1. www.oasfaa.org 2012 Advisor Training Federal and State Update Faith Phillips Director, Financial Aid, Central Ohio Technical College/OSU Newark August 8 th, 2012

2. www.oasfaa.org Federal Budget Bill 2011 Elimination of Year-Round Pell0.2% budget cuts which impacted FWS and SEOGLeap and Byrd Scholarships not fundedEliminated graduate student interest subsidyEliminated Direct Loan repayment incentives 2

3. www.oasfaa.org Federal Budget Bill 2012 Reduction of Pell Grant Minimum ($185 to $176)Reduced Lifetime Pell EligibilityEliminated ATB as eligibility measure. Temporary repeal of interest subsidy during Grace Period 3

4. www.oasfaa.org FY 13 Budget Prediction Election year: likely to stay away from anything controversial FY 13 Budget not avaiable until after election Likely to see additional changes next year given ‘looming’ FY 2014 $7.8 billion Pell shortfall 4

5. www.oasfaa.org Ability To Benefit (ATB) Consolidated Appropriations Act – 2012 Eliminates Title IV Eligibility for student without a high school diploma (or equivalent) Exceptions for –Home Schooled students –Student who were enrolled in a Title IV eligible program of study prior to July 1, 2012 5

6. www.oasfaa.org Ability To Benefit (ATB) Students who are or were enrolled in a Title IV eligible program anytime prior to July 1, 2012, may continue to qualify under ATB alternatives: Passing an independently administered, approved ATB test Successfully completing at least 6 credit hours 6

7. www.oasfaa.org Federal Pell Grant 2012-2013 Maximum award amount remains the same as 2011-2012 $5,550 maximum award for full-time enrollment and an Expected Family Contribution (EFC) of zero FY 13 budget = $5635 maximum Pell Grant for 2013-2014 Pell Duration of Eligibility Duration = 12 semesters (or its equivalent) 7

8. www.oasfaa.org Pell Duration of Eligibility Applies to ALL students effective 2012-13 Includes all earlier years of receipt of Pell Calculate equivalency by adding each annual % of Pell disbursed for each year LEU – Lifetime Eligibility Used Once at 500% but less than 600%, partial eligibility for the next award year Once LEU reaches 600%, no longer eligible 8

9. www.oasfaa.org Direct Loans 2012-2013 Federal Direct Stafford Loan 9 SubsidizedUnsubsidized Need basedNot based on financial need Interest rate remains fixed at 3.4% for all new undergraduate loans disbursed after July 1, 2012. Interest is subsidized while the student is in school during deferment. Was slated to go back to 6.8% for 2012 Interest is fixed at 6.8% for all new loans disbursed after July 1, 2006. Interest accrues from time of disbursement of the funds.

10. www.oasfaa.org Direct Loans 2012-2013 Independent Students and Dependent Students whose parents have been denied the PLUS Loan are eligible for additional Unsubsidized Stafford Loans ($4,000 as Freshmen and Sophomores and $5,000 as Juniors and Seniors) 10 Class YearBase Amount Additional Unsubsidized Amount Total Available to Borrow Freshman$3,500$2,000$5,500 Sophomore$4,500$2,000$6,500 Junior$5,500$2,000$7,500 Senior$5,500$2,000$7,500

11. www.oasfaa.org Direct Loans 2012-2013 PLUS Loans Loans to parents of dependent students Loan limits are up to the cost of education less any financial aid received per academic year The interest rate 7.9% fixed Repayment begins within 60 days of full disbursement (payments may be deferred while the student is in school) 11

12. www.oasfaa.org Campus Based Programs 2012-2013 No major changes Federal Supplemental Education Opportunity Grant (SEOG) Federal Work Study (FWS) Federal Perkins Loan 12

13. www.oasfaa.org FY 2013 Campus Based Changes All Campus-based Programs funding allocated based on: Keep net tuition lowQuality/value and serve needy students Federal Perkins Loan Reform Proposal Federal Work Study Double number of FWS jobs over 5 years 13

14. www.oasfaa.org TEACH “Grant” 2012-2013 14 Grant available to undergraduates and graduates enrolled in STEM education majors Service requirement or grant becomes an Unsubsidized Stafford Loan FY 2013: replace TEACH with Presidential Teaching Fellows Program

15. www.oasfaa.org Verification 2012-2013 Significant changes July 1, 2012 School must verify all CPS Selected applicants School may select additional applicants (school must verify any FAFSA information it has reason to believe is inaccurate) School must rely on the information provided by the IRS as primary source of documentation 15

16. www.oasfaa.org Acceptable IRS Verification of Data IRS Data Retrieval FOTW Eligible or not? IRS Tax Transc ript From IRS Contains most IRS line items 16

17. www.oasfaa.org Other Verification Documentation Household Size and Number in College Signed statement of student/parent Child Support Paid Signed statement by individual who paid the support listing amount paid, recipient, name of child(children) Food Stamps (SNAP) – Simplified Needs/Auto EFC Statement from applicable agency for 2010 OR 2011 17

18. www.oasfaa.org Looking Ahead Verification in 2013-2014 AGI/Taxes Paid Untaxed Income Education Credits # in HH & College SNAP/Child Support 18

19. www.oasfaa.org NEW for 13-14 to ‘combat fraud’ Verification of High School Status HS diploma or transcript w/ grad date (home schooled) GED certificate Identity/Statement of Education Purpose In person: valid government photo ID and statement. Not in person: copy of government ID and original notarized statement signed by applicant (not electronic, must be ‘wet’) 19

