Prepaid Tuition 
ISAC Update
VOL. 27, NO. 10IGSL, 10B
April 2010
| Messages sent to: | Multiple Subscription Groups |
| FFELP Participants | |
| ISAC Update Group |
Welcome to the April 2010 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 April. 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 isac.schoolservices@isac.illinois.gov. 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.
MAP Capital Investment Bond Proposal Resource Page at College Zone
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users and Business Officers on April 23, 2010
In each of the past two years, demand for ISAC's Monetary Award Program (MAP) has been such that suspension of award announcements has occurred the earliest in the history of the program. These suspensions have caused approximately 100,000 students each year to not receive the awards for which they were eligible. In response, ISAC is pursuing possible additional funding sources for MAP - specifically the MAP Capital Investment Bond Proposal. A brief explanation of the proposal appears below, and a resource page has been created and is available for your reference at collegezone.com/mapcap.
Generally, the MAP Capital Investment Bond Proposal, which may be presented for consideration during this spring's legislative session, would be a secondary funding mechanism, in addition to appropriation by the State of Illinois through traditional general revenue sources. It would in no way impact the MAP formula used to allocate student awards, and would work this way:
- ISAC would issue revenue bonds to gain additional funding for MAP, and
- the bonds would be repaid with state income tax revenue.
Because receipt of the MAP grant helps students attain a better education and likewise, higher paying jobs, the resulting higher income tax revenues would be tapped to repay the bonds. ISAC analysis of Illinois Department of Revenue (IDoR) tax revenues generated by students who received MAP grants at community colleges shows that a large majority of those recipients pay a significant amount of taxes every year. Analysis by financial advisors indicates the taxes are sufficient to fund revenue bonds used to pay for MAP.
As more activity takes place, and once a bill has officially been introduced in the legislature, we will continue to keep you informed via our regular communication methods. In the meantime, please refer to the Monetary Award Program Capital Investment Bond Proposal page for the latest information. Available on the page is a Fact Sheet, Frequently Asked Questions (FAQ's), information about MAP distribution by various categories and a position paper by Women Employed.
Those with specific questions about the MAP Capital Investment Bond Proposal are encouraged to present them via e-mail to the School Services address provided below.
2010-11 MAP Suspension Status Available in MAPnet on Wednesday (April 21)
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users and Business Officers on April 20, 2010
Suspension of MAP Award Announcements Effective
April 19, 2010
As was previously announced, ISAC has suspended the announcement of 2010-11 Monetary Award Program (MAP) grants for all students whose initial 2010-11 Free Application for Federal Student Aid (FAFSA) is received by the Central Processing System (CPS) on or after April 19, 2010. Beginning Wednesday, April 21st, MAP records in suspension status will be available on MAPnet and indicated as such in the Eligibility Status File (ESF).
The decision to suspend award announcements at this time is based on the governor's proposed FY2011 budget (as indicated in a March 16, 2010 State Legislative Update) and the fact that the number of eligible applications is
32 percent higher than in 2009-10.
2010-11 MAP Applicant Award Status Chart
The 2010-11 MAP Applicant Award Status Chart provides an overview of categories for students based on the initial application (FAFSA) receipt date.
Student Award Announcements
Colleges must suspend announcements of MAP awards to students whose initial FAFSA receipt date is on or after April 19, 2010.
Please note that ISAC is not notifying affected applicants that their awards have been placed in suspension status. Schools are advised to communicate announcement information to students with suspended awards as prescribed in school policy and procedure.
Identifying Records in Suspension Status
MAP records in suspension status will be indicated by a MAP Suspend Code of "S" (S = New application received after the suspense date will not be considered for an award this year) on MAPnet and in the Eligibility Status File (ESF). As a reminder, MAPnet contains filters that will allow you to identify student records and create a report of those records placed in suspension status.
Reminder Regarding IIA Program Status
The governor's proposed FY2011 budget includes no funding for the Silas Purnell Illinois Incentive for Access (IIA) Program.
Questions?
As new information becomes available throughout the year, ISAC routinely updates the MAP and IIA "Program News" pages within the ISAC Gift Assistance Programs area at collegezone.com. Be sure to check back periodically for the current processing status of these programs.
April 29 Webinar to Focus on ISAC's Military Programs
Sent to Financial Aid Directors, Financial Aid Administrators, Public Schools - Participating in the ING Grant and IVG Programs and Business Officers on April 19, 2010
The Illinois Student Assistance Commission (ISAC) will present a Webinar on ISAC's military programs - the Illinois Veteran Grant (IVG) Program and the Illinois National Guard (ING) Grant Program - on Thursday, April 29 from
2 - 3 p.m. The session will begin with an overview of each program, followed by more specific details on administering the programs through My Zone. A brief review of legislative news impacting student veterans and an overview of federal programs will also be provided. Time will be allotted for questions. If you have specific questions that you would like the session to address, please send them to Kim Eck at Kimberly.Eck@isac.Illinois.gov by Tuesday, April 27.
