|
|
|
|
VOL. 23, NO. 12IGSL, 12B
June 2006
Welcome to the June 2006 ISAC Update for Financial Aid Administrators and Business Officers. This version of the electronic ISAC Update is a compilation of e-Messages sent through College Zone’s e-Messaging service throughout June. This e-Messaging service has replaced ISAC’s use of printed newsletters, the ILASFAA ListServ, and special e-mail lists as our primary means of communicating information to you.
The articles in this Update have been organized according to the FAA Zone subscription groups to which the messages were distributed via College Zone’s e-Messaging service.
Questions?
Questions regarding information in this ISAC Update can be directed to School Services at 866.247.2172 or at schoolservices@isac.org. On occasion, you may be directed to a specific contact person or area; when this occurs, we will provide the appropriate information in the individual article or message.
MULTIPLE SUBSCRIPTION GROUPS
Summer Update Conference Calls to be Held in July
Sent to Financial Aid Directors, Financial Aid Administrators, Public Schools - Participating in the ING Grant and IVG Programs, MAPnet Users, Business Officers and FFELP Participants on June 29, 2006
The Illinois Student Assistance Commission (ISAC) will offer three one-hour conference calls in early July to provide an update on the close-out of 2005-06 gift assistance programs and to gear up for the start of 2006-07 processing.
Please join us on one of the following dates/times:
- Monday, July 10 at 2 p.m.
- Tuesday, July 11 at 10 a.m.
- Thursday, July 13 at 2 p.m.
Topics to be covered during each call are:
- ISAC Program Updates for 2005-06 and 2006-07
- Legislative and Budget Updates
- ISAC Administrative Rules Changes for 2006-07
- Implementation of the Higher Education Reconciliation Act (HERA)
The toll-free number for the conference calls is 888.767.9380, and the passcode is 9767339#.
Registration for the conference calls is not required.
Return to Top
2006-07 Recompute Formula to be Reflected in MAPnet on June 27th
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users, and Business Officers June 22, 2006 ISAC anticipates that the 2006-07 MAPnet system will be available for awards to be calculated using the recompute formula on Tuesday, June 27th. As recompute is moved into production, access to the 2006-07 MAPnet system will be unavailable starting at 7 a.m. on Saturday, June 24th and continuing until further notice on June 27th (the 2005-06 MAPnet system is not impacted). Once verification of recompute data has been completed on June 27th, we will send a message to the "MAPnet Users" e-Messaging subscription group to announce the availability of the 2006-07 MAPnet system.
2006-07 MAP Recompute Formula Approved - Students Benefit from Lower Reduction Factor
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users, and Business Officers on June 21, 2006 At its June 16th meeting, the Illinois Student Assistance Commission (ISAC) approved the 2006-07 Monetary Award Program (MAP) recompute formula, based on the fiscal year 2007 (FY2007) budget recently signed into law by Governor Blagojevich.
Additional MAP Funding Allows for Lower Reduction Factor
As indicated in a June 13th e-Message, the final FY2007 budget includes a larger-than-anticipated increase in MAP funding. The 2006-07 recompute formula approved by the Commission is based on the total appropriation for FY2007 of $384.8 million, which is $34.4 million over the FY2006 appropriation.
Changes to the start-up formula, approved for the recompute formula at the June 16th Commission meeting, include:
- minimum award of $500 (to ease administrative complexity for both MAP and the new MAP Plus program); and
- reduction of all awards by 2% (replacing the previous 9% reduction factor) for applicants with an expected family contribution (EFC) up to and including $8,999 (no award is provided to applicants who have an EFC of $9,000 or greater).
Using the 2006-07 recompute formula, the reduced annual award maximum amount is $4,869. The annual award minimum amount is $500. Minimum awards should not be reduced by 2%.
Current projections indicate that these formula changes could allow 2006-07 MAP award announcements to be made through the end of August. Note that MAP priority consideration dates remain in effect for the 2006-07 academic year. In order to receive full-year award consideration, the Free Application for Federal Student Aid (FAFSA) receipt date for continuing applicants (i.e., those applicants who submitted a FAFSA for the 2005-06 academic year) must be on or before August 15, 2006.
Details of the 2006-07 MAP recompute formula are available in Table 4: Staff Recommendation for FY2007 MAP Recompute Formula, located on page 8-7 of Item 8 of the June 16, 2006 Agenda Book. The 2006-07 MAP start-up formula is also provided on this same page, as Table 3: FY2007 MAP Start-Up Formula.
