MASSAid account you may click here to create a MASSAid Student Portal account MANDATORY REQUIREMENT: Applicants must have an EEC Professional Qualifications Registry Number to be considered for the ECE Scholarship. Applicants who do not have an EEC PQ Registry Number will need to follow this link to the PQ Registry: https: //www. eec. state. ma. us/PQRegistry/ MANDATORY REQUIREMENT: Complete your 2016 -2017 ECE Scholarship application in the MASSAid Student Portal system

Financial Aid Programs Early Childhood Educators Scholarship Institutions may complete certification and payment process online via the MASSAid system Certification opens: August 24, 2015 – Fall January 25, 2016 - Spring Similar to process used for the MASSGrant program, certification and request for payment may be controlled by institution – within dates set by OSFA Institutions should assign a contact for the ECE Scholarship program within the MASSAid system Institution can also review student award status in MASSAid

Financial Aid Programs Early Childhood Educators Scholarship

Financial Aid Programs Paraprofessional Teacher Preparation Grant Provides grants to currently employed public school paraprofessionals who wish to become certified to teach at K-12 level Recipients must meet a two-year minimum employment requirement as a paraprofessional in a Massachusetts public K-12 school Grants may be awarded to paraprofessionals with less than two years of employment if enrolled in a high-need discipline (Mathematics, Science, Foreign Language)

Financial Aid Programs Paraprofessional Teachers Preparation Grants are awarded on a per credit basis, with a maximum semester/year total determined by institution type - public or private Recipients must teach for a specified time, based on number of semesters awarded An average of 400 students participate in this program annually

Financial Aid Programs Paraprofessional Teachers Preparation Grant Maximum award amounts Public University $625 per credit, maximum of $7, 500 per academic year Private College/University $625 per credit, maximum of $7, 500 per semester State University $450 per credit, maximum of $6, 000 per semester Community College $250 per credit, maximum of $4, 000 per semester 2016 -17 Application available - April 1, 2016 - June 1, 2016

Financial Aid Programs Paraprofessional Teachers Preparation Grant 2015 -16, PTPG integrated into MASSAid System From OSFA website under the PTPG program or Student Portal - applicant selects: How Do I Apply? . . . . and must follow links below: Paraprofessionals interested in applying for the grant must complete the following: MANDATORY REQUIREMENT: If you have not already done so, please complete the 2014 -2015 Free Application for Federal Student Aid (FAFSA) MANDATORY REQUIREMENT: If you do not already have a MASSAid account you may click here to create a MASSAid Student Portal account MANDATORY REQUIREMENT: Complete your 2014 -2015 Paraprofessional Teachers Preparation Grant application in the MASSAid Student Portal system

Financial Aid Programs Paraprofessional Teacher Preparation Grant Institutions must complete the PTPG certification and payment process online in the MASSAid system Similar to process used for MASSGrant program, certification and request for payment may be controlled by institution – within dates set by OSFA Certification opens August 24, 2015 - Fall January 26, 2016 - Spring Institutions should assign a contact for the PTPG program within the MASSAid system

Financial Aid Programs Paraprofessional Teachers Preparation Grant

Financial Aid Programs Part-Time Grant Formula allocation Student EFC = 0 -5198 (Pell Eligible) 6 -11 Credits (or the equivalent) Eligible Degree or Certificate Program Awards Range from $200 - $850 (based on institution) Student may receive maximum award in one semester 2015 -2016 Institution Application currently available – Deadline July 24, 2015

Financial Aid Programs Part-Time Grant SCHOOL TYPE AWARD EFC INDEPENDENT $200 $850 0 - 5198 PUBLIC UNIVERSITY $200 $750 0 - 5198 PUBLIC STATE UNIVERSITY $200 $550 0 - 5198 COMMUNITY COLLEGE $200 $450 0 - 5198 NURSING $200 $400 0 - 5198 $200 $300 0 - 5198 $200 $250 0 - 5198 PROPRIETARY VOC TECH

Financial Aid Programs Gilbert Grant Institutional allocation – formula-driven and based on a three-year average, beginning 2013 -2014 2015 -2016 Institution Applications currently available – Deadline July 17, 2015 Recipients must meet all eligibility criteria, including full-time enrollment $200 - $2500 annual maximum award Recipient must demonstrate a $500 minimum need to be eligible Year-End data required and matched