To participate in the Webinar: access the Power Point presentation on the Partner Training page in the e-Library at collegezone.com (it will be posted on the morning of April 29), then dial 877.873.8017 and enter code 8324962# to access the audio portion.
Suspension of 2010-11 MAP Award Announcements
Sent to Financial Aid Directors, Financial Aid Administrators, MAPnet Users and Business Officers on April 13, 2010
Suspension of MAP Award Announcements Effective
April 19, 2010
The Illinois Student Assistance Commission (ISAC) is suspending the announcement of 2010-11 Monetary Award Program (MAP) grants for all students whose initial 2010-11 Free Application for Federal Student Aid (FAFSA) is received by the Central Processing System (CPS) on or after April 19, 2010. The decision to suspend award announcements at this time is based on the governor's proposed FY2011 budget (as indicated in a March 16, 2010 State Legislative Update) and the fact that the number of eligible applications is 32 percent higher than in 2009-10.
Watch for Further Information
As operational details are finalized, the ISAC Gift Assistance Programs area at collegezone.com will be updated to reflect the suspension of 2010-11 MAP award announcements. Be sure to regularly visit collegezone.com for new updates, and watch for future communications via the College Zone e-Messaging system.
Reminder Regarding IIA Program Status
The governor's proposed FY2011 budget includes no funding for the Silas Purnell Illinois Incentive for Access (IIA) Program.
Signing of Reconciliation Bill Eliminates FFELP
Sent to Financial Aid Directors and FFELP Participants on
April 7, 2010
With the signing of the Health Care and Education Reconciliation Act of 2010 by President Obama on March 30th, the Federal Family Education Loan Program (FFELP) has been eliminated. According to guidance from the U. S. Department of Education (ED) via DCL GEN-10-05, P-10-02, the new law prohibits any new (first) disbursement on FFELP Stafford, PLUS or consolidation loans after June 30, 2010.
Impact on Summer Term Loans
With regard to disbursement of loans for the upcoming summer term, ED also provided guidance that stipulates that second and subsequent disbursements for loans first disbursed prior to July 1, 2010, can be made; and in fact, lenders are obligated by regulations to make these subsequent disbursements. However, guarantees for any loan on which the first disbursement is not made before July 1st will be void, regardless of the date of guarantee.
One remaining issue still to be resolved is loans that could have been disbursed prior to July 1, 2010, but were not because the borrower is subject to the 30-day delay for first-time, first-year borrowers. Information will be provided on this issue once it becomes available.
ISAC Guarantee Cessation Date and Continuing Functions
ISAC analyzed 2010-11 guarantee data, including loan term and first disbursement dates, to make a determination of a final guarantee date for FFELP loans. Due to the prohibition of first disbursements after June 30, 2010, ample time will be needed to allow for any disbursements that are scheduled to be made ahead of that date. The final guarantee date has been established as June 25, 2010. Further operational details will be forthcoming, as needed.
While guarantee and loan origination functions at ISAC are drawing to a close, the administration and oversight of our $7.4 billion FFELP portfolio will continue uninterrupted, including:
- Loan maintenance activities (updating or cancelling loan records, demographic updates, etc.)
- National Student Loan Data Systems (NSLDS) Lender Manifest reporting
- Unreported Loans reporting
- Default Aversion and skip tracing assistance
- Default Aversion Assistance Request (DAAR) information to schools
- Claims processing
- Electronic Data Processing using industry standards
- Common Account Maintenance activities
- loan maintenance (record types 7, 9, 10, 24)
- DAAR records (record type - 40 series)
- electronic claims (50/60 series)
- Lender Manifest via File Transfer Protocol (FTP)
- Unreported loans via FTP
- Common Account Maintenance activities
- Rehabilitation and assignment of at-risk loans
- Collection of defaulted loans
Moving Forward with our Mission
Even though guarantee and loan origination activities at ISAC will cease in the near future, we intend to keep moving forward to fulfill our mission of making college accessible and affordable for all Illinois students. To that end, we will carry on with customer service in all aspects of college planning and attendance - for students, parents, counselors, financial aid administrators, lenders and other advocates of higher education. Our college access and outreach efforts will continue unabated, as will the delivery of scholarship, grant and prepaid tuition program benefits. Training assistance and the activities carried out by our compliance and research areas will continue as always. Additionally, our Lender and School Services Communication Centers are available to assist you, either via telephone or e-mail, as noted below.
