# data[].attributes.body
My name is Lauren Discher. I am currently in my 9th year as a College and Career Advisor in a local high school. I work with primarily low income, first generation students who need help navigating the college application process. This includes completing their college applications, essays, scholarships, and financial aid. My goal is to eventually transition into a university position working with first generation students in some capacity.
The students I work with rely heavily on the Federal Pell Grant in order to attend college. The situation often occurs where if a student does not receive enough federal funding, they can no longer attend the particular institution. The threshold which determines a students eligibility for receiving the Pell Grant is calculated based on financial need and a students expected family contribution (Federal Student Aid, n.d). Family income can change from year to year, which may impact an undergraduates Pell Grant eligibility status. Student compliance around the rules regarding the Pell Grant are also very important in determining eligibility. However, many students who receive the Pell Grant forget they must also maintain their eligibly and comply with the rules regulating the funding. The loss of funding can greatly impact a students ability to continue their education.
The laws and regulations around Pell Grants and student compliance are vast and encompassing. Financial aid advisers working in universities must be aware of these laws in order to fully support and assist students. The purpose of this legal guide is to inform and educate financial aid advisers about the laws surrounding student compliance in relation to the Pell Grant. Far to often students lose their eligibility status because they fail to comply with the laws surrounding the Pell Grant and the specific institution.  This Legal Guide will highlight and focus on the laws related to student compliance and the Federal Pell Grant. The goal is for financial aid advisors to start incorporating discussions surrounding student aid eligibility. These discussions will assist in preventing students from losing the aid they count on year after year.

References

Federal Student Aid. (n.d.). Federal Pell Grants are usually awarded only to undergraduate students. Retrieved from https://studentaid.gov/understand-aid/types/grants/pell

# data[].attributes.body
In order to understand more about student compliance in regards to the Pell Grant, I interviewed Mr. Jacob Moore a Financial Aid Officer working at the University of Texas at Austin.
In the interview, we covered the issues surrounding financial aid and the overall importance of the Pell Grant. He discussed how most students accept their awards without reading the fine print or fully understanding everything that comes with accepting a Pell Grant (Moore, Personal Communication, September 23rd, 2020). The financial aid officers working at The University of Texas at Austin, are extremely knowledgeable, but lack guidance on student compliance. A document breaking down the laws and guidelines regarding student compliance and the Pell Grant is a necessary endeavor.
As a Financial Aid Officer Mr. Moore has developed a few best practices which he utilizes when training new staff:

·      The university currently has a policy regarding maintaining financial aid and Pell Grant eligibility. At the start of each semester, Mr. Moore and the other UT Financial Aid Officers go through a training which covers the universities policy and the important key points students need to understand regarding the policy.

·      Mr. Moore also talked about the various personalized financial aid sessions they have regularly with students and parents. In these sessions the financial aid officers are required to address student compliance and maintaining financial aid eligibility.

·      Students must also attend a financial aid session during freshman orientation. “We meet with groups of freshmen during orientation. During these presentations, we cover financial aid and how to comply with state laws and the universities policies” (Moore, Personal Communication, September 23rd, 2020).
·      Mr. Moore addressed the universities policy for holding students in compliance. If a student’s grades begin to drop, that student will be placed on satisfactory academic process. At the end of the semester the student will receive a warning. If they are still unable to improve their grades they will no longer be eligible for financial aid for the following year (Moore, Personal Communication, September 23rd, 2020).

Every year the financial aid staff must learn about the new policies regulating financial aid. The amount of money each school receives can change over time, and this directly impacts the Pell Grant. He specifically mentioned the current changes occurring related to federal funding within the government. Mr. Moore stated "This is an interesting time for financial aid advisers and we must stay current with the changes which may occur" (Moore, Personal Communication, September 23rd, 2020). One of the proposed changes involves combining the Pell Grant with other types of federal funding. This would impact the amount of Pell Grant awarded to each institution. Financial aid advisers must continue to learn and educate themselves in regards to these news policies (Moore, Personal Communication, September 23rd, 2020).

Mr. Moore also talked about the legal issues surrounding financial aid and the universities responsibility to report financial aid spending. Each university must be accountable for how they disperse their financial aid to students. In the conversation, he talked about the financial aid verification process and how that process is directly related to reporting student funding. "Not every student needs to complete the verification process, but if a student does, it is because the university needs more documentation to prove they qualify for the funds" (Moore, Personal Communication, September 23rd, 2020).

