session 05 acg and national smart grant: student eligibility & academic year issues david...

Session 05

ACG and National SMART Grant:

Student Eligibility & Academic Year Issues

David Bergeron

Anthony Jones

Office of Postsecondary Education

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The Higher Education Reconciliation Act of 2005 (HERA) created two new grant programs

National Science and Mathematics

Access to Retain Talent (National SMART) Grant

Academic Competitiveness Grant (ACG)

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Agenda• Quick Update/Overview

• Similarities and Distinctions Between Programs

• Issues specific to each program

• Issues applicable to both programs

– Determining enrollment status

– Duration of eligibility

– Academic Year

– Disbursements

– Transfers

– Need

– Remedial Coursework

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Other Sessions

• This session will focus on Student Eligibility and

Academic Year issues. For more detailed information on

other ACG and National SMART Grant topics, you may

want to attend these other sessions:

– Session # 6: ACG and National SMART Grants—

Transfer Student and Rigor/Major Issues

– Session # 17: ACG and National SMART Grants—

Reporting from CPS to COD; Funding Levels and

Institutional Reports

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Rules and Regulations• Interim Final Regulations published on July 3, 2006

– These regulations govern awards made during 2006-07 and beyond, until changed

– Comments received through August 17, 2006

• Final regulations published November 1, 2006 governing 2007-08 with optional early implementation for 2006-07

• Negotiated Rulemaking to begin this fall; regulations produced will likely cover 2008-2009 and beyond

– Public Hearings began on September 19, 2006 & ended on November 8, 2006

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Authorization and Funding• Funding for these programs is not subject to annual

appropriations process: 2006-07 -- $ 790 million

2007-08 -- $ 850 million

2008-09 -- $ 920 million

2009-10 -- $ 960 million

2010-11 -- $ 1.01 billion

• If funding insufficient, awards will be ratably reduced

• Funds not spent in one year are carried over to subsequent year

• No reduction anticipated for 2006-07

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Similarities – Both Programs

Student EligibilityU.S. Citizen Only -- Eligible Non-Citizens are not eligible for ACG and National SMART Grants

Federal Pell Grant Recipient During Same Payment Period (or in Same Award Year)

Full-time Enrollment Only for Payment Period

Enrolled in Degree Program

Progression by Student Academic Year (Title IV definition)

Only One Full Scheduled Award for Each Academic Year

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Distinctions – Both Programs

ACG National SMART

1st & 2nd academic years of a 2-year or 4-year degree program

3rd & 4th academic years of a 4-year degree program

Requires completion of rigorous secondary school program of study

Requires student to be in a designated major

1st Academic Year - $ 750

2nd Academic Year- $1,300

3rd Academic Year - $4,000

4th Academic Year - $4,000

GPA of at least 3.0 as of the end of

1st academic year only

GPA of at least 3.0 as of the

beginning of each payment period

Note: There are second year ACG and third and fourth year National SMART Grants available for 2006-07.

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Academic Competitiveness Grants(ACG)

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ACG Eligibility Requirements

• U.S. citizen

• Federal Pell Grant recipient in the same payment

period (or in same award year if school chooses to

early implement Nov. 1 regs for 2006-07)

• First or second year student in a two or four year

degree program

• Full-time enrollment

• No specific major required

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• 1st year students

– May not have been previously enrolled in an ACG-

eligible program of undergraduate education

– Have completed a rigorous secondary school

program of study after January 1, 2006

• 2nd year students

– Have completed a rigorous secondary school

program of study after January 1, 2005

– Have at least a 3.0 G.P.A. in an eligible program

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• Student must have completed a rigorous secondary

school program of study

• ED has outlined options to meet requirement in

DCL GEN-06-08 and in the interim regulations

published July 3, 2006 (no change in Nov. 1 regs)

• Student may self-identify potential eligibility

through FAFSA process or school may identify

eligible students through institutional process

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ACG Applicant Self-Identification

• Results of student self-identification will be sent to all schools listed --

– CPS will send ISIRs with new comment codes

– If no other changes, message class will be IGAA07AP

– Special “flat file” with separate message class of ED2007OP

– Student specific information available using FAA Access

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ACG Applicant Self-Identification

