OASFAA Executive Committee Meeting Agenda
Conference Call
February 3, 2006
Pamela Arrington
Amy Baker
Robin Belleville*
Doran Brock
John Brown
Tina Coulter
Deb Divers*
Kacy Duling
Roger Eldridge*
Steve England
Suzanne Fahrer
Jason Florack
Mary Kay Freshour
Sandy Gilbert
Ann Marie Gruber*
Greg Guzman*
Lee Harrell
Gail Houtz
Angela Johnson*
Betsy Johnson
Jeanette Jones*
Michael Jones*
Kim Landis
Tasha McDaniel*
Jennifer Minyo
Rebecca Moore
Kim Nash-Yore
Melony Ohalek
Mayme Patthoff
Mary Lynn Perri
Faith Phillips
Lisa Pitkin*
Francis Robbins
Wendell Schick
Michiale Schneider
Carmen Sears-Edwards*
Charles Shahid*
Jo Slade
Pam Stimpert
Stephanie Sutton
Emily Swain
Lee Ann Timmerman
Randy Ulses*
Jerry Wade
Michele Wade
Karen Wallace
Claudia Wenzel
Cheryl Willard*
Absent*
I.
Announcements and New Business Mary Lynn Perri
Meeting was called to order
at 10:08am.
A) Private Counselor follow-up
Follow
up from Mary Lynn: she sent a letter to
the private counselor who had inquired and she responded and included the OACAC
President. She understands our position
(OASFAA). Mary Lynn has the letter.
B) Financial Aid Awareness Month is February.
Lisa
Mitchell reported that the governor has declared February 2006 as Financial Aid
month. Certificate will be mailed to Mary
Lynn.
C) Follow Up Question during Business Meeting, December
8, 2005
Where
will the funding come from for the initiative presented by Don Chenelle at the
December Business Meeting? (Recommended
for meeting by Wendell)
Update from Wendell at the meeting: The state student advisory council wants to increase
the number of college student attending college and university in
Claudia
had a conversation with the Outreach Chair of OACAC, Mary Grimaldi. They want to partner with OASFAA in College Goal
Sunday and other outreach sessions.
Claudia will connect with Wendell, Mary Grimaldi,
and Don Chenelle to coordinate the effort and create an Ad Hoc Committee.
Gail
Houtz believes that combining the efforts of the above groups is a wonderful
idea. Kim Landis will work on getting
contact information of interested OCAN members.
D) Updates to
P&P: Membership review, privacy
policy, private counselor participation statements, use of logo policy to be
sent out and reviewed and next meeting when we meet in person. Web Chair job responsibilities (now part of
VP for training) to be written by Claudia and also review at next meeting.
II. Secretary’s Report Emily
Swain
One
change from December 7th minutes = Next meeting should state February
3rd instead of February 4th. No other changes.
III. Treasurer’s Report Betsy
Johnson
Betsy
recommended each chair and elected official double checking the budget lines on
the reimbursement forms and to look online at their committee’s budget.
$1857 was for folders and postcards. It goes under the Secretary’s budget. Betsy will reallocate.
Mary
Lynn asked Betsy to send out a reminder on how to access QuickBooks to the
Executive Committee.
A.) Northeast Jason
Florack
Summary of activities:
·
Finalized
details for Regional Meeting #3 with Kim Nash-Yore, chair of the Need Analysis
Committee. Everything is set and we’re
ready to go!
·
Sent College
Goal Sunday press release to the College Relations department at my school;
they will in turn send it off to all of the major news affiliates in my region.
·
Discussed
possibility of having Regional Meeting #4 at Meyers University in Cleveland;
initial indications are good, but need pricing information before making final
reservations. Tentative date = 3/10/06.
·
Discussed
possibility of having Regional Meeting #5 at the Pro Football Hall of Fame in
Canton; again, initial indications are good, but need pricing information
before making final reservations.
Tentative date = 4/14/06.
Activities planned but not yet
completed:
·
Will send out
first e-mail to region with invitation to Regional Meeting #3 on Monday 1/30.
·
Will send out
e-mail to region regarding College Goal Sunday volunteering early in the week
of 1/30.