Financial Aid Programs Program Deadlines for Year-End reconciliation reports and for continued participation in State programs based on allocations are as follows: July 17, 2015 - Gilbert Grant Program July 24, 2015 - Part-Time Grant Program July 31, 2015 - Cash Grant & Need-Based Tuition Waiver

Financial Aid Programs Christian A. Herter Memorial Scholarship

Financial Aid Programs Christian A. Herter Memorial Scholarship Competitive scholarship awarded to students who have encountered unusual hardships or extenuating circumstances Twenty-five high school (sophomore or junior) students are selected to receive scholarships upon earning a high school diploma annually Scholarship is portable to colleges throughout the U. S. About one-third of the recipients are enrolled in colleges outside Massachusetts each year Massachusetts award an average of $1 million in scholarships to students annually

Financial Aid Programs Christian A. Herter Memorial Scholarship Institution asked to complete Herter Financial Aid Information Form to establish Cost of Attendance and need Award process initiated once fiscal year budget is approved Herter used to meet unmet need – and reduce loan debt, if appropriate Funds are disbursed via (paper) check and EFT in late August for fall; late December for spring

Financial Aid Programs Christian A. Herter Memorial Scholarship

Financial Aid Programs High Demand Scholarship Program Originally funded in FY 2013 To be eligible for the MHDS, a student must be enrolled in a high demand degree program in a Massachusetts public institution The purpose of the program is to encourage degree completion in high demand disciplines helping to address workforce needs in the Commonwealth The scholarship supports training and degree completion in disciplines that are deemed to be critical shortage areas (ex. Nursing, Sciences, Engineering, IT)

Financial Aid Programs High Demand Scholarship Program The High Demand Scholarship Program has seen reduced appropriation since its inception in FY 2013 Currently there is no new application process available and awards are made for previous recipients who are persisting in approved high demand fields FY 2013 FY 2014 FY 2015 Students Award 799 $2, 035, 500 595 $621, 351 292 $606, 675

Financial Aid Programs High Demand Scholarship Awards Academic Year Sector Half Time Award Full Time Award Spring 2013 Community College $1, 000 $2, 000 State University $1, 375 $2, 750 University of Massachusetts $1, 625 $3, 250 Community College $806 State University $1, 031 University of Massachusetts $1, 181 Community College $600 $1, 200 State University $975 $1, 950 University of Massachusetts $1, 225 $2, 450 Spring 2014 Spring 2015 Since the programs inception, scholarship recipients have received awards for the Spring semester only

2014 -2015 Programs for Adopted and Foster Children

Financial Aid Programs Adopted and Foster Child Fee Assistance Program Provides for full tuition and fee waivers, based upon legislative appropriation, for foster children in the custody of the Department of Children and Families (DCF) and children adopted through this agency that choose to attend a Massachusetts public institution of higher education Program was initially funded in FY 2010 Fee waiver awards are generally paid out as reimbursements for eligible billed fees. FY 2014 was the first year where 100% of all eligible fees were reimbursed. The number of students assisted each year has shown a steady increase , growing from 550 in FY 2010 to just over 900 students in FY 2015

Financial Aid Programs Adopted and Foster Child Fee Assistance Program DCF Fee Assistance Totals $4, 500, 000 920 $4, 000 Award Amount $3, 500, 000 $3, 000 880 $2, 500, 000 860 $2, 000 $1, 500, 000 840 $1, 000 820 $500, 000 $0 Award Amount Number Awarded FY 2012 $3, 223, 601 835 FY 2013 $3, 217, 870 824 FY 2014 $3, 864, 857 898 FY 2015 $4, 190, 447 905 800 Number Awarded 900

Financial Aid Programs Adopted and Foster Child Fee Assistance Program The Adopted and Foster Child Fee Assistance Program fully migrated to the MASSAid system in Spring 2015 All Spring 2015 eligibility determination and awarding was done through MASSAid Fall 2015 processing will begin on September 1, 2015 and extend until November 15, 2015. Spring processing will open in early 2016 Due to limited appropriation, OSFA will review any students submitted after the MASSAid deadline on a funds available basis with no guarantee of fee assistance awards With the migration to MASSAid, all DCF eligibility documentation submissions are tracked by the system

