1. SFA Update Mary Jane Michalak Associate Commissioner April 16, 2013
4/12/2017
SFA Update Mary Jane Michalak Associate Commissioner April 16, 2013

2. Today’s Agenda Legislation Next Steps 2013-2014 Awards Information
4/12/2017
Today’s Agenda
Legislation
1348
1312
1001
Next Steps
Awards Information
National Guard / CVO
Questions

3. HB 1348 Frank O’Bannon / 21st Century Scholars Reform
4/12/2017
HB 1348 Frank O’Bannon / 21st Century Scholars Reform
Completion Requirements
30/60/90
24/48/72
GPA Requirements
“Satisfactory Academic Progress”
Annual Awards
Grid Awards schedule
Incentives
EFC for all students (independent and dependent)

4. 4/12/2017
Current Model
Base Award = Prior-Year Tuition up to a Max * 80% - Federally-Determined Expected Contribution Student Performance Incentive for Academic Honors / Associate Degree = Prior-Year Tuition up to a Max * 20%
The “max” referred to here is what is generally referred to as “caps” or “award maxima.”

5. 4/12/2017
New Model
Base Award Simple grid based on EFC and school type Student Performance Incentive Flat-dollar increases for getting good grades, accelerating completion, and earning credentials along the way

6. Example Base Awards Expected Family Contribution Institution $0
4/12/2017
Example Base Awards
Expected Family Contribution
Institution $0
$1 to $500
$501 to $1,000
$1,001 to $1,500
Public
On-Time
$3,100
$2,600
$2,100
$1,600
Full-Time
$2,500
$1,700
$1,300
Ivy Tech or Proprietary
$1,100
$900
KEY POINT: this conforms to current law amounts for non-AH students (76% of recipients). The amount is this grid represent “keep the caps flat.”
Notice that all students now use EFC, like Feds, universities, and most other states. Indiana is an outlier in its use of PC for dependent students.
How this enhances productivity: This helps students better understand and plan for the aid they will receive, eliminating unnecessary spending due to poor planning (and lowering cost per degree conferred).

7. Student Performance Incentive: Paying for what we value
4/12/2017
Student Performance Incentive: Paying for what we value
Preparedness Earn a H.S. honors diploma (freshman only) Good grades Keep GPA of 3.0 or higher last year Credentials Hold an associate degree Acceleration Complete 39+ credit hours last year
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

8. Implementation Schedule: 2013-2014
4/12/2017
Implementation Schedule:
Maximum base awards through formula, as with current system; PC and EFC used
Academic Honors/Technical Honors
20% of max award (same as )
Incoming Freshmen will receive AH/TH award for one year only.)
GPA – Satisfactory Academic Progress (Freshmen and Sophomores)
Completion requirements (Freshmen)
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

9. Implementation Schedule: 2014-2015
4/12/2017
Implementation Schedule:
Maximum base awards through grid (all students)*
EFC for all students
GPA – SAP (Freshmen, Sophomores, Juniors)
Completion requirements (Freshmen, Sophomores)
Grandfathered Academic Honors / Technical Honors bonus (Juniors, Seniors)
New Incentives (Freshmen, Sophomores)
Degree maps (Freshmen)
* Students who enter college under the formula will be grandfathered in under the “on-time award”
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

10. Implementation Schedule: 2015-2016
4/12/2017
Implementation Schedule:
Maximum base awards through grid (all students)*
EFC for all students
GPA – SAP (all students)
Completion requirements (Freshmen, Sophomores, Juniors)
Grandfathered Academic Honors / Technical Honors bonus (Seniors)
New Incentives (Freshmen, Sophomores, Juniors)
Degree maps (Freshmen, Sophomores)
* Students who enter college under the formula will be grandfathered in under the “on-time award”
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

11. Implementation Schedule: 2016-2017
4/12/2017
Implementation Schedule:
Frank O’Bannon / 21st Century reform fully implemented
Maximum base awards through grid (all students)*
EFC for all students
GPA – SAP (all students)
Completion requirements (all students)
New Incentives (all students)
Degree maps (Freshmen, Sophomores, Juniors)
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

12. Implementation Schedule: 2017-2018
4/12/2017
Implementation Schedule:
HB 1348 fully implemented
Maximum base awards through grid (all students)*
EFC for all students
GPA – SAP (all students)
Completion requirements (all students)
New Incentives (all students)
Degree maps (all students)
The amounts on this slide are based on the current public school incentive program amount of $800; acceleration calculated to spread the “lost” fourth year of funding across three years, based on the public school cap.
The first incentive is freshman-year only. Better prepared students will have better grades and better workforce outcomes (quality), are more likely to have the skills needed to complete (completion), and will waste less time and money in remediation (productivity).
The remaining incentives are for sophomores, juniors, and seniors.
The acceleration bonus removes the financial “penalty” for completing early.