Recompute Formula Will Be Reflected in MAPnet in Late June
ISAC anticipates that MAPnet will be available for awards to be calculated using the recompute formula in late June. You will be notified via this College Zone
e-Messaging service once a specific date has been determined. At that time, we will also notify you regarding the date(s) on which the 2006-07 MAPnet system will be temporarily unavailable in order to allow recompute to be moved into production.
Further Recompute Information
College Zone's 2006-07 MAP Formula section (which can be accessed from the MAP Formula area of the MAP section in the ISAC Gift Assistance Programs portion of the FAA Zone), including the 2006-07 Hand Calculation Forms page, has been updated to reflect the recompute formula.
Other Commission Meeting Action
At its June 16th meeting, the Commission also took action on the following items. Details are provided in the June 16th Agenda Book, which can be accessed from the ISAC's Governing Board: The Commission page at collegezone.com. Specific agenda items may also be accessed by clicking on the appropriate link(s) below.
- The Commission approved authorization for ISAC to suspend FY2007 MAP and Silas Purnell Illinois Incentive for Access (IIA) Program award announcements, when it becomes necessary to do so, in order to avoid overcommitting MAP and IIA appropriations. This item includes a summary of 2006-07 MAP and IIA application volume through June 5, 2006. (Agenda Item 7)
- The Commission approved and adopted the omnibus rules amendments, as modified during the rulemaking process, so that they are effective for the 2006-07 academic year. (Agenda Item 9)
- The Commission approved authorization for the Illinois Designated Account Purchase Program (IDAPP) to raise new capital to meet ongoing, routine obligations for upcoming loan purchases and originations. (Agenda Item 5)
- The Commission approved authorization for the Executive Director to negotiate and enter into a contractual agreement with State Street Global Advisors to serve as the investment manager for the College Illinois! Program. (Agenda Item 6)
 MAP Recompute Agenda Item; Executive Briefing Scheduled
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users, and Business Officers on June 13, 2006 The Agenda Book for the upcoming June 16th Commission meeting is now available at collegezone.com. Included among the agenda items for this meeting is an action item for FY2007 Monetary Award Program (MAP) Recompute.
Each year, ISAC is responsible for adopting an allocation formula for MAP. Typically, once the governor and General Assembly take action on the budget (which was signed on May 22nd), the Commission revisits the MAP formula and approves a "recompute" formula that is updated from the formula used at start-up. The final FY2007 budget includes a larger-than-anticipated increase in MAP funding, a total of $34.4 million over the FY2006 appropriation. The total appropriation for FY2007 is $384.8 million, of which $354.3 million is from state general revenue funds, $26.8 million is from ISAC's Student Loan Operating Fund (SLOF) and $3.7 million is from federal LEAP/SLEAP funds.
Based on the increase in MAP funding, a recompute formula which replaces the existing 9% reduction factor with a 2% reduction factor is being recommended to the Commission. This recommended formula strikes a balance between the formula changes suggested by the ILASFAA Formula Committee and what is perceived to be the intent of the legislature when it approved the additional funds.
In summary, it is anticipated that the Commission will take action on an FY2007 recompute formula that contains the following elements:
- 2003-04 tuition and fees at 100%;
- 80% of Federal Pell Grant eligibility, as determined by the 2003-04 Pell Grant Payment Schedule (which contains a $4,050 maximum);
- minimum award of $500 (to ease administrative complexity for both MAP and the new MAP Plus program); and
- reduction of all awards by 2% (replacing the previous 9% reduction factor) for applicants with an expected family contribution (EFC) up to and including $8,999 (no award is provided to applicants who have an EFC of $9,000 or greater).
Current projections indicate that this proposed recompute formula would allow 2006-07 MAP award announcements to be made through the end of August. If approved by the Commission, the recompute formula will be available for award calculations at MAPnet in early July.
Executive Briefing Conference Call - Tuesday, June 20th
Executive Director Larry Matejka will offer an Executive Briefing Conference Call on Tuesday, June 20th to provide an update on a variety of ISAC-related topics, including an overview of the results of the Commission meeting. The conference call, for financial aid staff at the Director or upper management level, will be held at 10 a.m.
To participate, dial 888.767.9380 and enter passcode 9767339#.