The conversation was extremely informative. Financial aid advisers clearly need information which addresses the Federal Pell Grant and student compliance.

Interview Information:
Mr. Jacob Moore
Financial Aid Officer at The University of Texas in Austin
School link with contact information:
https://directory.utexas.edu/index.php?q=jacob+moore&scope=faculty%2Fstaff&submit=Search

# data[].attributes.body
Professional Association:
The Student Affairs Administrators in Higher Education (NASPA)
Link:
https://www.naspa.org/blog/hoops-and-hurdles-of-financial-aid
Summary:
The Student Affairs Administrators in Higher Education (NASPA) association created a three part blog series breaking down some common questions and issues around financial aid. The first article "Hoops and Hurdles of Financial Aid" addressed the pell grant and alerts students that it will be prorated if they decide to attend part time. In fact the article points out the "disparity in aid distribution for part-time students...at the federal level" (Wesley, 2020, para 6). The article specifically talks about the fact that students who have similar incomes will be awarded less in the Pell Grant if they choose to enroll part-time (Wesley, 2020).
This article points out one of the issues with financial aid and the barriers our students encounter. Students must take these restrictions and rules into consideration when they accept or apply for financial aid and Federal Pell Grant (Wesley, 2020).

Reference:

Wesley, A. (2020, January 2020). Hoops and hurdles of financial aid. NASPA. Retrieved from https://www.naspa.org/blog/hoops-and-hurdles-of-financial-aid

# data[].attributes.body
Citation:
Muarkami, K. (2020, September 9). Next education secretary should promote racial equity, group says. Inside Higher Ed. Retrieved from https://www.insidehighered.com/quicktakes/2020/09/09/next-education-secretary-should-promote-racial-equity-group-says
Link:
https://www.insidehighered.com/quicktakes/2020/09/09/next-education-secretary-should-promote-racial-equity-group-says
Summary:
·      The top leaders for the advocacy group of Student Defense agree that the next Education Secretary of State needs to reshape the federal student loan program.

·      This means the Education Department will be able to require universities, which accept direct loans, to also agree to enroll students who are Pell Grant eligible at an equal rate.

·      The department would also require students who receive the Pell Grant to graduate college within the same time frames as those students not receiving the Pell Grand.

·      The purpose for these new directives is to maintain social equity and justice in respect to student loan repayments. This will also mean students receiving the Pell Grant are succeeding and graduating within a four year time limit (Murakami, 2020).

·      This article is especially important for institutions of higher education and the impact the new laws may have on student enrollment and graduation rates. These laws will increase the enrollment of students who are Pell eligible. They will also hold the university accountable for ensuring that the students receiving the Pell Grant graduate on time and are succeeding in college. The new laws, if enacted, will also impact financial aid advisers who must track student academic progress.

# data[].attributes.body
Citation:
Schwartz, N. (2019, October 15). Report: State and federal spending on higher ed has nearly converged. Education Dive. Retrieved from https://www.educationdive.com/news/report-state-and-federal-spending-on-higher-ed-has-nearly-converged/564973/
Link:
https://www.educationdive.com/news/report-state-and-federal-spending-on-higher-ed-has-nearly-converged/564973/
Summary:
·      Over the years, the amount of federal student aid awarded has increased while state funding has dropped significantly. In the past state funding has accounted for a large portion of student funding. However, since 2015 there has been a 31% decrease in state funding per student.

·      The issue the article addresses is on the convergence of funding and how support for higher education comes into the system. There is more support for the federal government and less for the funding of public colleges via the state. In fact, according the article, the federal government has grown the student aid program. The Pell Grant rose a total of 71% and there is now over $11.5 billion allocated to the program.

·      Many universities rely on state funding in order to support students. A huge cut in the budget can cause serious situations for those institutions.

·      University officials must bear in mind that funding for federal aid is cyclical. When there is an economic downturn, the federal government increases federal funding in order to support students (Schwartz, 2019).

This article is important for financial aid advisers. The Pell Grant funding has increased significantly, which allows institutions to admit higher levels of students who are Pell eligible. It is also important to keep in mind that funding changes year to year. Funding is never final and when aid changes, the university’s staff must be current on the new laws and amounts

# data[].attributes.body
Citation:
Duration of Student Eligibility, 34 § CFR 690.6
Source of Law:
Federal Administrative Law
Link:
https://ecfr.io/Title-34/Section-690.6
Summary:
·      Some of the laws which regulate the Federal Pell Grant are housed within the Code of Federal Regulations.