• Comment codes will be provided on SAR for

student, and ISIR for schools

• Comment codes can be found in ISIR positions

1677 to 1736

• Multiple comment codes - one for each rigorous

criteria selected by student

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ACG Applicant Self-IdentificationSAR and ISIR Comments

Comment

CodeSAR Comment

267 Explains potential ACG eligibility

268 For students who selected a rigorous high school program

or state scholars program

269 For students who reported completion of AP/IB courses

and tests

270 For students who selected coursework completion

271 Advises student that their Financial Aid Administrator will

determine their eligibility

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ACG Rigorous Programs

1. State Designated Program

– State Submitted Program

– An advanced or honors secondary school

program established by a state and in

existence for the 04-05 or 05-06 school year

– State Scholars Initiative

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2. A set of courses as outlined in the interim final

regulations

3. Completion of at least two Advanced Placement

(AP) courses with passing test score of 3 or two

International Baccalaureate (IB) courses with

passing test score of 4

ACG Rigorous Programs

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ACG Documenting Rigorous Program

• Documentation from “cognizant authority” can be provided:

– By the student

• An unofficial transcript is acceptable documentation for ACG

eligibility if school has no reason to believe it is inaccurate

– Directly from “cognizant authority”

• For home schooled students, the parent or guardian is the

cognizant authority

• For transfer students, institution may rely on another school’s

determination that student completed a rigorous program

– NSLDS will store the data

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ACG Grade Point Average• No GPA requirement for 1st academic year

• For 2nd academic year ACG, student must have a GPA of

at least 3.0 from the 1st academic year

• Only determined one time, which must be only at the

completion of 1st academic year

• Special rule for transfer student –

– For student who transfers after completing first

academic year, the new school must calculate GPA

using the grades from all coursework accepted from

prior schools

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ACG - A Note About Transfer GPA

• The special calculation of GPA using grades from

transfer credits is solely for the purpose of

determining the GPA for ACG/SMART upon the

initial enrollment of a transfer student. Otherwise,

such transfer students would not be eligible

• The requirement is not intended to change the

institutional academic policy regarding the

treatment of grades when a student transfers

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ACG Grade Point Average – Example A

• Student completes first academic year after Spring

term and has a cumulative GPA of 2.9

• Student attends summer and earns high grades so

that new cumulative GPA preceding the Fall term

is 3.1

• Student is not eligible for second year ACG

because GPA for the first year was not at least 3.0

on a 4.0 scale

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ACG Grade Point Average – Example B

• Student completes first academic year after Spring

term and has a cumulative GPA of 3.2

• Student attends summer and earns low grades so

that new cumulative GPA preceding the Fall term

is 2.8

• Student is eligible for second year ACG because

GPA for the first year was at least 3.0 on a 4.0

scale

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National SMART Grants

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National SMART GrantsEligibility Requirements• U.S. citizen

• Must be Federal Pell Grant recipient for same payment

period (or in same award year if school chooses to early

implement November 1 regs for 2006-07)

• Third or fourth year student in a four year degree program

• Full-time enrollment in an eligible major

• Cumulative GPA of at least 3.0 on a 4.0 scale in student’s

eligible program

• No rigorous high school program required

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National SMART Grants Eligibility Determination

• No student self-identification as in ACG

• Institutions are responsible for reviewing records to identify all eligible students –

– ISIR for Pell Eligibility, Citizenship, and other Title IV eligibility requirements

– Academic Records for –• Eligible Major or, if available, intent

• GPA

• Full-time enrollment

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National SMART GrantsMajor Fields of Study

• Computer Science

• Engineering

• Technology

• Life Sciences

• Mathematics

• Physical Sciences

• Designated

Foreign Languages

Identified by Classification of Instructional Program (CIP) Code from Dear Colleague Letters GEN-06-06 and GEN-06-15

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National SMART Grants Monitoring Major

• Requires that a recipient –

– Declare an eligible major, or

– Show intent to declare eligible major

(if school policy does not require a major

before 3rd year)

• In both cases, student must enroll in coursework

leading to completion of the program with that

eligible major

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National SMART Grants Double Majors

• If student is enrolled in a double major:

– The student must be enrolled in coursework

that applies to an eligible major degree program

– The school must ensure that student is pursuing

completion of the eligible major by enrolling in

coursework supportive of timely degree

completion

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National SMART Grants Double Majors

• If student is enrolled in a double major:

– Enrollment status and academic year

progression must be based on all coursework

the student is taking

– GPA is for the student’s full academic program;

there is no need to “pull-out” the other major’s

coursework

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National SMART Grants Grade Point Average

• Student must have a cumulative GPA of at least 3.0 for

each payment period

• Includes all courses in eligible program (i.e., all

courses applicable to degree in SMART-eligible major)

• Calculated from last completed payment period

• Must review prior to each disbursement

• Provision for “interim disbursement” at school’s risk

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National SMART Grants Grade Point Average

• There is a special rule for transfers. For a student

who transfers after completing two academic

years, the new school--

– For the 1st payment period upon transfer, must

use the grades from all coursework accepted

from prior schools for GPA determination

– For subsequent payment periods, comply with

school academic policies

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National SMART Grants A Note About Transfer GPA

• The special calculation of GPA using grades from

transfer credits is solely for the purpose of

determining the GPA for ACG/SMART upon the

initial enrollment of a transfer student. Otherwise,

such transfer students would not be eligible.

• The requirement is not intended to change the

institutional academic policy regarding the

treatment of grades when a student transfers

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Both Programs

ACG and National SMART Grants

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Both ProgramsDetermining Enrollment Status

• Schools must use their Pell Grant recalculation

date policy to determine enrollment status for

ACG and National SMART Grant

• Must use same recalculation date (census date)

that is used for Pell Grants

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Both ProgramsDuration of Student Eligibility

• For ACG, students are restricted to:

– One grant for the student’s 1st academic year &

– One grant for the student’s 2nd academic year

• For National SMART Grant, students are restricted

to:

– One grant for the student’s third academic year &

– One grant for the student’s fourth academic year

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Both ProgramsDisbursements

• Funds maintained and disbursed according to Title

IV cash management rules

• Disbursements made on payment period basis

• If disbursement is for a cross-over payment

period, Pell Grant and ACG/National SMART

Grant must be assigned to same award year

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Both ProgramsDisbursements

• Student may not receive a disbursement

concurrently from more than one school

• ACG and National SMART Grant must be

received from same school from which Federal

Pell Grant is received

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Both ProgramsTransfer Students and Remaining Eligibility

• Determination of remaining eligibility for transfers based

on % of scheduled award remaining

– Example: Student who receives first year ACG for two

quarters for a total of $500 has received 2/3 of

scheduled award. Student is only eligible, as a first

year student, for the remaining 1/3 of the scheduled

award.

• Note: Scheduled award may be different if balance of first

academic year is in a new award year

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Both ProgramsNeed Based Grants

• Total of EFC and all estimated financial aid cannot exceed cost of attendance

– These grants may not replace EFC

• School may reduce other aid, including FSEOG, or one of these grants to avoid an overaward

• Special sub loan treatment as in campus-based awarding if Chapter 30 VA benefits or AmeriCorps award received

• No overaward tolerance

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Both ProgramsAcademic Year

• HEA provides that an academic year for a student in an undergraduate credit hour program be defined as:

– At least 24 semester or trimester credit hours or 36 quarter credit hours; and

– At least 30 weeks of instructional time

• Schools must use their Title IV academic year definition to determine the student’s academic year in the program of study

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Both ProgramsAcademic Year – Credit Hours

• Minimum Title IV definition of academic year is

often not the same as grade level progression for

loans and for other institutional purposes (e.g., 30

credit hours to progress from grade level 1 to

grade level 2, but only 24 credit hours are the

defined academic year)

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Both ProgramsAcademic Year – Credit Hours• School may define its Title IV academic year as more

than 24 credit hours – 30 in the prior example

• If program is offered by semester, trimester, or quarter

and fulltime is defined as at least 12 credit hours,

including summer, there is –

– No impact on 12 credits as full-time Pell Grant

– No impact on 6 credits for FFEL/DL loans

– Would impact loan proration

– Could impact Pell Grant formula 3 calculations

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• ACG Example –

– Institution defines Title IV Academic Year as 24 credit hours but grade level progression as 30 credit hours

