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Federal Updates

Shoptalk Online 132, November 27, 2001

Federal Updates

2002-2003 Drug Worksheet Available

ED recently published Dear Colleague Letter GEN-01-17 announcing the availability of the final draft of the 2002-2003 "Worksheet for Question 35." The purpose of the document is to assist students in answering question 35—known as the "drug question"—on the FAFSA and Renewal FAFSA.

Deciphering the Codes
The worksheet explains the three codes that a student may use to answer the question:

Code "1" means that the student is eligible (with regard to drug convictions) for federal student aid for the award year from July 1, 2002, to June 30, 2003.
Code "2" means the student's drug conviction affects eligibility for federal student aid for part of the school year. The student can become eligible earlier in the school year by completing an acceptable drug rehabilitation program.
Code "3" means the student is not eligible for federal student aid for the 2002-2003 school year unless he or she completes an acceptable drug rehabilitation program.

Variety of Resources to Assist Students
Several interactive resources are available to assist students in answering question 35:

Students who complete a paper FAFSA can call the FAFSA toll-free number at 1-800-4FED-AID (1-800-433-3243) or visit the FAFSA website at www.fafsa.ed.gov. Both of these resources have interactive formats.
Students who complete the FAFSA on the Web can use an interactive questionnaire that determines the appropriate FAFSA answer.

These resources will assist the borrower in determining which code to write on the FAFSA and will calculate an eligibility date, if applicable.

Who Will Receive the Worksheet?
Students who answer "yes" to question 35 or leave it blank will receive the worksheet with their Student Aid Report. Renewal FAFSA applicants who responded to question 35 with a "3" or "blank" on the previous year's application will also receive the worksheet with their 2002-2003 renewal application.

More Information and Questions
To access GEN-01-17, go to the Information for Financial Aid Professionals website at http://ifap.ed.gov/dpcletters/GEN0117.html.

For questions regarding the worksheet, call TG Customer Assistance at (800) 845-6267 or send an message to cust.assist@tgslc.org.

IFAP Posts FAFSA for 2002-2003

The 2002-2003 FAFSA is available on the Information for Financial Aid Professionals (IFAP) website. The file is for information purposes only and is not intended for submission. The FAFSA, in portable document format, can be accessed at www.ifap.ed.gov/fafsa/0203FinalFAFSA.html.

ED Will "Show You How" for 2002-2003

Seeking financial aid for the 2002-2003 school year? Well, here's an information tool that may help applicants through the process. ED's Student Financial Assistance division is presenting a satellite videoconference entitled "Applying for 2002-03 Federal Student Aid: We'll Show You How" on Thursday, December 6, 2001, from 12-2 p.m. Central Time.

Topics
The videoconference will cover the following topics:

Using the 2002-03 FAFSA on the Web: the electronic alternative to the paper application process to apply for Federal Student Aid
Filling out the 2002-03 Free Application for Federal Student Aid (the FAFSA)
Calculating an Expected Family Contribution (EFC)
Understanding how schools "package" financial aid
Finding student aid resources
Using the 2002-03 FAFSA Express software

To Register
Interested participants can register for the videoconference at www.edvideo.walcoff.com.

More Information
For more information on "Applying for 2002-03 Federal Student Aid: We'll Show You How," visit the Information for Financial Aid Professionals website at www.ifap.ed.gov/dpcletters/ANN0109.html.

New Perkins Note

ED recently announced approval of new Federal Perkins Loan and National Direct Student Loan (NDSL) promissory notes. The new promissory notes may be used immediately but must be used on or after May 1, 2002.

Changes
These notes reflect changes made to the Perkins Loan and NSDL Programs by the 1998 Reauthorization of the Higher Education Act of 1965. Some of the changes include:

Provisions for the implementation of the loan rehabilitation program,
Retained grace periods for borrowers who are ordered to active military duty for a period of more than 30 days, and
Notification of the availability of ED's Student Loan Ombudsman.

More Information
Copies of the notes and additional implementation information are available at www.ifap.ed.gov in Dear Partner Letter CB-01-13.

Closed School Corner

Newly Reported Closures
TG School ID#	School Name/ School Address	Unofficial Closure Date	ED's Official Closure Date
022869000	American Institute of Business & Technology 601 Indian Ave NW Washington, DC 20004	N/A	10/31/1987 07/26/1988*
007366000	Lincoln Technical Institute Haddonfield Rd. Route 130 North Pennsauken, NJ 08110-9969	N/A	08/30/2001

*American Institute of Business & Technology did not renew its license to operate beyond October 31, 1987, and was considered closed by the licensing agency. However, the school continued to operate without a license and to disburse loans until accreditation was withdrawn on July 26, 1988. This school essentially has been assigned two closure dates. The main ID has the closure of 10/31/1987, while an unauthorized additional location (OPE ID 02286901) has the closure of 07/26/1988.