NASFAA staff recently participated in a meeting in New York City attended by more than 60 representatives of organizations that have created scholarships to assist the families of those who fell victim to the September 11, 2001 terrorist attacks. Those in attendance at the October 25 meeting represented foundations, corporations, government, and a host of nonprofit organizations. Institutional representatives included Steve Dhondt and Larry Hitchcock of New York University and Noel Whearty of Pace University, both located in New York City.
The intent of the meeting was to discuss issues involved in creating, administering, and coordinating the dozens of scholarship programs designed to assist the families of those who lost their lives or were permanently disabled by the events at the World Trade Center, the Pentagon, and in Pennsylvania. Chip Raymond, president of the Citigroup Foundation and convener of the meeting, expressed his hope that all organizations would work together to ensure a seamless application process for the affected population. Raymond introduced four guest speakers to talk about September 11 scholarship issues and their respective organizations' roles in the coordinating process:
Geoff Flynn, vice president of grants and recognition programs for the New York State Higher Education Services Corporation (HESC), described legislation pending in the New York State Legislature based on an executive order issued by Governor George Pataki. The legislation would provide a framework to implement scholarships for immediate aid to students who attend public and private institutions in New York State retroactive to July 1, 2001. As proposed, the program would be open to students affected by the terrorist events both in New York and elsewhere, including non-U.S. citizens and non-residents of New York State. The scholarships would provide assistance for tuition, room and board, books, transportation, and other direct expenses, estimated to average $12,000 annually at New York public institutions. Subsidies would also be provided to students at private institutions. Flynn encouraged those needing further information to contact the Education Services Corporation at 1-888-NYS-HESC.
Bill Nelsen, president of the Citizens' Scholarship Foundation of America (CSFA), provided participants with information on CSFA's scholarship administration capabilities. Currently, CSFA administers approximately 900 such programs. It recently established the Families of Freedom Fund, a need-based scholarship program for surviving children and spouses of those affected by the terrorist attacks, which was funded initially by a major contribution from the Lumina Foundation for Education. Those who need further information on the Families of Freedom Fund should visit the fund's Web site at www.familiesoffreedom.org or contact CSFA at 1-800-537-4180. Nelsen reported that CSFA would also be administering the Citigroup Relief Fund (http://www.citigroup.com/citigroup/relieffund/ or 212-793-5942) and the September 11 College Fund (http://www.acenet.edu/hena/issues/2001/10-08-01/scholarships.cfm), the latter coordinated by the American Council on Education and made up of donations from postsecondary institutions.
Connie White, director of scholarship and recognition programs at Educational Testing Service (ETS), discussed ETS's capabilities in the area of scholarship administration. ETS currently provides scholarship management for 120 programs. It helps clients design application procedures and awarding criteria and provides processing, awarding, and funds distribution. ETS will administer the $10 million Power of America Fund (http://www.powerofamerica.org/
or 609-921-9000), which was set up by several power utilities and is conducting an industry-wide fundraising campaign for educational assistance. Both White and Nelsen reported that 100% of donations to their respective funds would be distributed directly to eligible students.
Julian Johnson, director of development and corporate partnerships at the Institute for International Education (IIE), reported that IIE manages more than 250 programs and is prepared to donate its services to assist in the effort to coordinate the various September 11 funds. IIE's special expertise lies in working with international students and the institutions they attend on all aspects of scholarship administration.
Both CSFA and New York HESC have estimated the need for scholarships to be between $300 million and $500 million, in current dollars, to be disbursed over approximately 20 years.
Following the featured presentations, Raymond moderated an open forum for all participants to describe their scholarship programs, express views, and raise issues. Several points for further consideration emerged:
- Be aware of the importance of providing support services, mentoring, counseling, and enrichment programs for pre-college age children to ensure they are emotionally and academically prepared for college.
- Consider the immediate financial needs of affected students.
- Address the immediate educational needs of children, including those attending parochial or private elementary and secondary schools.
- Understand that scholarship awards will be subject to federal, state, and institutional regulations and polices affecting recipients.
- Establish a common application form and common procedures to facilitate the application process.
- Coordinate programs to ensure equity and avoid over- and under-funding recipients.
- Consider the needs of foreign nationals and encourage international coordination of scholarship awards.
- Realize that further incidents are possible, and consider reserving some funds to assist in meeting future needs.
- Utilize the services of professional scholarship management organizations, which are experienced in assessing financial need, managing multiple funds, and coordinating scholarships with other forms of aid.
- Clearly define eligibility criteria.
- Coordinate information flows to families
- Keep financial aid administrators informed of scholarship awards.
- Consider funding needs beyond tuition, including room and board, books and supplies, transportation, and other expenses.
- Consider appropriate uses of funds in the event that donations exceed demand.
- Move ahead as quickly as possible to ensure continuity in the public trust.
To assist with identification of eligible populations, the State of New York's Office of the Attorney General has proposed developing a database of individuals that would satisfy confidentiality concerns while providing a means of both reaching out to and verifying the eligibility of potential scholarship recipients. Both the American Red Cross and the September 11th Fund have signed on to the proposal. The New York Attorney General has also established a Web site of organizations that are raising funds for relief efforts. The site, at http://www.wtcrelief.info, currently lists nearly 200 such organizations.
To continue the coordinating effort, meeting participants agreed to establish a smaller working group of funding organizations that will call upon the resources of specialists in scholarship management, financial aid administration, and student support services. NASFAA has offered its assistance to the working group and will continue to monitor activities and report to Members as plans for administering the various scholarship programs develop.
By Tim Christensen, NASFAA
Posted November 7, 2001 on the NASFAA Web Site www.nasfaa.org
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