– First year ACG recipient completes 24 semester hours

– Student now eligible for second year ACG award while still “freshman” and still at first year loan limit

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• ACG Example –

– Institution defines Academic Year as 30 credit hours

and grade level progression as 30 credit hours

– First year ACG recipient completes 24 credit hours

– Student not yet eligible for second year ACG award,

because 30 credits required to complete first academic

year and student still at first year loan level

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• National SMART Grant Example –

– Institution Defines Title IV Academic Year as 24 credit

hours but grade level progression as 30 credit hours

– Student has completed a total of 48 credit hours in

eligible program and declares eligible major

– Student now eligible for first National SMART Grant

while still “sophomore” and still at second year loan

limit because student is beginning third academic year

(as defined)

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• National SMART Grant Example –

– Institution defines Academic Year as 30 credit hours

and grade level progression as 30 credit hours

– Otherwise eligible student has completed a total of 48

semester hours and declares eligible major

– Student not yet eligible for first National SMART

Grant while still “sophomore” and still at second year

loan limit

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Both ProgramsAcademic Year – Weeks of Instructional Time

• An institution’s definition of Title IV academic

year for a credit hour program must contain a

minimum of 30 weeks of instructional time

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• To determine weeks of instructional time in academic year progression for the two grant programs for 2006-07 and 2007-08:

– Determine for each student the actual number of weeks of instructional time that were included for the student to complete the number of credit hours in the institution’s defined Title

IV academic year; or

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– Assume there were 30 weeks of instructional time

for each increment of credit hours that comprise the

institution’s defined Title IV academic year (e.g.,

24 credit hours equals 30 weeks).

• This method only applicable to standard term

programs

• However, an institution must review the actual

weeks upon the request of the student

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Both Programs - Academic YearCredits without Weeks of Instructional Time• When tracking actual weeks of instructional time, courses that are

not part of an eligible program of postsecondary education or courses not at the postsecondary level such as:

– Remedial Coursework;

– Advanced Placement (AP) or International Baccalaureate (IB) courses/exams;

– College Level Examination Program (CLEP);

– Credit for life experience;

– Courses taken when not enrolled as a regular student; and

– Courses that are not part of an eligible program.

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Both ProgramsRemedial Coursework

• Within the regular Title IV limitations, remedial

coursework applies toward enrollment status (i.e.,

full-time for these grant programs)

• The grades earned in remedial courses would only

count in the ACG/SMART GPA calculation if

they would be included under the school’s

academic policies

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Both ProgramsAvailability of Funds

• Initial authorizations in GAPS and COD with Electronic Statements of Account (ESOA) on July 29, 2006.

– Like Pell or Direct Loans (not like campus-based)

– No institutional allocation

• First draw downs from GAPS available first week of August 2006

• Schools will receive separate authorization for each program

• See session # 17 for more detailed information on reporting issues

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Further Training

• HERA Training – Fall 2006

– In-person Training

– More than 50 sites across country

– Offered September – December, 2006

– See Training Announcement on IFAP

http://www.ifap.ed.gov/dpcletters/ANN0610.html

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STILL HAVE QUESTIONS?

Frequently Asked Questions for ACG/SMART found on left-hand side of

IFAP’s HERA page at:

http://www.ifap.ed.gov/IFAPWebApp/currentHERAPag.jsp?p1=c

Or you can email your question to

[email protected]

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Contact Information

For questions or to provide feedback:

Anthony Jones

202-502-7652

[email protected]

David Bergeron

202-502-7815

[email protected]

Session 05

ACG and National SMART Grant: Student Eligibility & Academic Year Issues

Presentation supplement

containing examples for determining

academic year progression and financial need

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Example 1: Advanced Placement courses

• Student graduated high school May 2006. Enrolls at School A for Fall 2006. Student has 45 AP credits, all with a score of 3 or higher.

• School A’s definition of academic year is 24 credit hours and 30 weeks of instructional time.

• If School A assumes weeks of instructional time, this student would be in his/her second academic year.

