Item: Rules That Go Into Effect July 1, 2020
Rule 1: Gainful Employment Regulations Rescinded
Rule 2: Institutional Accountability (Borrower Defense)
Rule 3: Accreditation and State Authorization
Item: New Title IX Rule
Date: Effective August 14, 2020
Info: Includes training, live hearing, and web publishing requirements
Item: Campus-Based Funding for 2020-2021 Award Year
Info: Information for Federal Supplemental Educational Opportunity Grant and Federal Work-Study programs is available in PDF and Excel formats.
Item: Sequester-Required Changes to the Direct Loan fees
→ Loan fees for Direct Subsidized Loans and for Direct Unsubsidized Loans where the first disbursement is made on or after October 1, 2020 and before October 1, 2021 is 1.057%
→ Loan fees for Direct PLUS Loans where the first disbursement is made on or after October 1, 2020 and before October 1, 2021 is 4.228%
Note: Institutions may begin submitting Direct Loan origination records to COD where the first disbursement will be on or after October 1, 2020. Previously submitted records will be corrected by the COD system
Item: FY 21 Afghan Service Grants Reduction
Info: An Iraq-Afghanistan Service Grant where the first disbursement is on or after October 1, 2020 and before October 1, 2021 requires a reduction of 5.7% from the award amount for which the student would otherwise have been eligible.
Note: Records previously submitted with an anticipated first disbursement on or after October 1, 2020 will NOT be corrected by the COD system and schools will need to resubmit the correct award and disbursement amounts.
Item: FY 21 TEACH Grants Reduction
Info: A TEACH Grant where the first disbursement is on or after October 1, 2020 and before October 1, 2021 requires a reduction of 5.7% from the award amount for which the student would otherwise have been eligible.
Item: Closeout Deadline for 2018-2019 Direct Loan Program
Date: Friday, July 31, 2020
Item: Interest rates for Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans
Time: First disbursed on or after July 1, 2020 and before July 1, 2021.
Info: Fixed interest rate for Direct Subsidized Loans and Direct Unsubsidized Loans for Undergraduate Students is 2.75%.
Info: Fixed interest rate for Direct Unsubsidized Loans for Graduate and Professional Students is 4.30%.
Info: Fixed interest rate for Direct PLUS Loans for Parents of Dependent Undergraduate Students and for Graduate or Professional Students is 5.30%.
Item: Postponement of Student Loan Acknowledgement Requirement
Date: Effective date for the Annual Student Loan Acknowledgement is postponed to 2021.
The Department of Education amended its coronavirus response as follows:
■ Financial statement and compliance audit deadlines are extended six months.
■ Accreditors are permitted to continue virtual evaluation visits through December 31, 2020.
■ Institutions are permitted to continue their distance programs without satisfying the accreditation requirements through December 31, 2020.
■ Through December 31, 2020. Institutions may accept a signed and dated statement from applicants in which they truthfully attests to secondary school completion or the equivalent.
■ Deadlines for providing documentation and getting required approvals to establish institutional eligibility during change of ownership are extended six months.
■ MCAT requirement waived for foreign graduate medical school admissions for students admitted to medical school during a year when the test was unavailable.
■ The Department is aware that institutions receiving loans from the Small Business Administration through the PPP under §1102 of the CARES Act have an opportunity to have up to the full amount of the loan principal forgiven by meeting certain employment requirements. Therefore, as long as an estimate of the amount of forgiveness of PPP loan funds the institution expects to earn, or the actual amount of loan forgiveness provided is identified on an institution’s audited financial statements for the year in which the loan was received, and attested to by the institution’s auditor, the Department will exclude that portion of the PPP loan from total liabilities and increase the institution’s equity or net assets by that amount in calculating the institution’s composite score. See here for details.
■ As directed in the PPP Interim Final Regulations, institutions of higher education must exclude work-study students when determining the number of employees for PPP loan eligibility and must also exclude payroll costs for FWS students from the calculation of payroll costs used to determine their PPP loan amount. See here for details.