·      Within these laws are the specifics and details regarding the Pell Grant. The Duration of Student Eligibility, 34 § CFR 690.6 explains the length of time a student may receive the Pell Grant.  The law clearly states that students are allowed to receive the Pell Grant while they complete their undergraduate baccalaureate degree. The financial aid adviser is responsible for determining "when the student has completed the academic curriculum requirements for that first undergraduate baccalaureate" (34 § CFR 690.6) degree.

·       The law also states that Pell Grants are allowed for students who are pursuing a certification in Education, even if they have an undergraduate degree  (34 § CFR 690.6).

·      Financial aid advisers need to be aware of these regulations and monitor student progress. If a student earns an undergraduate degree, they can no longer receive the Federal Pell Grant. However, if that student is continuing their education to become a teacher, they are eligible to continue receiving the Pell Grant.

# data[].attributes.body
Citation:
Transfer of Grant Funds for use as Matching Funds, Tex. Educ. Code § 56.036
Source of Law:
State Statutory Law
Link:
https://statutes.capitol.texas.gov/Docs/ED/htm/ED.56.htm#56.036
Summary:
·      The law regulating the Transfer of Grant Funds for use as Matching Funds, Tex. Educ. Code § 56.036 regulates the Texas Grant and any leftover funding.

·      If an institution of higher education has additional funds from the Texas Grant, they must transfer those funds to the Texas Higher Education Coordinating Board (THEBC).

·      The THEBC can then use those funds to help match federal grant programs for students who have need. This includes possibly increasing the Federal Pell Grant.

·      The amount of aid for a student may increase if there are leftover funds from the THEBC (Tex. Educ. Code  56.036).

# data[].attributes.body
Citation:
Jason B. Nicholas v. Richard Riley Secretary U.S. Department of Education 874 F. Supp. 10 (1995)
Source of Law:
Judicial Law
Link:
https://law.justia.com/cases/federal/district-courts/FSupp/874/10/1477783/
Summary:
·      The plaintiff for this court case is a New York City state prisoner.

·      In 1995 he challenged the law stating that prisoners are not allowed to receive the Federal Pell Grant. Prior to this law, the plaintiff was receiving the Federal Pell Grant and participating in the prison’s college class program. This law prohibited the plaintiff from attending the college classes.

·      The court ruled against the plaintiff, stating that the original law, prohibiting prisoners from receiving the Pell Grant, was amended correctly and directly (Nicholas v. Riley, 1995).

·      Students who are dependent on the Federal Pell Grant need to hear any and all regulations which may prevent them from receiving the funds from the Federal Pell Grant. If a student commits a crime and is in prison, they will no longer receive the Pell Grant.

# data[].attributes.body
Reference:
Federal Pell Grants: Amount and determinations; applications, 20 USC § 1070a
Source of Law:
Federal Statutory Law
Link:
https://uscode.house.gov/view.xhtml?req=(title:20%20section:1070a%20edition:prelim)
Summary:
·      The United States Codes 20 USC § 1070a(b) regulates the Federal Pell Grant program and details the purpose and amount of the grant. These regulations are especially critical in determining a student’s compliance.

·      A students Pell Grant eligibly is determined by their Estimated Family contribution (EFC). If the students EFC falls under a certain amount the student will receive the maximum amount of the Pell Grant.

·      If a student attends an institution of higher education less than full time, the student will receive a portion of the Pell Grant.

·      The Federal Pell Grant may be applied to study abroad programs if the student is eligible for the Pell Grant as granted by the institution.

·      The Federal Pell Grant may not exceed the difference between expected family contribution and the cost of tuition (20 USC § 1070a(b)).

# data[].attributes.body
Local Rule:
Satisfactory Academic Progress
Citation:
The University of Texas as Austin: Texas One Stop. (n.d.). Maintaining eligibility. Retrieved from https://onestop.utexas.edu/managing-costs/scholarships-financial-aid/managing-aid/maintaining-eligibility/
Link:
https://studentaid.gov/understand-aid/eligibility/staying-eligible
Summary:
The University of Texas at Austin clearly states a student receiving the financial aid, including the Federal Pell Grant, must maintain satisfactory Academic Progress (SAP). If a student falls below a 2.0 grade point average, fails to complete 75% of their credit hours, and does not meet maximum timeframe requirements of 134%, they may lose their financial aid. First the student will receive a warning. If the student continues to fall below the SAP requirements their financial aid will be suspended (The University of Texas at Austin, n.d.).