Financial Aid Programs Adopted and Foster Child Fee Assistance Program

Financial Aid Programs Adopted and Foster Child Fee Assistance Program

Financial Aid Programs Adopted and Foster Child Fee Assistance Program

Financial Aid Programs Adopted and Foster Child Fee Waiver Program Adopted and Foster Child Fee Assistance Program FAQ’s Students must be 24 or under as of September 1, 2015 to receive funding during 2015 -2016 If they turn 25 during the academic year they may continue to participate Out of state students who were adopted through MA DCF by an eligible MA resident or eligible MA state employee may participate in the fee assistance program Out of state students must have a current FAFSA on file and have submitted DCF eligibility documentation to their campus Out of state students are only eligible for fee assistance equivalent to the in state resident rate and are responsible for any billed fees above that amount Campus must submit a hard copy of the students FAFSA to OSFA to complete eligibility review

Financial Aid Programs Adopted and Foster Child Fee Assistance Program

Financial Aid Programs Adopted and Foster Child Fee Waiver Program Adopted and Foster Child Fee Assistance Program FAQ’s (cont). Students cannot receive fee assistance for summer credits DCF eligibility documentation must originate from the Department of Children and Families. OSFA has no ability to provide this documentation to students Students should contact DCF to obtain their eligibility document Students can use fee assistance funds for international credits, but only if the credits are considered state supported Campus must be collecting tuition and fees on behalf of the Commonwealth and not the international institution.

Financial Aid Programs Foster Child Grant Awarded as a “Last Dollar” grant Requires student to sign an extended Care and Protection Agreement with DCF Maximum award = $6, 000 Grant is portable within the USA Grant used to meet need and/or replace loans Average of 250 students awarded annually

Financial Aid Programs Foster Child Grant File of eligible students is uploaded to MASSAid by Department of Children and Families (DCF) A Foster Child Grant record is created for all students on the DCF list who have a FAFSA on file Letters are generated for students who have an ineligible condition Ineligible conditions that are specific to FCG : dependent student, age cut-off

Financial Aid Programs Foster Child Grant Award Rules

Financial Aid Programs Foster Child Grant

Financial Aid Programs Foster Child Grant Financial Aid Information Sheet

Financial Aid Programs Foster Child Grant Financial Aid Information Sheet

Financial Aid Programs Foster Child Grant Eligible students who demonstrate need are automatically packaged at the time schools submit financial aid data Students who are packaged go to a “Ready to Certify” status Schools separately certify each student’s eligibility for the program

Financial Aid Programs Foster Child Grant

Financial Aid Programs Foster Child Grant

Financial Aid Programs Foster Child Grant

Financial Aid Programs Foster Child Grant Students at MA Public Schools 23% Massachusetts Community College 41% Massachusetts State University UMASS 36%

Financial Aid Programs Foster Child Grant Students Attending non MA-Public Schools 2% 4% 9% 20% Massachusetts Private 2 Year Special Massachusetts Private 4 Year Massachusetts Proprietary 1 Year Massachusetts Propriatary 2 Year Out of State Private 4 Year 4% Out of State Public 2 Year 4% Out of State Public 4 Year 57%

Eligibility for Massachusetts State Financial Aid Programs Program Participation Agreement & Attestation Requirements

Participation Agreement 2015 -2016 Program Participation Agreement Last Program Participation Agreement was signed by eligible institutions as of award year 2013 -2014 Participation Agreement extends eligibility from July 1 to June 30 of each award year Institutions that have remained eligible for State financial aid programs will receive a letter of continuance of the above Participation Agreement for award year 2015 -2016 The letter of continuance will be mailed to schools prior to July 1

MASSAid Reciprocity Agreements with other states States that currently have reciprocity agreements with Massachusetts include: Rhode Island Connecticut Vermont Pennsylvania District of Columbia The absence of reciprocity does not affect all state financial aid programs

Attestation Requirements Fiscal Year 2015 Attestation Requirements Letters specifying each institution’s FY 15 attestation requirement have been mailed A school either has to submit a copy of its Title IV Audit Report or a Compliance Attestation Report of Massachusetts State financial programs Attestation or audit reports are due 6 -9 months following the end of the institution’s fiscal year The OSFA Attestation Guide last updated in June 2014 remains in effect and is available on OSFA’s website

Attestation Requirements Fiscal Year 2015 Attestation Requirements Institutions will continue to electronically submit their attestation reports to OSFA via the Executive Office of Education’s Drop Box at: https: //gateway. edu. state. ma. us/ To add or remove EOE Drop Box users, institutions should submit requests to: Judi Kennedy jkennedy@osfa. mass. edu OR Robert Brun rbrun@osfa. mass. edu