■ The institutional share match requirement for the Federal Work-Study (FWS) and Federal Supplemental Educational Opportunity Grant (FSEOG) programs is waived for the 2019-2020 and 2020-2021 award years. An institution may reimburse itself from the FWS allocation for the nonfederal portion of wages paid to students on or after March 13, 2020. Likewise, an institution may, for all disbursements of FSEOG made on or after March 13, 2020, reimburse itself from the FSEOG allocation for the nonfederal portion of FSEOG awards contributed through a fund-specific match. Additionally, this section permits an institution to transfer up to 100 percent of its unexpended FWS allocation to FSEOG. See here for details.
■ The requirement for term-based programs that a student returning from an approved leave of absence (LOA) must resume training at the same point in the academic program that he or she began the LOA is waived. See here for details.
■ For the purposes of qualifying for R2T4 relief, an institution that moved to distance learning, closed campus housing or other campus facilities, or experienced other interruptions in instruction may consider all withdrawals from students enrolled in ground-based instruction during the covered period to have been the result of circumstances related to the COVID-19 national emergency. For institutions that did not undergo changes in educational delivery or campus operations as a result of the COVID-19 emergency, the institution will be required to obtain a written attestation (including by email or text messages) from the student explaining why the withdrawal was the result of the COVID-19 emergency. Institutions must also obtain written attestations from students who withdrew from distance education programs explaining why the withdrawal was the result of the COVID-19 emergency. See here for details.
■ Institutions are allowed to exclude from the quantitative component of satisfactory academic progress attempted credits a student was unable to complete as a result of the COVID-19 national emergency. See here for details.
■ The statutory requirement for institutions to return Title IV funds as the result of student withdrawals related to a qualifying emergency is waived. See here for details.
■ Student grant overpayments are waived but must be fully documented (perform an R2T4 calculation for each waiver). This will cancel disbursement of Direct Loans but will be excluded from subsidized loan usage and Pell Grant lifetime eligibility calculations. See here for details.
■ A TEACH Grant recipient who was performing qualifying service that was interrupted due to the COVID-19 national emergency will receive credit for a full year of his or her service obligation.
■ A short question and answer document regarding pass/fail and Satisfactory Academic Progress, selective service registration verification, record retention, and data security was made available.
Higher Education Emergency Relief Fund (HEERF) Information
Item: Overview (Home page)
Item: Student Aid Portion of HEERF
Form: Certificate of Agreement Form for HEERF Student Aid Portion
Info: Student Aid Portion FAQ
Impt: ED released Reporting Requirements for the Student Financial Aid portion of HEERF
Note: Institutions must apply for the Student Aid Portion in order to qualify for the other HEERF grants.
Item: Institutional Portion of HEERF
Form: Certificate of Agreement Form for Institutional Portion
Info: Institution Portion FAQ
Impt: ED has not yet released reporting requirements for the Institutional Portion of HEERF.
Note: The formula and the allocations are available.
Item: HBCU Portion of HEERF
Info: About the HBCU Portion
Form: Certificate of Agreement Form for HBCU Portion
Note: ED has provided a data table for determining the maximum amount of funding available to your institution
FYI: This section of HEERF is applicable to HBCUs, Tribally Controlled Colleges and Universities, Minority Serving Institutions, and other institutions eligible for the Strengthening Institutions Program (SIP). They would use the same Certificate of Agreement Form.
Item: Fund for the Improvement of Postsecondary Education (FIPSE) Portion of HEERF
Info: About the FIPSE Portion
Form: Certificate of Agreement Form for FIPSE Portion
Note: Allocations in data table for determining the maximum amount of funding available to your institution
FYI: This section of HEERF is applicable to HBCUs, Tribally Controlled Colleges and Universities, Minority Serving Institutions, and other institutions eligible for the Strengthening Institutions Program (SIP). They would use the same Certificate of Agreement Form.