Transcript College Goal Sunday February 9, 2004

College Goal Sunday
Changes in Higher Education:
The Impact on College Goal
Sunday
College Goal Sunday Forum
May 25, 2010
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College Goal Sunday
Tim Christensen
Program Manager, Direct Loan
Transition
Education Services
Vangent, Inc.
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Agenda
Recent Legislation
FAFSA Simplification
College Access Challenge Grants
Volunteers and Money
Q&A, Success Stories, and Discussion
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Recent Legislation
March 30: President signed Health
Care and Education Reconciliation Act
of 2010
Education initiatives started with
president’s budget proposal-May 2009
Continued with Student Aid and Fiscal
Responsibility Act-July 2009
Stalled in Senate-December 2009
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HCERA
Health Care and Education
Reconciliation Act (Public Law 111152)
 Passed
by House and Senate on March
25
 Signed into law by President Obama on
March 30
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HCERA Key Provisions
Eliminates Federal Family Education
Loan Program (FFELP)
 No
new (first disbursed) Stafford, PLUS,
or consolidation loans after June 30, 2010
Income-Based Repayment (IBR)
 Beginning
July 1, 2014, new borrowers
will qualify for IBR if standard repayment
exceeds 10% of discretionary income
 Currently 15%
 “Discretionary income” is amount of AGI that
exceeds 150% of the poverty line for the
borrower’s family size
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HCERA Key Provisions, cont.
IBR, cont.
 Loan
forgiveness occurs after 20 years of
repayment
• Decreased from 25 years
In-School Consolidation
 Borrowers
with loans in Direct, FFEL, or
held by the government may consolidate
into a Direct Consolidation Loan
 Must consolidate between July 1, 2010
and July 1, 2011
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HCERA Key Provisions, cont.
Consolidation, cont.
 Must
have at least one loan in each of
two of the three programs
 Must not have entered repayment on at
least one of those loans
Increased Pell Grants
 Maximum
$5,550 in 2010-11 (up from
$5,350 this year)
 At least $6,000 by 2017
• Indexed to Consumer Price Index for five
years starting in 2013
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HCERA Key Provisions, cont.
Servicing Contracts for State Nonprofits
 State
entities not owned or controlled in
whole or in part by a for-profit entity
 Have principal place of business in that
respective state
 Eligible for Direct Loan servicing
contracts in that state
• Must meet servicing standards
• Secretary may reallocate, increase, reduce,
or terminate allocation based on performance
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HCERA Key Provisions, cont.
Assistance to Institutions Participating
in the Direct Loan Program
 $50
million for technical assistance
 ED has provided checklists, guides, and a
“suite” of Webinars
 In-depth telephone support through
Student Aid Internet Gateway/Central
Processing System tech team
 Campus support visits
 No direct grants to schools
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HCERA Key Provisions, cont.
Community College and Career
Training Grant program
 $2
billion over four years
 Designed to help unemployed and others
facing barriers to employment
Support for HBCUs, Hispanic-serving
institutions, Tribal Colleges and
Universities, and other MSIs
College Access Challenge Grants
(more to come)
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HCERA Key Provisions, cont.
Pays off most of the FY 2011 Pell
Grant shortfall
Provides $10 billion for deficit
reduction
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SAFRA Provisions Dropped
Changes to need analysis that would
have eliminated consideration of
assets
Asset caps for Pell Grants and
subsidized Stafford Loans
Elimination of Perkins Loan Program in
favor of Federal Direct Perkins Loan
And a few others
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FAFSA Simplification
“Skip logic” allows applicants to skip
questions not relevant to them
Questions about parents’ financial
information eliminated for students
who are:
 At
least 24
 Married
Single screening question before
existing three questions about
homeless status allows most to skip
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FAFSA Simplification, cont.
Allows men over age 26 to skip
question about selective service
registration
Students who qualify for simplified
needs formula skip asset questions
Questions about untaxed income and
other financial information presented in
simplified “check box” format
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FAFSA Simplification, cont.
In January 2010, students using
online FAFSA to apply for aid for the
remainder of 2009-10 can retrieve tax
information from IRS and transfer to
FAFSA
Students can link from FAFSA to state
financial aid applications
Schools that find FAFSA oversimplified can use CSS Profile
(currently about 250)
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FAFSA Simplification, cont.