MASSGrant Staying the Course

MASSGrant 2014 -2015 Highlights and Activities MASSGrant provided assistance to over 53, 000 students in 2014 -2015 As of 06/10/2015, the MASSGrant program disbursed a total of $41, 634, 603 (compared to $38, 586, 311 in 2013 -2014, around same time) 2014 -2015 MASSGrant year-end reconciliation process begins as of July 1 2014 -2015 MASSGrant year-end reconciliation is to be completed by mid August Any refund owed by a school as a result of year-end reconciliation will automatically carry over to the 2015 -2016 award year, until resolved by the institution

MASSGrant Distribution of 2014 -2015 MASSGrant Paid Group by EFC Range Number of Students % of Population 0 -200 31, 141 58. 35% 201 -500 1, 716 3. 22% 501 -1000 2, 569 4. 81% 1001 -1500 2, 542 4. 76% 1501 -2000 2, 488 4. 66% 2001 -2500 2, 368 4. 44% 2501 -3000 2, 206 4. 13% 3001 -3500 2, 177 4. 08% 3501 -4000 2, 029 3. 80% 4001 -4500 1, 908 3. 58% 4501 -5157 2, 226 4. 17% 53, 370

MASSGrant 2015 -2016 Processing Activities To Date To date, OSFA has loaded over 280, 000 unduplicated ISIR records OSFA already has mailed over 193, 000 MASSGrant ineligible letters Students receive an e-mail notification of the letter as soon as it is generated Students are able to access their MASSGrant record via our Student Web Portal with a MASSAid user account

MASSGrant Correcting 2015 -2016 Ineligible Records Students have (3) weeks to resolve all MASSGrant ineligible conditions New ISIR correction transactions received from CPS are loaded nightly to MASSAid, as much as students and schools can make updates to existing records at any time Students can update their MASSGrant records on-line and recalculate their eligibility when reporting the following: a change in enrollment status a change in school they will attend a change in degree they are working toward

MASSGrant School Access to MASSAid Schools users have either “View Only” or “Update” access to MASSAid, as directed by financial aid offices At the time of first logon, school users are required to change their password and recommended to register their computer A school user is automatically locked out of the system after 3 unsuccessful login attempts If a school needs to add/remove a user or unlock a user account, it should contact Alex Gediman or Robert Brun at agediman@osfa. mass. edu and rbrun@osfa. mass. edu, respectively

MASSGrant Updating Ineligible Reasons MA residency discrepancy (student or parent) requires student to submit documentation directly to OSFA Schools are able to clear the following ineligible reasons in MASSAid on behalf of students in batch format: 1. Citizenship 2. Prior Bachelor’s Degree Received 3. Answered “YES” to Drug Question 4. Loan Default and/or Owe Refund on Federal Aid Institutions are subject to the same 21 -day period to correct discrepancies on a student’s behalf

MASSGrant Updating Ineligible Reasons

MASSGrant Ineligible Reasons Student not meeting Massachusetts residency requirements Parent(s) not meeting Massachusetts residency requirements Maximum number of semesters of eligibility reached EFC and/or dependency status could not be determined (Missing Information) FAFSA received by Federal Processor after 05/01/2015 Expected Family Contribution exceeds 5198

MASSGrant Ineligible Reasons Applicant has prior bachelor’s degree Student’s Name, Date of Birth and/or Social Security Number Mismatch In default of Massachusetts No Interest Loan Christian A. Herter Memorial Scholarship recipient Student in default of Federal Title IV loan or owes refund on a Federal grant

MASSGrant Ineligible Reasons Student answered “yes” to question 23 on FAFSA Student owes refund to State financial aid programs Student enrolled less than full time (only if student had updated his/her assumed status of full-time ) Student not meeting United States citizenship status requirements

MASSGrant 2015 -2016 Award Notification 85, 038 students showed eligibility for 2015 -2016 MASSGrant awards as of 06/12 Of those 85, 038 currently eligible students, 53, 092 had an EFC between 0 -200 At the same point in time last year, 55, 810 students had an EFC between 0 -200

MASSGrant Distribution of 0 -200 EFC Group by School Type 8, 808 MA Community Colleges 2, 219 MA Private 1, 358 21, 692 MA Proprietary MA Schools of Nursing MA State Universities 7, 012 MA Voc/Tech Out of State 289 1, 508 UMASS 10, 206