·
Will send out
second e-mail to region with final invitation to Regional Meeting #3 on Monday
2/6.
·
Will finalize
dates and locations for Regional Meetings #4 and #5; hope to have these by the
time we have our phone conference on Friday 2/3.
Update
at Meeting:
The
fifth meeting is going to be at the Pro Football Hall of Fame in
B.) Northwest Robin
Belleville
Mike
Clouse sent an email to NW Region asking for volunteers at Owens Toledo
campus.
C.) Southeast Jo
Slade
On
12/13, an email was sent to the regional providing information on upcoming
regional events:
Future
regional meeting dates and locations: 1/25 - Franklin University - topic
Reauthorization/NSLDS, 2/24 - Methodist Theological - topic Needs Analysis,
4/21 - Ohio University, Zanesville - Consolidation.
A
reminder to volunteer for the upcoming College Goal Sunday. A supply of
the extra brochures that I picked up at conference have been provided to
the main library in
A
reminder of the upcoming Default prevention workshops hosted by GLHEC
The
January regional meeting was held Wednesday 1/25 at
A
request was received from a
I
will continue to work with Jerry and Greg to push College Goal Sunday to ensure
that this is again a successful event.
Update: The press release did go out from OSU public
relations advertising College Goal Sunday.
Jo sent out another email asking for volunteers in
D.) Southwest Doran
Brock
Activities planned but not yet completed:
The next regional meeting will be
held on February 17th at
1.) Support Professional Committee
No
report at this time.
2.) Need Analysis
Winter
conference – We were delighted to have great attendance at each session. Our first session “History of Financial Aid”
and “Federal Updates” was very well attended.
Unfortunately we do not have an exact count. We are happy to report that
despite many technical difficulties; our attendees felt that the information
was helpful and presented effectively.
The
second and third sessions were also well attended. Each session consisted of a review of the
tables from the Federal Register, one independent calculation, and one
dependent calculation.
A
big “thank you” to the Regional Representatives for assisting us by agreeing to
transport and store the binders for the Needs Analysis presentations at the
February regional meetings. We will hold
a meeting on February 7, 2006 at
Does Mike Clouse need access to send the email to NW
region for NA Training? Betsy said he
worked with Robin. Mary Lynn will have
Mike Clouse added.
3.) NASFAA Training
Training completed at conference. Tight schedule as usual with gloss over of
some materials; need to insist on all sessions in a single day to allow for the
topic to be covered more similar to drive-in model.
Administrative
Capability: Campus-Wide Compliance
was a much more basic session than it was advertised; materials seemed geared
toward new aid administrators rather than keys to assisting offices in carrying
our campus-wide compliance issues.
Planning for drive-in workshop. Submitted to Paula for registration update on
Website and then notification to association.
Workshop to be held February 23rd at
Activities
planned but not yet completed:
Finalize meal and other details with registration for
drive-in conference.
February 23rd is the NASFAA Training at
4.) Outreach Committee
The
scheduled events in which the Outreach Committee provides financial aid
training and materials are now completed for 2005. The committee provided presentations and
presenters for various audiences in
ü
During September
and October, 2005, volunteer presenters gave a financial aid update
presentation at three of the regions’ fall meetings.
ü
Committee
volunteers and presenters attended the four sites of the 2005 OACAC
Articulations held during the second week of September, 2005. Provided a
training session and manned an information table at the ED fair at each site.
ü
Participated in
the three annual Honda Ed Fairs held for employees and families at the
manufacturing plants in the fall. This
was our fourth year and numbers were very low and lots of leftover
handouts. May reconsider our role at
these events next year as may have reached most employees who have college aged
students at home looking for any kind of financial aid.
ü
Participated in
the OCAN Conference that was held in October. Manned a table of financial aid
handouts in the display area. Provided
two training sessions: Federal and State
Financial Aid Updates and Financial
Aid 101
ü
Planned and executed the annual OASFAA
Counselor Workshops. Eleven sites, with
one new site at
ü
Provided
interest session and personal tips on How
to Do a Financial Aid Night at the Winter Conference.
ü
Lawrence and
several committee members working to develop a “survey” of basic
ü
Next meeting
scheduled for March 17th at the OhioLINK site.
