Administrative Capability

Administrative capability is at the heart of the Title IV regulations, encompassing many of the measures of an institution’s Title IV eligibility. Demonstrating administrative capability to participate in the Title IV programs involves virtually every office within an institution, making compliance a campus-wide commitment and responsibility. Completion of this self-study guide qualifies individuals to take the corresponding NASFAA Professional Credential test.

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Administrative Capability SSG

Learning Objectives

Lesson 1: Introduction to Administrative Capability

  • Understand the definition of administrative capability; and
  • Learn the measures of administrative capability

Lesson 2: Adequate Resources, Separation of Functions, and Information Sharing

  • Providing adequate resources and staffing capable of properly administering the Title IV federal student aid programs;
  • Instituting adequate checks and balances by separating the functions of authorizing awards and making payments or disbursements of Title IV funds; and
  • Sharing information and preventing conflicting information on a campus-wide basis.

Lesson 3: Electronic Processes, Recordkeeping, and Contingency Planning

  • Understand required electronic processes and communication;
  • Understand the importance of retaining records for the required time frames; and
  • Recognize the value of contingency planning. Recognize the various application output documents.

Lesson 4: Other Administrative Capability Requirements

  • Establishing satisfactory academic progress standards for students to progress in their academic programs and to retain Title IV aid;
  • Coordinating Title IV consumer information on a campus-wide basis;
  • Maintaining cohort default rates that would allow continued participation in the Title IV programs; and
  • Other general criteria for the institution, its principals, and its affiliates necessary to maintain institutional eligibility.
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