MASSGrant 2015 -2016 Award Notification All current 2015 -2016 MASSGrant award values on display on the MASSAid system are estimated OSFA will not start mailing of 2015 -2016 award letters until a FY 16 scholarship budget is finalized Award amounts and eligibility can fluctuate as new ISIR transactions are loaded to MASSAid or updates made by agency, school and/or student users Once an actual FY 16 scholarship budget is available, OSFA will publish a final 2015 -2016 MASSGrant Payment Schedule

MASSGrant Estimated 2015 -2016 Payment Schedule Estimated Family Contribution Mass Private University of Massachusetts Public State Universities Community Colleges Mass Proprietary Mass Voc/Tech Mass Nursing Out of State 0000 -0200 1700 1500 1100 900 600 500 800 300 0201 -0500 800 600 600 400 600 300 0501 -1000 700 500 500 400 500 300 1001 -1500 600 500 400 400 300 1501 -2000 500 400 400 400 300 2001 -5198 400 400 300 5199+ 0 0 0 0

MASSGrant 2015 -2016 MASSGrant Certification & Payment Process Student goes to a “Ready To Certify” status as soon as he/she is awarded in MASSAid OSFA alerts schools as to when certification/payment of records begins and ends Students are ready for payment as soon as they are certified as eligible Schools have option of certifying via on-line screen or through a file download/upload process The certification file upload process has specific file layout requirements

MASSGrant 2015 -2016 MASSGrant Certification Process

MASSGrant 2015 -2016 MASSGrant Certification Process

MASSGrant 2015 -2016 MASSGrant Certification Process

MASSGrant 2015 -2016 MASSGrant Batch Payment Roster

MASSGrant 2015 -2016 MASSGrant Certification/Payment Processes Fall certification and payment to begin on September 14, 2015 Spring certification and payment to begin on January 18, 2016 Schools have 60 days from above dates to certify a student’s eligibility who has a “Ready to Certify” status OSFA has the flexibility to extend the number of days for certification on a school by school basis

2015 -2016 MASSGrant Certification/Payment Processes OSFA mostly generates payment batches on a weekly basis MASSGrant users automatically receive an e-mail notification when OSFA generates a payment batch for their institution A payment batch is generated for an institution as long as it has students in a “Ready to be Paid” status Institutions that prefer to receive payment batches at times that they wish to select should contact OSFA Payments are sent to schools directly from the Treasury

MASSGrant Reconciliation Schools are required to reconcile payment batches within 30 days of their creation Reconciliation of MASSGrant payments can occur via an online screen or through a file download/upload option The reconciliation file upload function is subject to specific file layout requirements Any refunds associated with a change in eligibility or occasioned by the reconciliation process automatically carry over to the next payment batch, unless a check is received at OSFA for those refunds prior to the next payment batch

MASSGrant Reconciliation Any payment that is not reconciled for a period of more than 30 days will result in OSFA not being able to generate the next payment batch for the institution Schools are also required to perform a year-end payment reconciliation process The year-end reconciliation process can occur via an online screen or a year-end reconciliation file download/upload option The year-end reconciliation file download/upload option has very specific file layout requirements.

MASSGrant Payment Batch Reconciliation

MASSGrant Payment Batch Reconciliation

MASSGrant Year-End Reconciliation

MASSGrant Award Reinstatement Awards previously certified as ineligible or that remain uncertified as of the expiration of the 30 -day period are automatically available for requests for reinstatement OSFA approves all requests for reinstatement based on the availability of funding Reinstated awards must again be certified by the institution Schools are limited to one reinstatement request of each award in each term

GEAR UP Scholarship 2015 - 2016

GEAR UP Scholarship Program Facts Required as a condition of the Federal GEAR UP Grant Institutions are asked to submit financial award data from all sources for every GEAR UP student GEAR UP scholarships are awarded to students attending eligible schools in Massachusetts, NH, ME, CT, RI, VT, PA and the District of Columbia GEAR UP students do not have to be Pell Grant eligible to qualify for a scholarship

GEAR UP Scholarship Program Facts A combination of GEAR UP scholarship and all other forms of assistance available to a student cannot exceed their cost of attendance GEAR UP scholarship can be used to replace self-help GEAR UP scholarship award amounts vary according to the student’s enrollment status, as follows: Full Time ¾ Time $ 900 ½ Time or Less $1, 000 $ 800