5.) Early Awareness Committee
Summary of activities: No updates to report.
Activities planned but not yet completed: Get program information on OASFAA website and
send letters to all
6) College Goal Sunday Committee
The
committee will submit a full report following College Goal Sunday on February
12, 2006.
Update of stats:
An email was sent to Mary Lynn and she is forwarding it to the Executive
Committee. Two or three site
coordinators still need presenters. He’s
not hearing from the site coordinators but Mary Lynn encouraged him that the
site coordinators will contact them if they need assistance.
|
Name of Location |
01/05/06 VOL |
01/05/06 REG |
01/18/06 VOL |
01/18/06 REG |
01/23/06 VOL |
01/23/06 REG |
01/30/06 VOL |
01/30/06 REG |
02/03/06 VOL |
02/03/06 REG |
|
|
4 |
0 |
7 |
2 |
9 |
4 |
14 |
6 |
14 |
8 |
|
|
0 |
0 |
0 |
2 |
0 |
2 |
0 |
13 |
0 |
13 |
|
BGSU Firelands |
7 |
8 |
8 |
14 |
9 |
16 |
10 |
31 |
11 |
51 |
|
|
7 |
1 |
9 |
4 |
9 |
6 |
10 |
8 |
11 |
9 |
|
Central Ohio Technical
College/OSU |
15 |
2 |
21 |
6 |
21 |
7 |
25 |
11 |
27 |
29 |
|
|
1 |
0 |
3 |
2 |
3 |
3 |
4 |
5 |
4 |
6 |
|
|
0 |
0 |
0 |
5 |
CANC |
5 |
CANC |
CANC |
CANC |
CANC |
|
Clark State Community
College/Downtown Campus |
0 |
0 |
0 |
4 |
0 |
4 |
3 |
6 |
3 |
11 |
|
|
10 |
5 |
14 |
41 |
16 |
59 |
22 |
85 |
24 |
105 |
|
|
8 |
1 |
12 |
3 |
13 |
3 |
14 |
8 |
14 |
17 |
|
|
9 |
4 |
13 |
13 |
13 |
17 |
13 |
29 |
13 |
36 |
|
Hocking College |
6 |
1 |
7 |
2 |
7 |
2 |
8 |
3 |
9 |
14 |
|
|
13 |
1 |
13 |
25 |
13 |
27 |
13 |
27 |
13 |
28 |
|
|
14 |
1 |
16 |
2 |
16 |
3 |
16 |
6 |
17 |
9 |
|
|
13 |
3 |
14 |
11 |
16 |
17 |
15 |
24 |
14 |
30 |
|
|
3 |
1 |
3 |
1 |
3 |
1 |
3 |
3 |
4 |
7 |
|
|
7 |
0 |
7 |
3 |
7 |
5 |
7 |
5 |
7 |
7 |
|
|
7 |
2 |
10 |
3 |
10 |
5 |
12 |
12 |
12 |
14 |
|
|
0 |
0 |
0 |
0 |
0 |
1 |
0 |
1 |
0 |
1 |
|
|
10 |
3 |
11 |
13 |
11 |
13 |
15 |
19 |
17 |
39 |
|
Owens Community
College/Findlay Campus |
11 |
2 |
11 |
6 |
11 |
7 |
12 |
10 |
14 |
11 |
|
Raymond Walters/University
of |
7 |
3 |
10 |
10 |
11 |
12 |
13 |
18 |
13 |
34 |
|
|
5 |
13 |
7 |
21 |
7 |
26 |
7 |
27 |
10 |
28 |
|
Stark |
5 |
2 |
6 |
11 |
6 |
14 |
7 |
19 |
9 |
25 |
|
|
4 |
5 |
4 |
7 |
4 |
8 |
4 |
9 |
4 |
10 |
|
|
6 |
2 |
9 |
4 |
12 |
5 |
13 |
11 |
13 |
15 |
|
|
24 |
8 |
26 |
24 |
26 |
26 |
27 |
39 |
28 |
53 |
|
|
16 |
0 |
16 |
5 |
16 |
6 |
19 |
14 |
19 |
26 |
|
|
5 |
0 |
6 |
3 |
7 |
3 |
7 |
5 |
8 |
6 |
|
|
4 |
0 |
4 |
1 |
4 |
1 |
7 |
2 |
7 |
4 |
|
|
11 |
2 |
13 |
7 |
13 |
8 |
15 |
11 |
16 |
14 |
|
|
15 |
0 |
17 |
1 |
17 |
10 |
18 |
18 |
18 |
26 |
|
|
5 |
6 |
5 |
11 |
7 |
14 |
8 |
22 |
10 |
27 |
|
|
2 |
1 |
2 |
1 |
2 |
5 |
3 |
6 |
3 |
9 |
Addition:
Briggs HS now has 35 families registered. “I Know I Can” is staffing this site.