13. 4/12/2017
HB Part-Time Grant
Require recipients to complete 18 credit hours per year
Extend full-time performance requirements (e.g., GPA) to part-time students
Prohibit the use by students receiving outside tuition reimbursement
Set application deadline to August and administer grant centrally, rather than current block-style starting in 2014
In addition to changes to the Frank O’Bannon Grant, legislators will consider tweaking the Part-time Grant program. Again, the goal is to promote timely completion and accountability through the use of credit-hour completion requirements. Part-time grant recipients would be required to complete a minimum of 18 credit-hours per calendar year, putting the student on pace to graduate in just over 150 percent the typical time. In addition, SFA will seek to discount a student’s part-time grant by the amount of outside tuition reimbursement the student receives. For example, if a student has financial need of $1,000, but receives $750 per semester in tuition reimbursement from his employer, that student’s part-time grant would be $250. This change will free up funds for the students with the greatest financial need. In addition to these changes, two other points should be noted:
- The program will move away from the block-grant system of distribution and to a more centralized distribution system (as with other state awards). We believe this will bring greater consistency and efficiency to the program, and maximize the dollars going to the students.
- The application deadline for Part-time Grant applicants will be moved to August, so that those students who are late-filers can still receive some state support.

14. HB 1312 - EARN Indiana Program
4/12/2017
HB EARN Indiana Program
Enhance eligibility
allow for-profit companies to participate
allow all employers to participate year-round
extend student eligibility to all students with financial need
Promote the program through employer networks
Ensure that EARN positions are experiential and résumé-building
Better match students to relevant positions
The purpose of all student aid is to help the student succeed long-term. Extending eligibility to all types of employers gives students more choices as to which type of organization will best help them after they graduate. For example, a political science major may benefit from working in local government, whereas a marketing major may benefit more from an internship at a for-profit advertising agency.

15. HB 1001 – Budget Bill Anything possible until April 29
4/12/2017
HB 1001 – Budget Bill
Anything possible until April 29
Teacher Stipends (in House Budget only)
Up to $5,000 for education majors during the student-teaching semester if the student is:
A minority OR
Focused on special education or other high-need fields identified by the Commission
Meet certain GPA requirements
Stipend not limited to tuition & fees, paid directly to student by school corporation
$450k per year for each program

16. HB 1001 – Budget Bill Maintains commitment to Financial Aid
4/12/2017
HB 1001 – Budget Bill
Maintains commitment to Financial Aid
Increases financial aid by $72.1 million over biennium
Higher Education Award
$125M (2014) and $106M (2015)
Freedom of Choice
$47M (2014) and $40M (2015)
21st Century Scholars
$109M (2014) and $120M (2015)

17. HB 1001 – Budget Bill EARN (work study) and Part-Time awards flat
4/12/2017
HB 1001 – Budget Bill
EARN (work study) and Part-Time awards flat
Senate version
No funding for Minority Teacher Scholarship
No funding for Nursing program
No language or funding for Stipends
Creates loan forgiveness for physicians in rural areas (administered by the Department of Health)

18. Next Steps 1348 Implementation meeting – May 8, 2013
4/12/2017
Next Steps
1348 Implementation meeting – May 8, 2013
Student-based model
Redesign of xGRADS
Stipends outreach – if passed
Contacts with Schools of Education
K-12 School Business Officials

19. 2013-2014 Awards May 9 – next “edit notification” e-mail
4/12/2017
Awards
May 9 – next “edit notification”
Tuition survey
Will be sending out week of April 29
Needs to be returned by May 31
Commission meeting set for June 13, 2013
SFA Award calculations begin June 14, 2013
Student notification begins July 1, 2013

20. National Guard / CVO Funding increases for both in HB 1001
4/12/2017
National Guard / CVO
Funding increases for both in HB 1001
NG - $3.6M (2014) and $3.7M (2015)
CVO - $27.2M (2014) and $28.7M (2015)
Awaiting federal guidance on CVO

21. Associate Commissioner
4/12/2017
Questions?
Mary Jane Michalak
Associate Commissioner