GEAR UP 2014 -2015 GEAR UP Scholarship Highlights & Activities The GEAR UP Scholarship program awarded 1958 students in 2014 -2015 for a total of $1, 735, 568 1735 students received assistance under the program in 20132014 Award Year # of Students Dollars Awarded 2010 -2011 1315 $1, 143, 933 2011 -2012 1516 $1, 313, 339 2012 -2013 1498 $1, 314, 480 2013 -2014 1735 $1, 531, 262 2014 -2015 1958 $1, 735, 568

GEAR UP 2015 -2016 GEAR UP Processing All GEAR UP data reporting and student’s scholarship eligibility certification occur on-line If a student attends multiple institutions in one award year, financial aid data will be separately reported in each term Schools are required to certify a student’s eligibility during both the fall and spring terms Certification during each term facilitates school’s reporting of changes to eligibility prior to disbursement GEAR UP administrators are notified of payment batches availability via e-mail

GEAR UP Submitting GEAR UP Financial Aid Data

Migration to MASSAid Update

MASSAid Migration Update MASSGrant Massachusetts No Interest Loan Early Childhood Educators Scholarship Paraprofessional Teachers Preparation Grant GEAR UP Scholarship Program Foster Child Grant Adopted and Foster Child Fee Assistance Program Herter Scholarship is next program for migration

MASSAid Updates Throughout MASSAid All programs in MASSAid share the basic ineligible conditions (i. e. MA residency, Loan Default, Citizenship, etc. ) Some programs have one or more unique conditions that can also make a student ineligible (i. e. student must be less than 22 years old when he/she receives first GEAR UP Scholarship) Enrollment status and EFC changes reported for any student ripples through the entire MASSAid system and appropriately update that same student eligibility for any other program for which he/she has a record in that award year Any change in eligibility will also automatically update any awards the student may have throughout MASSAid and create refunds, as appropriate

FY 15 Year End Data File

Fy 15 Year-End Data File Target Dates Fy 15 year-end financial aid data file layout will be available on-line by July 10 Very few changes are expected in the FY 15 file layout Fy 15 year-end data file submission will begin on August 10 Deadline for submitting FY 15 year-end data file is November 2

OSFA State Programs Refund Form One Form for all Programs New format enables OSFA to place all currently administered state financial aid programs on a single form from which schools can choose School will select an aid program, an award year, populate a screen with refund information for one or more students and print a PDF to submit to OSFA with a refund check The PDF will automatically display the sum total of all refunds listed on the form by the school The new refund form will be available on OSFA’s website prior to the start of the 2015 -2016 award year

OSFA State Programs Refund Form A Sample

OSFA Calendar

OSFA Calendar Stay Updated with OSFA now has an on-line calendar that publishes its upcoming activities Activities include, but not limited to: Programs Year-End Reporting Dates Programs Application Dates Programs Certification Start and End Dates Payment Batches Creation Dates The on-line calendar will be periodically updated, as necessary The OSFA calendar is accessible on OSFA’s website under the “For Schools” section

State Financial Aid Programs 2015 -2016 State Financial Aid Programs Guidelines ***** All 2015 -2016 updated Massachusetts State Financial Aid Programs Guidelines will be available on-line on OSFA’s site as of July 1, 2015. *****

Issues and Ideas for MASSAid

Issues and Ideas for MASSAid What’s on Your Mind? MASSGrant Payment Batches Frequency Massachusetts Residency Dates on Residency Reply Form MASSGrant Ineligible Letter Other Issues?

Lunch Break!

No Interest Loan

No Interest Loan 2014 -2015 Activity Summary Final 2014 -2015 NIL Disbursement Rosters will be created by OSFA on June 29 th 2014 -2015 NIL Reconciliation Rosters will be available for you to download July 1 st Year Dollars Disbursed # of Students 2014 -2015 $5, 858, 182 2314 2013 -2014 $6, 316, 374 2746

No Interest Loan 2015 -2016 Loan Origination 2015 -2016 NIL FAFSA filing deadline is March 14, 2016 EFC Eligibility range 0 -15, 000 2015 -2016 Anticipated Allocation Forms were sent to schools on June 5 th and should be mailed back to OSFA by June 30 th 2015 -2016 Allocation Notifications will be mailed out to institutions July 24 th with Promissory Note Paper included

No Interest Loan Student Eligibility Permanent legal resident of Massachusetts, United States citizen or eligible non citizen Enrolled full time EFC must fall within 0 -15, 000 range Enrolled in a certificate, associate or bachelors degree program Not have received a prior bachelors degree or its equivalent In compliance with Selective Service Registration Requirements Not in default of any federal or state loans or owe a refund for any previous financial aid received Maintain satisfactory academic progress