Jerry asked each site coordinator to give him the stats
information on Feb 13th. Site
Coordinators need to print off evaluations.
It’s on the CD. Kim Landis will
send a copy to
Student Guides are on back order so some sites are
using the guides from 2005-2006.
1.) Corporate Development
Summary
of activities:
For Winter Conference 2005 we had 18 sponsors, 19 Ads
and 39 exhibitors for a total dollar commitment of $45,400. We have collected
all the commitments except for $1,150 (2 organizations). The organizations have
been contacted and are locating check numbers or will submit the funds.
Activities
planned but not yet completed:
Conference Planning Committee meeting January 31 and
Site meeting in February.
Update at meeting:
Angela and Karen have worked on support grid for
Spring Conference. Will we have
entertainment on Wednesday and ticket options for Cedar Point on Thursday
night.
2.) Professional Development
Summary
of activities:
** Based on
the Winter Conference evaluations reviewed, the speakers were highly marked.
** The
sessions had great attendance.
Activities
planned but not yet completed:
** Amy and I
met at the end of Winter Conference to put together ideas for the Spring
Conference.
** We will be
meeting prior to the Conference Planning meeting to discuss the game plan we
have put together.
** We have
contacted and tentatively scheduled speakers and topics for the Spring
Conference, allowing for a successful ending to this years activities.
Pamela and Amy updated the committee. Speakers are different than normal, but the
Conference Planning Committee has sketched out 6 sessions for Professional Development
in Spring Conference. Amy said her
budget for PD is $3000 for the year. Can
the committee do something for the membership?
If so, is that appropriate? The
speakers haven’t charged anything for speaking.
Suggestions from the committee: gift
card for the speakers. The excess funds
can be used for reserves.
3.) Conference
Summary of activities:
Winter Conference wrap-up:
·
Conference
presentations should be on the OASFAA website soon. At least ten presenters have shared their
presentations that will be posted. Once
complete, a notice will be sent to the membership.
Spring Conference planning:
·
There was a
pre-conference planning committee meeting with the Conference Chairs and the
chairpersons of Leadership, New Member/Mentor and Professional Development on
January 31 to set in place the preliminary agenda.
·
Thus far, Spring
conference plans are:
o
Annual Golf
Outing on Tuesday, May 30
o
Possible theme
dealing with “Mission Possible”, etc.
o
Opening speaker
topic: “Multigenerational Workplace and
Students” by the PD Committee with a presenter from Citibank
o
New Member Meet
& Greet prior to dinner Wednesday, June 1 – open to all to meet new
members. We will have one drink ticket
per attendee as a sponsored item
o
Mystery Dinner
Theater will be entertainment for Wednesday
o
Seeking final
contact and presenter for a State of the State update to take place on Thursday
following the Business meeting; Agenda for this presentation is the state of
o
Cedar Point
option or Night on Your Our on Thursday, ending the conference day at
3:30pm and Cedar Point from 4pm – 9pm
o
Kim Durant,
President of the Michigan Student Financial Aid Administrators will be joining
us.
o
Jim White and
Support Professional of the Year Awards will be presented
o
Hazel Mingo from
The U.S. Department of Education, FSA College Access Division will be going us
to discuss Access and Student Success;
This is a follow-up to the Department participating in the Winter
Conference to show how the same messages can be delivered up front to prevent
default and delinquency and working with college access groups
o
As a
continuation from Winter, we will have sector breakouts with respective school
leads that have been working with the Department on the Default Prevention
project; Getting a school perspective and sharing of information from school
o
Closing speaker
topic: “And When You Fall” by the PD
Committee with a presenter Stacy Evans
Activities planned but not yet completed:
·
The Conference
Planning Committee meeting will take place on Friday, February 17 at the
Sawmill Creek site. A small group will
tour the facility the day prior to the planning meeting.