Items which will be discussed during the call include:
- 2006-07 MAP recompute formula
- Other FY2007 Budget items
- Proposed Rules and Amendments
- State Legislative update
- Status of proposal relating to loan sale
New Student Loan Interest Rates Effective July 1st
Sent to Financial Aid Directors, Financial Aid Administrators, Business Officers and FFELP Participants on June 2, 2006
The U.S. Department of Education (ED) has released an Electonic Announcement itemizing the interest rates for fixed rate and variable rate Federal Family Education Loan Program (FFELP) Stafford and PLUS loans, effective July 1, 2006.
Loans with first dibursements on or after July 1, 2006:
- 6.80% (fixed rate) for Federal Stafford subsidized and unsubsidized loans during in-school, grace, repayment, deferment and forbearance periods
- 8.50% (fixed rate) for Federal PLUS loans
Loans with first disbursements between July 1, 1998 and June 30, 2006:
- 6.54% (variable rate through June 30, 2007) for Federal Stafford subsidized and unsubsidized loans during in-school, grace and deferment periods
- 7.14% (variable rate through June 30, 2007) for Federal Stafford subsidized and unsubsidized loans during repayment and forbearance periods
- 7.94% (variable rate through June 30, 2007) for Federal PLUS loans
Further details - including interest rates for Federal Consolidation Loans - are available in the Electronic Announcement, or on College Zone's Interest Rates page.
Return to Top
Financial Aid Administrator
Academic Competitiveness Grant Program - No Additional "Rigorous" Illinois Programs
Sent on June 22, 2006 As a follow-up to our May 4, 2006 e-Message regarding the U.S. Department of Education's (ED's) plans for implementation of the new Academic Competitiveness Grant Program [comprised of the Academic Competitiveness Grant (AC Grant) and the National Science and Mathematics Access to Retain Talent (SMART) Grant], we have some additional information to pass along to you. As explained in the earlier guidance provided by ED, one of the eligibility requirements for the grants is the "successful completion of an ED-recognized rigorous secondary school program of study." Identified in ED's guidance as options for students in meeting this requirement are the following:
- Receiving an Advanced or Honors diploma
- Completing a State Scholars Initiative Program
- Completing course requirements similar to the State Scholar Initiative requirements (4 years of English, 3 years of math, science, and social studies, and 1 year of a foreign language)
- Completing two Advance Placement (AP) or International Baccalaureate (IB) courses and receiving passing scores
According to information from the Illinois State Board of Education (ISBE), Illinois does not offer programs as described in options 1 and 2; consequently, any Illinois student qualifying for the grants would fall under either option 3 or 4. Additionally, although individual states were given the option to submit proposals to ED requesting that other types of programs be recognized as "rigorous", ISBE has informed us that Illinois did not submit a proposal by the June 1st deadline. As a result, Illinois students' eligibility will fall under options 3 or 4, as outlined by ED. At this point, it is still undecided whether ISBE will request that additional programs be recognized for academic year 2007-08; that deadline is November 1st.
If any of your students and their families are seeking more information about the grants, please refer them to the appropriate Zone of collegezone.com. All five Zones - Student, Parent, Counselor, FAA, and Lender - now include information about these federal grants.
Financial aid professionals can find a Q & A document about the new grants in the Federal Information area of the e-Library. A second Q & A document, designed as a follow-up to ISAC's recent HERA Conference Call trainings, also containing information about these grants, will be posted to collegezone.com in the near future. Be watching the Message Board of your Zone for the announcement.
Return to Top
Public Schools - Participating in the ING Grant and IVG Programs
IVG Eligibility Data Now Available Online
Sent on June 30, 2006
To assist colleges identify current Illinois Veteran Grant (IVG) numbers and monitor whether a veteran has remaining IVG eligibility units, the Illinois Student Assistance Commission (ISAC) is pleased to announce that eligibility data is now provided in a secure environment via "IVG Eligibility at My Zone."
IVG Eligibility at My Zone replaces the CD-ROMs that had previously been mailed to colleges.
Now Available
The initial release of IVG Eligibility at My Zone includes:
- convenient access, via your computer, to a complete payment history for all veterans on record;
- a secure online environment, eliminating the potential for confidential data to be stolen or lost in the mail;
- up-to-date information (data is updated daily);
- continued access to all "master file" data that had previously been provided via CD-ROMs;
- the ability to filter data by Social Security number, name or IVG number;
- access to IVG Eligibility and Claim History data; and
- online access to operating instructions at My Zone.