No Interest Loan Promissory Note Creation Access only students at your institution Indicated your school as first choice on FAFSA or for whom OSFA has received a Transfer request “Student Not Found” (Error Message) – if student is not listed at your school May only create notes for NIL eligible students “ 012345678 does not qualify” – if student is coded to your school but not NIL eligible Loan Amounts Minimum $1, 000 Maximum $4, 000

No Interest Loan Promissory Note Creation

No Interest Loan Promissory Note Creation

No Interest Loan Promissory Note Creation Loan Period Loan Processing Cycle is from August 1 –June 30 Borrower’s Loan Period must fall within this date range Loan Period must coincide with period of enrollment for the academic year Disbursement Dates Schools control when loan disburses by populating fields with desired dates Loan Periods > 155 days require at least 2 disbursements

No Interest Loan Promissory Note Creation

No Interest Loan Promissory Note Creation

No Interest Loan Promissory Note Submission OSFA must receive an intact fully completed ORIGINAL COPY of the promissory note (as printed on the note) Promissory note must be printed on the promissory note paper which cites the Terms & Conditions of the loan All promissory notes capture emails displayed in MASSAid Borrower must provide two (2) unique U. S. references with zip codes (business addresses will not be accepted)

No Interest Loan Promissory Note Submission Borrower must sign full legal name as it appears on the promissory note and date appropriately Promissory Note must be signed by school official Self Certification Form must accompany Original Promissory Note must be received by OSFA prior to the loan period end date to be eligible for a disbursement Denied promissory notes will be returned to School Official’s attention

No Interest Loan Origination Borrower must sign full legal name as it appears on the promissory note and date appropriately Promissory note must be signed by school official Self Certification Form must accompany Original Promissory Note Promissory note must be received by OSFA prior to the loan period end date to be eligible for a disbursement Denied promissory notes will be returned to School Official’s attention

No Interest Loan Origination

No Interest Loan Origination Cancellations May be performed in real time in MASSAid Must be done PRIOR to disbursement Funds from cancelled disbursements revert to school’s allocation Refunds Once disbursement occurs if student is no longer eligible school must refund monies to OSFA Refunded monies DO NOT revert to school’s allocation Timely Submission of Promissory Notes Facilitates accurate Exit Interview processes

No Interest Loan Truth in Lending Act (TILA) Per federal guidelines, OSFA instituted Regulation Z/Title X procedures There is a four step disclosure process prior to the borrower receiving a disbursed No Interest Loan For school’s convenience, disclosures are provided within the NIL Origination site The Private Education Loan Application Self-Certification form must be received by OSFA along with the “Original Copy” of the promissory note, to be considered a complete application

No Interest Loan Truth in Lending Act At the time of origination, the system will automatically create a borrower specific Massachusetts No Interest Loan Offer School must provide this to student to review prior to signing the promissory note. The Massachusetts No Interest Loan Offer Form does not need to be returned to OSFA At the time of approval, OSFA will automatically create a borrower specific Massachusetts No Interest Loan Disclosure that will be mailed to each borrower The Loan Disclosure will provide three (3) business days for the borrower to decline the loan. Loans will be disbursed after the three day period

No Interest Loan Clearinghouse Updates ECSI runs a Clearinghouse interface file every weekend. The file that is sent to the Clearinghouse includes all borrowers ECSI show in an enrolled status If there is a match and the Clearinghouse shows that borrower to be withdrawn, less than half-time, or graduated, ECSI creates a record on our Clearinghouse Exit file Weekly, ECSI creates an actual web exit for those borrowers and a notice is emailed to them

No Interest Loan Default Management Reports Expected Separation Dates OSFA mails throughout the year Reports can be generated at any time on ECSI’s Web. X system Opportunity to update separation dates A March mailing included the current In-School report to allow schools to make any updates , the fiscal year 2014 cohort default rate and an update to the NIL Exit Requirements By request OSFA mailed schools a list of defaulted borrowers

No Interest Loan Default Management If the default rate exceeds 30% the institution must file a Loan Default Management Plan with OSFA by June 30 and achieve 100% return rate on on-line Exit Interviews to be considered for continued participation, no later than July 15, 2015 If the default rate exceeds 10% the institution must achieve 100% return rate on on-line Exit Interviews to be considered for continued participation, no later than July 15, 2015 If the default rate is less than 10% the institution must achieve at least 75% return rate on on-line Exit Interviews to be considered for continued participation, no later than July 15, 2015