·
I will be
working on sites for the 2007 Winter, 2008 Spring and Winter and 2009 Spring
conferences in March and April
a.) Site
Update at meeting:
The walk through and conference planning meeting will
be February 17th. Theme
option is “Mission Possible” and Entertainment might be a “Mystery Dinner
Theater.” ED will be involved with
conference again.
b.) New Member/Mentor
Gail
and Jennifer are working on things for Spring Conference. The New Member Reception (Meet and Greet)
will be separate from the President’s Reception. They found a connection between the new
members and the leadership class. The
leadership class could fit in as mentors and use the skills they are learning
through OASFAA.
c.) Program
Spring Conference, Sawmill Creek 06, themes are
being tossed about.
Please submit any ideas or themes you might have to
Lee Ann!
Winter conference 2005 programs, quick reference
cards, the three daily posters and flyers totaled: $1547.75 in expenses.
d.) Entertainment
Mystery
Theater Dinner is set for Wednesday night entertainment. Thursday night will be Cedar Point? Lee is coordinating the Golf Outing. The golf outing will be at the Saw Mill Creek
Golf Course. The price is higher but Lee
is working on negotiations.
Questions
posed: Should we do another book drive
at spring conference or should we take a break?
Claudia suggested that he ask the Conference Planning Committee. Email John Brown with any suggestions.
e.) Registration
Summary of activities:
In addition to 475 registrants there were
approximately, 30 speakers, presenters, and special guests that attended
specific portions of the conference.
Total conference attendance was approximately 500-505. There were 19 people who registered after the
deadline and were subject to the $25 late fee.
Approximately 11 people cancelled due to illness, family illness, campus
issues and two due to poor weather conditions.
Conference
Registration Statistics
|
Total
Registrants |
475 |
|
First
OASFAA conference |
108 |
|
New
OASFAA, mentor participants |
13 |
|
OASFAA
members, mentors |
16 |
|
Complimentary
Conference Registration |
30 |
|
Full
Conference Reg. 3 days |
390 |
|
One
Day Only Reg |
55 |
|
Wednesday
only |
20 |
|
Thursday
only |
26 |
|
Friday
only |
9 |
|
Wednesday
Lunch |
391 |
|
Wednesday
dinner |
366 |
|
Thursday
breakfast |
396 |
|
Thursday
lunch |
423 |
|
Friday
Lunch |
360 |
|
2006
membership |
471 |
|
Late
registration fee |
19 |
|
Default
Prevention Training |
100 |
|
NASFAA
training materials |
65 |
Activities planned but not yet completed:
Supplies for the upcoming conference: Ribbons, envelopes, and any additional
supplies the Conference Chair requests.
Recommended discussion items for the Executive
Committee:
Items that need to be clearer in registration: We do not accept credit cards. Cancellation policy. Have available the reasons we will accept
cancellations and the reasons we will not.
f.) Leadership
Summary
of activities:
The Leadership Class of 2006 took part in a
Leadership training program provided during the OASFAA Winter Conference. The program, titled “Passing the Torch”, was
created by the Leadership Committee, and offered presentations on a variety of
topics, based on recommendations made by class members during the Leadership
Retreat in October, 2005. Throughout the
week, the entire class (a total of nineteen class members) participated in the
Leadership training. Topics included an introduction to OASFAA and information
on how one may get more involved, Leadership techniques for the office, and
networking skills. Speakers included Wendell
Schick, Michele Wade, Terry Everson and Ginny Biada. Evaluations indicate the program was a
success.
Activities
planned but not yet completed:
A committee meeting will be scheduled in early
February to discuss the planning of Leadership training to be offered at Spring
Conference, 2006.
Update at meeting.
