Posted Date: September 8, 2017
|Author:||John Kane, Acting Service Director, Program Management, Federal Student Aid|
Subject: Additional TEACH Grant Closeout Information for 2016-2017 Award Year
In a June 6, 2017 Electronic Announcement, we provided Teacher Education Assistance for College and Higher Education (TEACH) Grant Closeout information for the 2016-2017 Award Year. This announcement provides additional information to supplement the previous guidance. As a reminder, to be considered successfully closed out, a school must—
NEW: Beginning July 2017, schools participating in the TEACH Grant program are able to officially confirm closeout via the School Balance Confirmation page on the Common Origination and Disbursement (COD) Web Site. This functionality is available for the 2016-2017 Award Year and forward.
When is the processing deadline?
There are two separate deadlines for a school to consider as it completes TEACH Grant processing for the 2016-2017 Award Year:
The processing deadline to submit TEACH Grant award and disbursement records is 9:00 P.M. (ET) on Friday, September 29, 2017. The COD System subsequently must accept all records submitted by the processing deadline in order for them to be included in the school's final TEACH Grant Ending Cash Balance for 2016-2017. Any 2016-2017 Award Year batches or records received after the processing deadline will be rejected and returned to the school.
Although the final processing deadline for the 2016-2017 TEACH Grant awards is September 29, 2017, existing regulations for drawing/returning funds and reporting disbursements supersede this deadline date. By meeting these regulatory requirements, a school should be able to reach a Zero Ending Cash Balance shortly after making final disbursements for the award year, rather than waiting for the September 29, 2017 final processing deadline.
Note: In other Electronic Announcements posted on September 8, 2017, we provide comprehensive information related to activities and deadlines that coincide with the September 29, 2017 processing deadline for the 2016-2017 TEACH Grant Award Year. These other announcements are about the end of the Federal fiscal year and the Pell Grant and Iraq and Afghanistan Service Grant 2016-2017 Award Year processing deadline. Schools should also refer to these announcements to ensure that all applicable 2016-2017 origination, disbursement, and change records are submitted and accepted prior to the processing deadlines to allow funding increases to process and the school to drawdown any additional funds as appropriate.
When is the deadline for drawdowns, drawdown adjustments, and/or refunds of cash?
Drawdowns, drawdown adjustments, and/or refunds of cash must be requested no later than 9:00 P.M. (ET) on Friday, September 29, 2017.
As of this deadline, all schools will have their Current Funding Level (CFL) reduced to the greater of Net Drawdowns/Payments or Net Accepted & Posted Disbursements on the COD System. Accordingly, schools should request necessary drawdowns as soon as possible to ensure the requests are processed prior to the TEACH Grant processing deadline.
Note: Refunds of cash can take up to 7-9 days to process through G5 and be reflected in the COD System. Refunds processed in close proximity to the processing deadline will not be included in your final balance as reflected on the final TEACH Grant SAS. Refunds should be made as soon as possible, and within regulatory requirements.
How can a school review its current balances?
Schools should refer to their most recent TEACH Grant SAS for their official ending cash balance and to perform monthly reconciliation.
To view up-to-date cash balance information at any time, schools may access the COD Web Site, School Funding Information Screen. The School Funding Information Screen is updated daily and allows a school to review its Net Drawdowns, Net Accepted & Posted Disbursements, and Cash > Net Accepted & Posted Disbursement balances.
How will a school learn its final balance?
In early October 2017, we will produce a final 2016-2017 TEACH Grant SAS Report and send it to all schools. This will serve as a final record of the school's official Ending Cash Balance for 2016-2017 and should be kept as part of your reconciliation documentation.
What if a school does not successfully reconcile to a $0 Ending Cash Balance and/or close out by the deadline?
Any school that has not successfully closed out by the processing deadline and has a positive Ending Cash Balance will be included in the upcoming TEACH Grant Program Demand Letter process, which requires the return of the outstanding balance as a refund of cash. If the outstanding balance is not paid by the deadline noted in the letter, a receivable will be established, and the school will be billed accordingly.
Any school that has not successfully closed out by the processing deadline and has a negative Ending Cash Balance will be included in the upcoming TEACH Grant Program Negative Balance Letter process, which requires the resolution of the outstanding balance.
What if my school has previously confirmed closeout and/or it is past the processing deadline, but now we have additional adjustments to report?
Schools should use the “Request Reopen/Extended Processing” page on the COD Web Site to make these requests.
If the request is made prior to the final processing deadline, the COD Web Site will immediately allow the school to reopen and resume processing for that award year until the school completes the confirmation process again or the data submission deadline has passed.
If the request is made after the final processing deadline, the request will be reviewed on a case-by-case basis and granted for authorized reason(s). The school will be given further instructions via the “Request Reopen/Extended Processing” page on the COD Web Site upon submission of their request, in the event additional time is needed to complete this review.
The type of request (Reopen or Extended Processing) is managed by the COD System and should appear seamless to the user.
We appreciate your cooperation as we work to close out the 2016-2017 TEACH Grant Award Year. If you have questions about this announcement or need assistance with closeout, please contact the COD School Relations Center at 800/474-7268. You may also email [email protected].
Publication Date: 9/8/2017