20. www.oasfaa.org Student Loan Indebtedness has been in the news 20

21. www.oasfaa.org Financial Awareness Counseling Tool FACT Online resource (Studentloans.gov) for students for financial management and federal loan debt info Understand Your loans Manage Your Budget Plan to Repay Avoid Default Make Finances a Priority Summary of date used/entered 21

22. www.oasfaa.org Financial Aid Shopping Sheet for 2013-2014 Request to ‘voluntarily’ adopt format for award letters (request sent to college Presidents) Input from students, parents, FA Administrators, other higher education officials Consumer Friendly way to choose a college using comparable information in similar format 22

23. www.oasfaa.org Student Specific Information Cost of Attendance Aid Options used to meet EFC Related to specific students Grant Work Loans Payment Plans PLUS Military Benefits Private Loans 23

24. www.oasfaa.org School Specific Information Graduation Rates Cohort Default Rates Median debt for completers Contact Information for the school 24

25. www.oasfaa.org 25

26. www.oasfaa.org Ohio Aid Programs 2012-2013 Ohio College Opportunity Grant (OCOG) Academic Scholarships War Orphans Scholarship National Guard Scholarship Safety Officers Memorial Nurse Education Assistance Loan Program (NEALP) Choose Ohio First 26

27. www.oasfaa.org OCOG 2012-2013 Total funding level similar to total funding level for 2011-2012 27 Grant money to Ohio residents who demonstrate the highest level of financial need as determined by the FAFSA. $856 for students at public main campuses $2280 for students at most private, non-profit $480 for students at most private, for-profit* *OCOG funding for private, for-profit schools was eliminated for 2009-2010 and 2010-2011. Funding was restored for the 2011-2012 and 2012-2013 academic years. **Eligible Foster Youth at Community Colleges may qualify using the ETV application.

28. www.oasfaa.org 28 www.statevoucher.org

29. www.oasfaa.org Ohio Academic Scholarship $2,000 at public and private/proprietary institutions Funding for new recipients ended after 2008- 09 2012-13 is the last full year of awarding 29 Correction

30. www.oasfaa.org War Orphans Scholarship 2012-2013 For Ohio dependents of deceased or severely disabled Ohio veterans Annual full-time award of $5,575 to eligible students at private colleges and universities (both non-profit and for-profit) 30 Increased coverage to 93% of full-time tuition and general fees at public colleges and universities

31. www.oasfaa.org Ohio National Guard Scholarship 2013-2013 Will provide an annual, full-time award up to $4,528 to eligible students at private colleges and universities. 31 Will pay 100% of instructional and general fees at state assisted colleges and universities Correction

32. www.oasfaa.org Safety Officers Memorial 2012-2013 For Ohio dependents and spouses of safety officers killed in the line of duty Will cover up to $6,234 of full-time tuition and fees to eligible students at private colleges and universities (both non-profit and for-profit) 32 Covers 100% of full-time tuition and general fees at public colleges & universities Correction

33. www.oasfaa.org NEALP 2012-2013 33 Loans for RN candidates and graduate nurse faculty students Loans can be forgiven with 4 to 5 years of service as a nurse or nurse instructor in Ohio upon completion of degree Loans range from $1,500 to $5,000

34. www.oasfaa.org Choose Ohio First 2012-2013 Scholarship program to recruit and retain talented Ohio students in STEM concentrations Award range $1500 - $4700 per student STEM = Science, Technology, Engineering, Mathematics and Medicine State’s strategic effort to significantly strengthen Ohio position in work markets such as aerospace, medicine, computer technology and alternative energy. List of participating schools and contact information for application process on Ohio Board of Regents website. Partnerships of private/public schools apply for funding 34

35. www.oasfaa.org 35 2013-2014 Academic Year High School Nights College Goal Sunday--February 10, 2013 FAFSA filers encouraged to utilize IRS data retrieval process either initially or as a correction if tax return is filed after FAFSA is completed Verification will continue to be documented with official IRS tax transcripts with new verification items identified

36. www.oasfaa.org *NEW* FAFSA Completion Tool Resource to monitor FAFSA completions to better help students access higher education. Track FAFSA completion statistics at individual high schools to ensure student are filling out the FAFSA Reflects FASFA info for applicants no older than 18 who will have received their high school diploma by the start of 2012-13 school year. Data is displayed in spreadsheets broken down by state that includes high school name and city of school 36

37. www.oasfaa.org FAFSA Completion Tool Source of FASFA completion is CPS No personally identifiable information listed Updated biweekly January through June Updated monthly on the first Friday of the month for the remainder of the calendar year Contact: HSFAFSA@ed.govHSFAFSA@ed.gov Website: http://studentaid.ed.gov/about/data- center/student/application-volume/fafsa- completion-high-schoolhttp://studentaid.ed.gov/about/data- center/student/application-volume/fafsa- completion-high-school 37

38. www.oasfaa.org 38 OASFAA is a non-profit organization OASFAA has provided the information today as a free service to access staff and high school counselors You have permission to copy and distribute these materials to your students and families. Charges may not be assessed for the material or for the information presented. Permission must be granted for other use of this information or these materials. Contact the Outreach Chairperson listed on the OASFAA web site or e-mail: outreach@oasfaa.org

39. www.oasfaa.org Questions? 740-366-9492 Faith Phillips Phillips.495@osu.edu 39