The committee is meeting next week and they talked
with Professional Development about sharing one of their speakers.
C. President-Elect Claudia
Wenzel
Claudia
attended a MASFAA Executive Committee Meeting and she was challenged to
encourage OASFAA members to be a member of MASFAA.
A
possible conference theme is “Putting the Pro back in Professional.”
Stephanie
and Claudia are registered for NASFAA leadership which is the first week of
March.
Mary
Lynn, Angela, and Claudia will have a conference call with John Pierson, of ED,
to discuss the next level of the default prevention for
1.) Nominations Committee
If
Exec has suggestions of nominations, please email them to Claudia. If current Exec members would like to be
involved for 06-07, please indicate that to Claudia. The transition meeting would be early
June.
2.) Finance Committee
3.) Research
4.) College Goal Sunday Corporate Development
Summary of activities:
During Winter Conference, our committee met to
discuss our strategy for contacting corporations for sponsorship of College
Goal Sunday. Those activities are being
carried out now. To date, we have two
major contacts made.
·
A grant titled
“Bridging Access to Degree Completion” was submitted to the Ohio College Access
Network. The grant application states
that recipients of these grants will be notified on or after February 15.
·
A request for
funding has been made to the Cleveland Browns Corporation. Wendell Schick, our committee member who made
the request, has been informed that it is currently in the review process.
·
A request for
funding has been made to the Honda Corporation.
No word yet from them.
·
A contact is
also in the works with Bob Evans Farms.
Activities planned but not yet completed:
Other committee members are working on their contacts
and we are awaiting further notification.
Update at meeting:
We received $1000 from the Cleveland Browns and Honda
has also been contacted. Other letters
are being sent. Mary Lynn just gave an
update of TIAA CREF likes to sponsor events and Mary Lynn emailed them asking
for $25,000 for College Goal Sunday support.
Lumina asked us for a report for how we used our money from last
year. Mary Lynn sent it to Marsha. Mary Lynn will include the stats from College
Goal Sunday 2005 although we used the funds for our reserves.
The PPT sponsor presentation now includes the
Cleveland Browns. It was resent to the
site chairs.
D.
Past President Wendell
Schick
1.) Association Governance Planning
Update
at meeting: Wendell is meeting with Mary
Kay about updating the P&P Manual with Private Counselor information and
logo information.
Mary
Kay will send an email to each member of the Executive Committee asking them to
revisit their section of the P&P manual.
She needs the revisions by the last meeting, May 30th.
2.) Membership
Summary of activities:
There are currently 542
members.
Activities planned but not yet completed:
Going to be sending out letters to MASFAA and NASFAA
members that are not members of OASFAA.
There will also be an e-mail sent out this month
reminding people to renew their memberships for 2006.
Update
at meeting: Mary Lynn will email Kacy
asking when we’ll send an email to people who didn’t renew their membership for
2006.
3.) Communication –
Update at meeting.
Another issue of the Gazette will go out soon. A reauthorization review will be included.
4.) Regulatory Committee
a.) State Issues
Michelle
contacted Charles about the video conference.
It will be scheduled after Feb 15th.
Michelle
met with Tally and Wendell about OASFAA support for a scholarship
database. That committee has revised
their request to OASFAA. Michelle will
bring it to the next meeting.
Did
we get the Charles Shahid PPT from Winter Conference? Angela is coordinating the PPT presentations
from winter conference.
b.) Federal Issues
c.) Reauthorization Issues
A
REAUTHORIZATION AND BUDGET RECONCILIATION
Reauthorization required every 5-6 years. Last full
reauthorization was 1998. The next reauthorization should have been completed
in 2004 but was postponed. Since then the existing law has been extended
numerous times and last December was extended again until March 31, 2006.
Reauthorization is the process which not only renews
the law but allows changed to be made to meet new needs, i.e.… increasing loan
limits. As a result, it becomes a very political process.
In 2005 the House took up reauthorization and passed
House Bill 609 in July, 2005. There was also a Senate version (Senate Bill
1614) that has stalled.