• 45/24 = 1.875

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Example 1: AP courses (cont’d)

• However, student has no GPA from “first academic year” and would therefore not be eligible to receive ACG funds for his/her “second academic year”.

• If School A decides to track actual weeks of instruction, the student would still be in his/her first academic year since no weeks of instructional time are associated with AP credits. This student would be eligible for first year ACG award assuming all other eligibility criteria are met.

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Example 2: Academic Year

• Student completes 36 credit hours at School X and has 3.50 GPA. Student transfers to School Y. School Y accepts only 24 hours upon transfer.

• School Y is only required to use credit hours that transfer in determining academic year (hours and weeks), but the school may look at transcript (i.e., all 36) to determine weeks of instructional time completed.

• School Y chooses to use only the hours accepted to determine weeks. Therefore, School Y must use GPA for 24 hours transferred in to determine if student eligible for 2nd year ACG award.

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• Student enrolls at School A for 2006-07 award year. Student completes 24 semester hours over three terms (part-time enrollment) and receives no ACG.

• Student transfers to School B for 2007-08 award year. School B only accepts 18 semester hours of the courses taken at School A. School B defines its academic year as 24 semester hours and 30 weeks of instructional time.

• School B chooses to assume weeks of instructional time instead of tracking actual weeks.

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Example 3: Academic Year (cont’d)

• School B determines student has completed 18 credit hours and instead of tracking actual weeks of instructional time assumes 75% of academic year’s weeks (18/24) completed. Student is still in first academic year at School B.

– Year 1 is 0-24 hours and 30 weeks, Year 2 is 25-48 hours and weeks 31-60 …

• School B awards half of ACG award ($375) for Fall 2007

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• Student completes 15 hours in Fall 2007 and now has completed 33 semester hours. Student has cumulative GPA of 3.25 on the 15 hours earned at School B.

• School B assumes weeks, which means student has completed 1.375 academic years (33/24). Student has completed year 1 and is in academic year 2.

• For Spring 2008, school may award half of second year ACG ($650).

• Student received total of $1,025 in ACG funds for 2007-2008.

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Example 4: Academic Year• Same student as in ‘Academic Year: Example 3’.

• Student enrolls at School A for 2006-07 award year. Student completes 24 semester hours over three terms (part-time enrollment) and receives no ACG.

• Student transfers to School B for 2007-08 award year. School B only accepts 18 semester hours of the courses taken at School A. School B defines its academic year as 24 semester hours and 30 weeks of instructional time.

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• School B determines student has completed 18 credit hours and has policy to track actual weeks of instructional time.

• School B may look at transcript and determine that student has completed the weeks in a full academic year, because student completed two semesters at School A, but will only have 18 hours “completed” at School B.

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• Note: ED guidance allows School B to assume weeks of instructional time for credits transferred in and then track actual weeks of instructional time from that point on.

• If a student requests that all weeks of instructional time be tracked rather than assumed, a school must review the student’s academic history to determine the actual weeks.

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• For the first semester (Fall 2007) at School B, the student can be awarded $375 in ACG funds.

• Student completes 15 hours in Fall 2007 and has a cumulative GPA of 3.25. This GPA represents only the 15 hours taken in Fall 2007. – If school policy is to include GPA for courses transferred

in, then the cumulative GPA at the end of Fall 2007 would also include the GPA for those courses.

• At the end of Fall 2007, the student will have completed the weeks for 1 ½ academic years and have 33 hours. The school may award $650 in ACG funds for Spring 2008.

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• At School C, student completes 12 credit hours. Student was only enrolled full-time one semester and received only one disbursement ($375) of ACG funds.

• Student transfers to School D and none of the 12 credits transfer. School D assumes weeks of instructional time. With zero hours, School D reviews NSLDS and notes the student has already been awarded ACG funds (which serves as documentation of completion of rigorous secondary school program of study).

• School D awards this student $375 ACG award.

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• Student completes 14 credit hours in Fall. Although student is still in first academic year at School D, there are no remaining ACG funds for Spring.

– With no transfer hours, no weeks of instructional time were assumed.

• Even if School D chose to track actual weeks, this student would have completed the weeks of instructional time for an academic year but still not have the credit hours.

– Student must meet both measures before funds can be awarded for next academic year.