# data[].attributes.body
Ethical Code Item:
Principal IV- Justice (Council for the Advancement of Standards in Higher Education, 2006).
Citation:
Council for the Advancement of Standards.  (2006).  CAS professional standards for higher education (6th Ed.).  Washington, DC: Author
Link:
https://www.cas.edu/files/CASethicsstatement.pdf?mc_cid=467ed5fe4a&mc_eid=052333efc4
Summary:
Principal IV Justice is an ethical code which relates to students receiving the Federal Pell Grant. The Principal IV Justice clearly discusses the importance of breaking barriers which may prevent students from learning and developing in an educational environment (Council for the Advancement of Standards, 2006).  The Federal Pell Grant is helping students break through the barriers which may prevent them from receiving a college degree. A student receiving the Federal Pell Grant often relies on those funds in order to pursue higher education. Awarding these funds align within the ethical Principal IV Justice in the CAS.

# data[].attributes.body
Resource:
National Association of Student Financial Aid Administrators (NASFAA)
Citation:
National Association of Student Financial Aid Administrators. (n.d.) Online courses. Retrieved from http://www.nasfaa.org/Online_Courses
Link:
http://www.nasfaa.org/Online_Courses
Summary:
The National Association of Student Financial Aid Administrators (NASFAA) is a fantastic resource for financial aid advisers. The NASFAA updates current policies and procedures related to financial aid. They also offer online training courses which outline the details around the Federal Pell Grant, Satisfactory Academic Progress, and the Fundamentals of Financial aid (National Association of Student Financial Aid Administrators, n.d.). Financial aid advisers who wish to learn more about the policies regarding the Pell Grant can reference the NASFAA website.

# data[].attributes.body
Recommendations:
Applying for financial aid is often a challenging and confusing process. Students applying for financial aid and the Pell Grant, depend on those funds in order to pursue higher education. All too often students who receive the Pell Grant, are unaware they must abide by certain rules and understand the regulations regarding those awards. Students must pay close attention to their grades and academic standing or risk Satisfactory Academic Progress (The University of Texas at Austin, n.d.). They must also understand the regulations outlined under the Federal Statutory Law regarding the Federal Pell Grant (20 USC § 1070a(b)). The law highlights some of the major regulations around student compliance. Students enrolled part time will receive an adjusted amount of the Pell Grant, the Pell Grant may be used if the student wants to study abroad, and the Pell Grant will not exceed the difference in the expected family contribution and the tuition of the university (20 USC § 1070a(b)). Financial aid advisers are responsible for ensuring that students understand and comply with these rules. My recommendations for best practices are as follows:

·      When a financial aid adviser meets with an incoming freshman, they must go over the policies, rules, and procedures regulating the Federal Pell Grant. Once the meeting has concluded the student must sign an agreement form stating they understand their responsibilities as Pell Grant recipients.

·      Financial aid advisers must reiterate the importance of student compliance for every year the student receives the Pell Grant. The student must also sign another agreement.

·      The financial aid adviser must send emails and letters to the student’s parent/guardian which details student compliance. The letters and emails must be sent out for every year the student receives the Pell Grant.

·      When new laws and regulations occur, which impact the Federal Pell Grant, financial aid advisers must meet with groups of students and relate the new information. Each student must be aware of the changes which impact their financial aid and how they can comply with the laws regulating the changes.

·       Students will be assigned or volunteer to be a financial aid ambassador. These students are required to have a booth during student organization events which highlight and remind students about their responsibilities when receiving the Pell Grant. The students who are financial aid ambassadors can pass out information about student compliance and offer workshops to keep students aware of current changes.

·      Financial aid advisers will work closely to monitor student academic and behavioral progress. They will have meetings with students who are suffering academically and in jeopardy of losing their Pell Grant. Financial aid advisers will also meet with students who are in trouble or have issues with the police and remind the student about the laws regulating student compliance and the Pell Grant.

These recommendations will help ensure students comply with the rules regulating the Pell Grant. Financial aid advisers need to be aware of the rules, monitor the student closely, and help them comply with the laws.

References:

Federal Pell Grants: Amount and determinations; applications, 20 USC § 1070a

The University of Texas as Austin: Texas One Stop. (n.d.). Maintaining eligibility. Retrieved from https://onestop.utexas.edu/managing-costs/scholarships-financial-aid/managing-aid/maintaining-eligibility/