FAFSA simplification is an ongoing,
iterative process
College access professionals are
challenged to stay on top of changes
Families need to be kept informed
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Good News, Yet Challenges
Pell Grants are increasing
FAFSA simplification is well underway
The big challenge: Agencies that
often took the lead in outreach and
information services are being
forced to cut staff and services
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College Access Challenge Grants
We’re going back to the Health Care
and Reconciliation Act now
Purpose:
 Foster
partnerships among federal, state,
and local governments and philanthropic
organizations
 Matching challenge grants
 Aimed at increasing the number of lowincome students prepared to enter and
succeed in postsecondary education
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College Access Challenge Grants, cont.
Challenge Grants provide funding for:
 Information
on college and career
planning for students and families
 Professional development for guidance
counselors, financial aid administrators,
and college admission counselors
 Need-based grant aid for low-income
students
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College Access Challenge Grants, cont.
Match required
Federal funds may pay up to two-thirds
of the cost of activities and services
States must provide non-federal funds
equal to one-third of costs
 Match
may be cash or in-kind
 It cannot be waived
Sources may include states, private
organizations, or both
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College Access Challenge Grants, cont.
Who may apply:
 Any
state agency designated by the
governor of the state
 If a state is awarded a grant and fails to
meet its matching requirement, the
Secretary will reduce the state’s award
proportionately and may re-award those
funds to a philanthropic organization
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College Access Challenge Grants, cont.
Qualifying Students and Families
 Must
make activities and services
available to all qualifying students and
families regardless of:
•
•
•
•
Choice of postsecondary institution
Type of student loan received
Server of such loan
Student’s academic performance
 Cannot
charge a fee to participate
 Cannot require students to meet any
condition other than eligibility for Title IV
aid
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College Access Challenge Grants, cont.
Priority
 Must
be given to students and families
who are living below the poverty line
applicable to the individual’s family size
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College Access Challenge Grants, cont.
Funding status
 FY
2008: $66 million
 FY 2009: $66 million
 FY 2010: $150 million
• This is a 127% increase
Formula-driven
 Minimum
award was $330K in 2009
 Increases to $1.5M in 2010
 Range up to $7.6M in 2009 and $15M in
2010 (California)
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College Access Challenge Grants, cont.
Sub-Grants to Non-Profits
 May
award sub-grants to one or more
non-profits or partnerships of
organizations provided they:
• Were in existence on or before September
27, 2007; and
• Participate in activities and services related to
increasing access to higher education
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College Access Challenge Grants, cont.
FY 2010 application became available
May 17, 2010
Deadline: July 2, 2010
Contact:
 Karmon
Simms-Coates
 E-mail: [email protected]
 (202) 502-7807
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College Access Challenge Grants, cont.
Arkansas launched “Say Go College
Week” in February that ended with
College Goal Sunday
 As
a result, 47% more high school
seniors completed the FAFSA in College
Goal Sunday than in the prior year
Kansas supplemented existing CGS
funding with CACG funds
 CGS
attendance increase 30%, from 838
students in 2008 to 1,091 in 2009
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College Access Challenge Grants, cont.
Maine expanded CGS to include
additional sites, additional nights, and
FAFSA completion lab events.
 Attendance
increased 16% over prior
year
Michigan created a college access
network, launched a college access
Web portal, and brought local
providers into the conversation
 CGS
participation increased 51%
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College Access Challenge Grants, cont.
Mississippi partnered with GEAR UP
to launch its first-ever CGS event
 Approximately
400 families attended 22
sites staffed by 250 volunteers
 22 students (one per site) were awarded
$500 scholarships
The Montana CACG team videotaped
families filling out the FAFSA for its
go2collegeMT Web site
 Also
working on FAFSA completion
tutorial
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College Access Challenge Grants, cont.
Puerto Rico developed a pilot based
on CGS to bring FAFSA completion
via UPR to high schools
 59
high schools participated, 100 are
expected in 2010, and all will participate
in 2011
South Carolina expanded CGS to
provide intervention by local
institutions and partnered with TRIO
and Foster Care
 Over
900 students received support
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Volunteers and Money
Potential varies from state to state
Make sure every prospective funding
partner knows about College Goal
Sunday
Promote and network persistently
Seek opportunities for collaboration
 Be
able to answer the “what’s in it for me”
question (the value proposition)
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Organizations to Connect With
State department of education
State loan servicer, if available
State association of student financial
aid administrators
TRIO organizations
 State
College Access Network, if there is
one
State GEAR UP organization
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Organizations to Connect With, cont.
State university system
Community foundations
Private philanthropy
Business and industry
Others? You suggest
Reference: CAM Budgeting Brief
 http://www.pathwaystocollege.net/pdf/CA
M-Budgeting.pdf
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Discussion
Q&A
Success stories
Other comments
Thank You!
Tim Christensen
[email protected]
703-284-5809
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