Coming Soon
Plans are underway to add report functionality to IVG Eligibility at My Zone. Further information about this upcoming enhancement will be provided via the College Zone e-Messaging service and the IVG Program News area at collegezone.com.
Accessing IVG Eligibility at My Zone
My Zone is a portal available in the FAA Zone at collegezone.com that allows colleges online access to student-specific data in a secure environment.
If your college is currently signed up to participate in My Zone, ask the My Zone Administrator in your office to grant you access to IVG Eligibility at My Zone. For complete information and instructions to access your college's IVG eligibility data, proceed to the FAA Zone front page and select the My Zone Quick Link in the right margin of the page. If your college has not yet signed up to participate in My Zone, proceed to the FAA Zone front page and select the My Zone Quick Link.
Return to Top
MAPnet Users
MAP Recompute Formula Successfully Implemented - 2006-07 MAPnet System Available
Sent on June 27, 2006
ISAC staff has completed verification of recompute data and the 2006-07 MAPnet system is now available for student awards to be calculated using the recompute formula.
All 2006-07 Institutional Student Information Report (ISIR) records received from the Central Processing System (CPS) on or before Friday, June 23rd have now been updated to reflect eligibility using the 2006-07 MAP recompute formula. On Wednesday, June 28th, ISIR information will be current through Tuesday, June 27th (today). At that time, we will return to daily processing of ISIR data.
As a reminder, the 2006-07 MAP Formula section at collegezone.com has been updated to reflect the recompute formula. As always, please refer to MAP Program News for the most up to date information.
Return to Top
FFELP PARTICIPANTS
Latest School DAAR Report Available
Sent on June 6, 2006 and on June 19, 2006
The Notification of Student Loan Borrower DAAR Status report (School DAAR Report) for your school is now available on College Zone's My Zone. This online version has replaced the paper rosters ISAC sent in the past.
The School DAAR Report is non-cumulative and is available twice a month to those institutions with students for whom ISAC, as the guarantor, has received a Default Aversion Assistance Request (DAAR) during the reporting time period. Each time a new School DAAR Report is made available online, an e-Message will be sent to the "FFELP Participants" e-Messaging subscription group.
Accessing School DAAR Reports at My Zone
My Zone is a portal available in the FAA Zone at collegezone.com that allows postsecondary schools online access to student-specific data in a secure environment. If you have not yet signed up to participate in My Zone, proceed to the FAA Zone front page and select the My Zone Quick Link.
For complete information and instructions to access your school's DAAR Report, proceed to the FAA Zone front page and select the My Zone Quick Link in the right margin of the page.
Return to Top
ISAC UPDATE GROUP
Electronic ISAC Update for May 2006 Available at College Zone
Sent on June 1, 2006 The May 2006 edition of the ISAC Update is now available for your review within the ISAC Publications section of College Zone's e-Library. This version of the monthly electronic ISAC Update is a compilation of e-Messages sent to financial aid administrators and business officers in May via College Zone's e-Messaging service.
Topics covered in the May 2006 ISAC Update include:
- ISAC Gift Assistance Programs Updates - Including 2005-06 Close-out
(sent May 25, 2006)
- FFELP Stafford and PLUS MPNs Approved
(sent May 24, 2006)
- Proration Rate for 2005-06 ING Grant Program Timely Second or Third Term Claims
(sent May 23, 2006)
- Close-out for 2005-06 MAP & IIA Payment Processing
(sent May 22, 2006)
- Returning Amounts Owed for 2005-06 MAP & IIA
(sent May 22, 2006)
- Commission Meeting to be Held Friday, June 16, 2006 (New Date)
(sent May 18, 2006)
- Urgent Notice about 2006-07 MAP and IIA Records - Update
(sent May 15, 2006)
- HERA Conference Calls to be Held in May; Financial Aid 101 Workshops to be Offered in June
(sent May 12, 2006)
- Mark Your Calendar for Upcoming Important Dates
(sent May 11, 2006)
- Updated Deferment Forms Released
(sent May 9, 2006)
- ISAC Budget & Legislative Update
(sent May 8, 2006)
- ED Issues Guidance for Academic Competitiveness Grant Program
(sent May 4, 2006)
- Latest School DAAR Report Available
(sent May 3, 2006 and May 18, 2006)
- DCLs Regarding HERA Changes
(sent May 1, 2006)
- Electronic ISAC Update for April 2006 Available at College Zone
(sent May 1, 2006)
Return to Top
|
|
|
|
|
|