No Interest Loan Default Management Any school that does not achieve 100% return on all Exit Interviews by July 15 th and have a prior year default rate in excess of 30% can receive no more than 75% of their highest allocation in the program in the last five years OSFA has been sending monthly reminder emails to students that have not yet completed their Exit Interviews As of June 1 st, there were 1, 339 borrowers separating between July 1, 2014 - June 30, 2015 1, 055 Disclosures Completed with ECSI 284 Disclosures Remain Outstanding

No Interest Loan Default Management 2013 -2014 Exit Interview Overview Total Borrowers Separating 7/1/136/30/14 Completed Exits Current in Repayment In Deferment In Default Private Institutions 1034 867 745 105 184 State Universities 499 346 48 105 UMASS 6 4 2 3 1 Proprietary 22 16 14 2 6

No Interest Loan Default Management Common Practices for Exiting Students No Interest Loan notices mailed or emailed to students by financial aid offices. These include amount that was borrowed, Exit instructions, and login information Placing holds on Graduation Tickets Placing holds on Transcripts and/or Diplomas Constant calls and emails to borrowers until 100% Exit completion is reached

No Interest Loan Default Management All Exits are generated electronically by ECSI Sixty days prior to separation, ECSI sends an email to borrowers with their username, password, and instructions to complete their Exits Schools are encouraged to frequently remind students of this responsibility OSFA has been emailing students monthly to remind them to complete their Exit Interview

No Interest Loan Default Management Educational Computer Services, Inc (ECSI) remains the billing servicer School Code for all OSFA programs = 4 F Schools have on-line access to update separation dates, change addresses and request an Exit to be generated Schools must be proactive to report separation date changes to ECSI or OSFA as soon as you become aware of changes

No Interest Loan Default Management www. heartlandecsi. com

No Interest Loan Default Management

No Interest Loan Default Management

No Interest Loan Default Management

No Interest Loan Servicing

No Interest Loan Servicing

No Interest Loan Default Management Paid in full! Yippee!!

No Interest Loan Default Management Common Practices for Preventing Default Students must participate in mandatory Exit Counseling Sessions where loans are broken down by type and repayment options After receiving the default list—school mails borrower past due letter Staff reviews Delinquent Rosters monthly and reaches out to students by mail or phone. If school has different address updates are made to OSFA and ECSI. Also check to see if they are past due on Perkins Loans or other loans through the school If student enters into default, a hold is placed on their transcript

No Interest Loan Wellness Program Each month OSFA mails to institutions a report of borrowers who are up to 90 days past due Once a loan is disbursed a letter is mailed to borrowers along with a brochure reminding them of loan terms and conditions OSFA mails a post-card to borrowers during their grace period, as an additional reminder of their loan and billing servicer OSFA also emails students during their grace period Monthly OSFA calls, mails and emails 30, 60 and 90 day past due borrowers

No Interest Loan Wellness Program 90 Days Past Due 60 Days Past Due 30 Days Past Due 15 14 20 20 ar J u an 15 14 20 20 y y ar Fe u br 14 20 15 20 rch Ma 15 14 20 20 ril Ap 20 5 14 1 20 y Ma 5 4 1 20 ne Ju

No Interest Loan Helpful Reminders When contacting ECSI, school code for all OSFA programs = 4 F OSFA DOES NOT remove accounts from collections once placed with an agency Accounts are FULLY accelerated @ 120 days past due Students have a 6 month, one-time only grace period NIL is not a Federal loan – therefore cannot be rehabilitated

No Interest Loan Helpful Reminders NIL CANNOT be consolidated NIL does not appear on NSLDS Students in default may have their state tax returns intercepted Students must complete a Commonwealth of Massachusetts exit interview Borrowers must complete exit interview EVEN IF they are continuing in the fall in a graduate program (must apply for deferment)

No Interest Loan Contact Information Educational Computer Services, Inc (ECSI) Schools/Institutions Phone 1 -800 -437 -6931 Borrowers MDHE C/O E. C. S. I. 181 Montour Run Road Coraopolis, PA 15108 Phone: 888 -549 -3274 Fax: 866 -291 -5384 Email: clientsupport@ecsi. net Web: www. heartlandecsi. com OSFA Alison Connolly 617 -391 -6073 aconnolly@osfa. mass. edu

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