ED’s Electronic Announcements (EAs) on IFAP: 150% DIRECT SUBSIDIZED LOAN LIMIT
EA – Posted October 25, 2013 – (Loans). 150% Direct Subsidized Loan Limit: Electronic Announcement #4 – Tracking Teacher Certification Programs for the 2013-2014 Direct Loan Processing Year
The information shared in this announcement provides the details necessary for schools to understand how the 150% Direct Subsidized Loan limit is to be handled for tracking the loan eligibility used for teacher certification programs vs. other undergraduate programs. ED clarifies the process that will be necessary to track and report students’ usage of Direct Subsidized Loans in a teacher certification program in 2013-2014 until ED implements enhancements in the 2014-2015 COD System for tracking such distinction of loan usage by type of program. Schools are informed of the type of data elements that they will have to report on loans processed for borrowers in teacher certification programs. It is important that schools with teacher certification programs analyze this EA for the steps necessary for accurate reporting of their students’ Subsidized DL usage.
EA – Posted November 12, 2013 – (Loans). 150% Direct Subsidized Loan Limit: Electronic Announcement #5 – Limited School Calculation of Remaining Eligibility
Schools that have programs shorter than 1.5 years, 10 months, or 40 weeks may have occasion where they will need to calculate the “Remaining Eligibility Periods” for the rest of the 2013-2014 DL processing year. (For 2014-2015 the COD System should be enhanced to perform all of the calculations for schools.) ED clarifies that the scenarios for such required calculation by the school will be rare because there are very limited circumstances in which a 2013-2014 borrower could lose Subsidized DL eligibility when one considers that in order to be subject to the 150% limit a borrower would have to be classified as a “first-time borrower” for this legislative purpose (i.e., the new borrower received his or her first loan on or after July 1, 2013). As such, it will be unusual that a first-time borrower might not be eligible for a Direct Subsidized Loan in 2013-2014. However, one such scenario of a limit would be when the borrower has already received a Subsidized DL for 2013-2014 and is now applying for or being considered for a subsequent Subsidized DL for 2013-2014. And, this limiting consideration would only impact the student if the subsequent loan was for an academic program shorter than 1.5 years, 10 months, or 40 weeks in length. ED provides an optional Excel worksheet with this EA to assist schools in performing the required calculations. Schools are reminded that the calculation by the school for a subsequent 2013-2014 Subsidized DL that may potentially be impacted by the 150% limit is only required when utilizing the 2013-2014 COD System. If the subsequent loan will be originated using the 2014-2015 COD System release, the special calculation will not be necessary.
EA – Posted November 25, 2013 – (Loans). 150% Direct Subsidized Loan Limit: Electronic Announcement #6 – Availability of New NSLDS Enrollment Reporting File Layouts (DRAFTS)
In preparation for the new requirement for schools to report students’ enrollment information at the program level, ED is providing an early draft of the file layouts for NSLDS reporting. These file layouts are in fixed-width and Comma Separated Values (CSV) formats. Schools may access the file layouts through the link in this Electronic Announcement or on the IFAP Web site under the NSLDS Records Layout section. ED acknowledges that these are drafts and that there may be changes to them before actual implementation, yet the Department is also aware that some schools desire the anticipated file layouts as soon as possible for planning to provide the newly required information. ED will announce when the new file layouts are in final version. Schools may begin using the new file layouts no sooner than April 14, 2014. All schools must begin using the new file layouts no later than July 1, 2014.
EA – Posted December 20, 2013 – (Loans). 150% Direct Subsidized Loan Limit: Electronic Announcement #7 – Establishment of IFAP Information Page and First Set of FAQs
ED has established a unique information page on IFAP that deals specifically with the requirements of the 150% Direct Subsidized Loan Limit provisions of the law. The page will serve as a comprehensive site for all information related to the details of the 150% requirements, to include links to the regulations, Electronic Announcements, Dear Colleague Letters, etc. This particular posting also highlights the first edition of frequently asked questions (FAQs) on this topic. Schools may access the site directly through the link in this EA at http://www.ifap.ed.gov/150PercentDirectSubsidizedLoanLimitInfo, or directly from IFAP utilizing the link in the “150% Direct Subsidized Loan Limit Info” box in the right-hand sidebar of the IFAP home page.