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Example 6: Academic Year Progression Student graduates high school and enrolls at school that

tracks actual weeks of instructional time.

• Fall 2006: 15 hours, 15 weeks– Awarded ½ of 1st academic year ACG

– Ends term with 15 hours and 3.66 GPA

• Spring 2007: 18 hours, 15 weeks– Awarded ½ of 1st academic year ACG


• Summer 2007: 9 hours, 15 weeks*– Receives no ACG (less than full-time)


*Certain programs allowed to treat summer term as 15 weeks

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Example 6: Academic Year Progression (cont’d)

• Fall 2007: 18 hours, 15 weeks– Awarded ½ of 2nd academic year ACG


• Spring 2008: 18 hours, 15 weeks– Awarded ½ of 3rd academic year Nat’l SMART Grant (beyond

2nd yr in wks & hrs; SMART-eligible major declared)


• Summer 2008: 9 hours, 15 weeks*– Receives no Nat’l SMART Grant (less than full-time)

– Ends term with 87 hours and 3.69 GPA*Certain programs allowed to treat summer term as 15 weeks

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• Fall 2008: 15 hours, 15 weeks– Awarded ½ of 4th academic year Nat’l SMART Grant


• Spring 2009: 18 hours, 15 weeks– Awarded ½ of 4th academic year Nat’l SMART Grant


• Total ACG received: $1,400

• Total National SMART Grant received: $6,000

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Example 7: Academic Year Progression Student graduates high school and enrolls at school that

assumes weeks of instructional time based on credits.

• Fall 2006: 15 hours, 15 actual weeks– Awarded ½ of 1st academic year ACG

– Ends term with 15 hours and 3.66 GPA (assumes 0.625 ac.yrs.)

• Spring 2007: 18 hours, 15 actual weeks– Awarded ½ of 1st academic year ACG


• Summer 2007: 9 hours, 15 weeks*– Receives no ACG (less than full-time) – Ends term with 42 hours and 3.63 GPA (assumes 1.75 ac.yrs.)

*Certain programs allowed to treat summer term as 15 weeks

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• Fall 2007: 18 hours, 15 weeks– Awarded ½ of 2nd academic year ACG


• Spring 2008: 18 hours, 15 weeks– Awarded ½ of 3rd academic year Nat’l SMART Grant because

eligible major declared


• Summer 2008: 9 hours, 15 weeks*– Receives no Nat’l SMART Grant (less than full-time)


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• Fall 2008: 15 hours, 15 weeks– Awarded ½ of 4th academic year Nat’l SMART Grant


• Spring 2009: 18 hours, 15 weeks– Awarded ½ of 4th academic year Nat’l SMART Grant

– Ends term with 120 hours and 3.64 GPA (graduates)

• Total ACG received: $1,400

• Total National SMART Grant received: $6,000

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Example 8: Change in Academic Year

• Student completes 49 semester hours at School A over three award years then transfers to School B. School B reviews NSLDS and sees that the student received a full scheduled award for ACG for the 2008-09 award year for academic year 2.

• School B only accepts 22 semester hours as applicable toward a degree at its institution.

• Student is not eligible for academic year 1 ACG because history shows year 2 already received.

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Example 9: Financial NeedStudent Profile

COA: $19,500

EFC: 0

Need: $19,500

Original Determinations

Merit Scholarship $15,000

Federal Pell Grant $ 4,050

ACG: $ 750

Packaging Options

Merit Scholarship: $14,700

Federal Pell Grant: $ 4,050

ACG: $ 750

--OR--

Merit Scholarship: $15,000


ACG: $ 450

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Example 10: Financial NeedStudent Profile

COA: $25,500

EFC: 0

Need: $25,500

Original Determinations

Veterans Benefits $21,970

Federal Pell Grant $ 4,050

ACG: $ 750

Packaging Options

Veterans Benefits $21,970


ACG: $ 0

Student cannot receive any ACG funds because need has already been met. No overaward for Pell and VA only.

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Contact Information

For questions or to provide feedback:

Anthony Jones

202-502-7652

[email protected]

David Bergeron

202-502-7815

[email protected]

session 05 acg and national smart grant: student eligibility & academic year issues david...

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