Federal Updates

ED releases guidance on the provisions of the latest HEA extension bill
Last week, ED released Dear Colleague Letter (DCL) GEN-06-21, which provides guidance on a variety of topics, all stemming from provisions of the Third Higher Education Extension Act of 2006, signed into law September 30, 2006.

ED issues DCL with consolidation focus
Last week, ED released Dear Colleague Letter (DCL) GEN-06-20/FP-06-16 titled "Update on Consolidation Loan Issues." The focus of the DCL is to highlight recent changes to the Consolidation Loan Program brought about by the Higher Education Reconciliation Act of 2005 (HERA), signed into law February 8, 2006, and the Emergency Supplemental Appropriations Act for Defense, the Global War on Terror, and Hurricane Recovery, 2006, signed into law June 15, 2006.

Closed school corner
The Department of Education announces three new closures.

TG Updates

TG to continue subsidizing federal default fee on behalf of students
TG announced that it will continue to subsidize the 1 percent federal default fee for federal Stafford and PLUS loans on behalf of student and parent borrowers for the 2007-08 award year, which covers loans guaranteed through June 30, 2008.

TG and Mapping Your Future™ offer entrance and exit counseling for Grad PLUS loan borrowers
TG and Mapping Your Future (MYF) now offer entrance and exit counseling for Grad PLUS loan borrowers as new categories in the Online Student Loan Counseling (OSLC) series.

Apply to TG's Financial Aid Leadership Symposium today
TG hosts its 2007 Financial Aid Leadership Symposium from February 5 - 9 at the TG Campus in Round Rock, Texas. The Symposium looks closely at particular qualities of leadership within the context of the student financial aid community. Participants will interact in small-group projects and exercises, make individual presentations, and discuss real-world financial aid issues in an open forum.

Focus on success: TG partners with Ranger College for FFELP processing
A little over ten years ago, Ranger College, a two-year community college located in Ranger, Texas, withdrew from participation in the FFELP. Recently, the college became interested in returning to the FFELP and turned to TG for guidance.

Meet Darron Grussendorf, senior corporate trainer
Darron Grussendorf, a senior corporate trainer at TG, has worked as a financial aid director and a policy advisor. His experiences have enriched his work as a trainer, giving him an appreciation for what issues schools handle and a desire to provide solutions.

Trends and Issues

Don't borrow trouble: A guide for processing alternative loans
Have questions about alternative loans? Have you noticed disagreement among your colleagues about whether to treat these loans as EFA or to ignore them? ED has recently provided clarification on the issue. This article will help you incorporate ED’s guidance into your institutional policies.

Question of the week
If a school is required to schedule multiple disbursements for a single-term loan period, when must the school schedule the student's disbursements?

This, That, and the Other...

According to a two-year research project conducted by the National Survey of Student Engagement (NSSE), low-achieving students showed greater improvement in grades and stayed in school longer than did higher-achieving students if they became involved in "educational purposeful activities." Statistics from the survey show that students who interacted with faculty members, worked with peers on projects inside and outside of class, participated in making class presentations, and participated in community service made greater gains in grade point averages. Improvements were seen in students with lower ACT scores as compared to students with higher ACT scores, although students with higher ACT scores still had better grades overall.

The study was composed of random samples taken from 131,256 first-year students and 128,727 seniors at 523 four-year colleges and universities. NSSE also found that black first-year students involved in these sorts of activities are returning to school for a second year in greater numbers. The survey looked closer at non-traditional students, such as distance-education students, part-time working students, and students who are 25 years and older, of which all showed similar educational gains.

NSSE, which studies how well students do in college, released this survey along with several other findings in an annual report. To read the complete USA Today article on the topic, visit www.usatoday.com/news/education/2006-11-12-student-activities_x.htm.