Then in the late summer and early fall of 2005
Congressional leaders got the idea to tie reauthorization together with a
Budget Reconciliation bill that was being developed as a budget deficit
reduction measure. This caused a lot of debate and it was ultimately decided
that the full reauthorization amendments would not be included in the budget
reconciliation bill(s) but certain proposals that would result in spending cuts
would. Those cuts are mainly in the Student Loan program. Therefore, two
reconciliation bills were introduced, House Bill 4241 and Senate Bill 1932.
Both bills differed slightly with the House bill containing more cuts than the
Senate. The House passed its version on December 19th with 212-206
vote that along party lines. The Senate passed its version on December 21st
with 50-50 vote and Vice President Cheney casting the tie breaker.
The Senate bill was basically a compromise bill
between the House and Senate conference committees and it contains
approximately $12.7 billion in cuts from the student loan programs. However,
because there were some slight changes added to the bill by the Senate it must
go back to the House for another vote. That vote should take place somewhere
around February 1st.
A lot of advocates for lenders, schools and students
have come out against the bill because they feel the provisions will result in
increased costs to students and families and that the bulk of the savings will
not used to improve student aid benefits but will be used mainly for deficit
reduction. Therefore, you’re seeing a lot of correspondence going out the
schools urging you to contact your representatives and ask them to vote “no” on
the legislation. However, it is likely to pass and the President is likely to
sign the bill into law.
So what are the major provisions of Senate Bill 1932?
Below are the ten most recognizable ones:
·
Raises loan
limits for freshmen and sophomores to $3500 and $4500;
·
Reduces
origination fees over the next five years;
·
Creates a new
(temporary) grant for students with a 3.0 GPA and/or majoring in Math, Science
and certain foreign languages;
·
Allows the
interest rate on
·
Raises the
interest rate on PLUS loans from 7.9% to 8.5%;
·
Allows PLUS
Loans to be taken out by graduate students;
·
Requires
student’s pay a 1% guarantee fee, but would allow lenders to pay the fee to
guarantee agencies on behalf of the student;
·
Closes several
loopholes related to the amount of subsidizes that lenders receive from the
federal government between the amount of interest that the student pays vs.
what lenders are guaranteed to receive;
·
Reduces the
amount that the government reimburses lenders on defaults from 98 cents per
dollar to 97 cents;
·
Many of the
provisions that would have changed the consolidation program that were passed
in the House version were not included in the Senate or Compromise Bill. The
most important ones was to change consolidation from a fixed to giving
borrowers a choice between a fixed or variable rate. The Compromise Bill
doesn’t include that language. So as it stands consolidation will still be at a
fixed rate and after 7/1/06 that rate on
The bill contains many more provisions but those
mentioned above appear to be the 10 most widely debated.
So if the Budget Reconciliation Bill is passed and
signed into law where does that leave Reauthorization? That’s the million
dollar question!
There are several possibilities, following three seem
most likely:
1.
The House and
Senate could agree on and pass a full-blown bill that contains all the
provisions not include in the reconciliation bill;
2.
They could put
together a much smaller piece of legislation that would include only selected
parts of the HEA and also attempt to add measures that fix flaws in
reconciliation bill;
3.
Congress could
do nothing more than just continue to extend the existing law that wasn’t
affected by budget reconciliation for another 1 to 5 years.
Politics and political intrigue may come into play as
well. This is an election year in congress and there is a lot of political
wrestling going on in
Basically at this point it’s anyone’s guess what will
happen. We will just have to keep watching the news. However, I would expect
the budget reconciliation bill to pass and those changes should be implemented
in the near future, although I don’t have any official effective dates.
A.) OBR Charles
Shahid
No
report at this time.
B.)
Mary
Lynn said we are cleaning out the closet at
Tasha
McDaniel left Key Bank and has joined
C.) OCAN Mayme
Patthoff
They
are focusing on eight GEAR UP programs in the northwest portion of the state.
OCAN
Conference is scheduled for October 25-27, 2006.
Francis
asked for clarification on the report from Roger in reference to
Jason
Florack also asked about PLUS loans for graduate students. Who is the borrower of the graduate PLUS
loan? The student is additional funding to
SUB/UNSUB. This is for 2006-2007. John asked if there is a prom note out yet?