In short, our position is solid, and our goals for the future are clear as we transition to a "post-FFELP environment." We would like to express sincere gratitude for the partnership and collaboration of our student loan partners throughout the last four-plus decades, and we look forward to many more years of working together in the service of the students and families of Illinois.
Online Certification for 2010-11 Teacher Education Scholarship Programs (including Golden Apple) Now Available at My Zone
Sent to Financial Aid Directors and Financial Aid Administrators on April 6, 2010
The Teacher Education Scholarship Programs (TESP) component of My Zone that allows colleges to complete students' initial certifications online is now available for the 2010-11 academic year. TESP includes the Illinois Future Teacher Corps (IFTC) and Minority Teachers of Illinois (MTI) Scholarship programs, and initial certifications are also available online for the Golden Apple Scholars of Illinois Program. Online certification expedites the process by allowing ISAC to receive information quicker and eliminating the need for colleges to complete and mail paper documents. Results are provided shortly after submission, rather than the following day.
The TESP online certification functionality at My Zone is available each Monday through Friday from 7 a.m. until
7 p.m. (CT).
New for 2010-11 Processing: Online Eligibility Certification of Golden Apple Scholars
Effective since the 2009-10 academic year, legislation reserves some IFTC Program awards for participants in the Golden Apple Scholars of Illinois Program who, based upon their commitment to teach in approved shortage disciplines, are requesting a $10,000 award (rather than the $5,000 award made to qualifying recipients who commit only to teaching at a hard-to-staff school).
Beginning with the 2010-11 processing cycle, an applicant's eligibility for the Golden Apple Scholars of Illinois Program must be completed online via My Zone [last year, the only field to be completed on the Student Certification: List screen was the Teacher Shortage Discipline (TSD)].
Online Resources
Further information about the online certification process, including instructions regarding the entry and submission of certifications and how to access reports, is available at the Teacher Education Scholarship Programs (TESP) Certification section of My Zone.
An overview of the certification process for Golden Apple Scholars is available within the ISAC Gift Assistance Programs area at collegezone.com.
Continue Completing Initial Certifications Throughout the Year
Colleges are encouraged to check for initial certifications at My Zone on a daily basis. Separate notification will not be sent when new records are made available.
Remember that all initial certifications available in My Zone must be completed, regardless of whether the school certifies a student as eligible or ineligible and regardless of whether the student is currently enrolled. The only way applicants will receive notification from ISAC regarding their eligibility status is if their schools have submitted the certifications via My Zone. Be sure to continue completing and submitting initial certifications throughout the year, in order to ensure that your students will be included in all rounds of awarding that take place (the first 2010-11 TESP awarding round is anticipated to take place in August 2010).
Access to My Zone
If there has been a change in staff working with TESP, the My Zone Administrator for your campus should update access to TESP so the appropriate staff will be able to view data online.
Latest School DAAR Report Available
Sent on April 5, 2010 and April 19, 2010
The Notification of Student Loan Borrower DAAR Status report (School DAAR Report) for your school is now available on College Zone's My Zone.
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.
Electronic ISAC Update for March 2010 Available at College Zone
Sent on April 1, 2010
The March 2010 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 March via College Zone's e-Messaging service.
Topics covered in the March 2010 ISAC Update include:
- Summary of March 26 Commission Meeting
(sent March 29, 2010) - ISAC Offices Closed Friday, April 2
(sent March 26, 2010) - 2010-11 Budget Packets Now Available Online - Due On or Before June 1, 2010
(sent March 25, 2010) - Fifth Third Bank Joins ISAC to Present College Smart Fair April 23-24
(sent March 25, 2010) - Mark Your Calendar for Upcoming Important Dates
(sent March 22, 2010) - Commission Meeting to be Held Friday, March 26
(sent March 19, 2010) - Teacher Programs Webinar Offered on March 29
(sent March 17, 2010) - 2009-10 ING Grant Spring Term Payment Request Rosters Available at My Zone
(sent March 17, 2010) - New State Legislative Update Posted
(March 16, 2010)
(sent March 16, 2010) - Join ISAC in Springfield for "Making
Connections: u r ILASFAA"
(sent March 16, 2010) - IIA Processing Update as of March 12
(sent March 12, 2010) - 2010-11 MAP and IIA Processing Information
(sent March 4, 2010) - Latest School DAAR Report Available
(sent March 3, 2010 and March 18, 2010) - Electronic ISAC Update for February 2010 Available at College Zone
(sent March 1, 2010)
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