Overview
Title
Notice Inviting Applications for Proprietary Institutions Under the Higher Education Emergency Relief Fund (HEERF), Section 314(a)(4); Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSAA)
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ELI5 AI
The Department of Education has some special money for schools to help students who are having a tough time because of COVID-19. Schools can ask for this money until April 15, 2021, and they will use it to help students pay for things like classes or rent.
Summary AI
The Department of Education is announcing the availability of new grant funding through the Higher Education Emergency Relief Fund (HEERF) under the COVID-19 relief act, CRRSAA, signed into law on December 27, 2020. Proprietary institutions of higher education can apply for these grants to provide financial aid to students facing economic challenges due to the pandemic. Around $680 million is available, and the funds must be used to assist students with exceptional needs, covering expenses like tuition, housing, or child care. Applications, which must be submitted via Grants.gov, are being accepted on a rolling basis until April 15, 2021.
Abstract
The Secretary is announcing the availability of new HEERF grant funding under section 314(a)(4) of the CRRSAA and inviting applications from eligible proprietary institutions listed on the Department's section 314(a)(1) allocation table to apply for funding in order for these institutions to make financial aid grants to students. This notice relates to the approved information collection under OMB control number XXXX-XXXX.
Keywords AI
Sources
AnalysisAI
The document under consideration is a notice from the Department of Education announcing new grant funding availability through the Higher Education Emergency Relief Fund (HEERF), part of the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSAA). This funding is designed to provide financial assistance to students at proprietary institutions impacted by the COVID-19 pandemic.
General Summary
The notice announces that approximately $680 million in grant funds is available for proprietary institutions of higher education. These funds are designated to assist students facing financial hardships due to the pandemic, covering a range of expenses such as tuition, housing, and childcare. The funds are earmarked specifically for students with "exceptional need," which is not clearly defined but includes those receiving Pell Grants. Applications for these grants are accepted through Grants.gov until April 15, 2021, with a requirement for institutions to prioritize aid for those with the greatest need.
Significant Issues or Concerns
Several issues arise from the document's contents. Notably, the exact OMB control number, needed for monitoring the administrative aspects of the funding, is listed as "XXXX-XXXX," indicating an oversight. Moreover, the language and instructions around application submission, especially regarding CARES Act compliance and the maintenance of an active System for Award Management (SAM) registration, might be seen as overly complex and could benefit from simplification.
Another area of concern is the lack of specific criteria defining "exceptional need" beyond the mention of Pell Grants, which could lead to inconsistent interpretation and application across different institutions. Additionally, the document's mention of the ability of institutions that did not receive CARES Act funds to apply for this new funding does not clearly explain the significance or implications of this eligibility.
Impact on the Public
The broad impact of this document on the public is largely positive, as it aims to extend financial support to students who are experiencing significant hardships during the pandemic. By facilitating access to education, this funding helps mitigate economic disparities exacerbated by the crisis.
However, the complexity and lack of clarity in some procedural aspects may discourage eligible institutions from applying, potentially limiting the funds' reach to those in need. Moreover, the ambiguity in categorizing "exceptional need" might result in uneven distribution of aid amongst students, depending on institutional interpretation.
Impact on Specific Stakeholders
For proprietary institutions of higher education, this funding presents a valuable opportunity to support their students who may be struggling with financial burdens due to the pandemic. It allows these institutions to potentially boost their enrollment and retention rates by addressing students' immediate financial concerns.
On the other hand, students themselves are the ultimate beneficiaries of this initiative. The funds can provide essential support, allowing them to continue their education without the added stress of financial insecurity.
In conclusion, while the document outlines a critical program aimed at assisting vulnerable students during an unprecedented global health crisis, further clarification and simplification of the application's procedural components could enhance its effectiveness and accessibility.
Financial Assessment
The document outlines the availability of approximately $22.7 billion for institutions of higher education under the Higher Education Emergency Relief Fund (HEERF) as part of the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSAA). This significant financial allocation is intended to provide support to institutions in continuing to provide educational services during the COVID-19 pandemic.
Financial Allocations and Program Details
Of the total funds, approximately $680 million is earmarked specifically for a program that supports proprietary institutions of higher education. These funds are allocated for the express purpose of awarding financial aid grants to students. Such grants are vital, as they may cover a range of expenses for students, including tuition, food, housing, healthcare, and childcare, acknowledging the financial challenges posed by the pandemic.
The document also specifies approximately $680,914,000 as the estimated amount available for awards under this specific program. This precision indicates a detailed allocation plan for these funds, ensuring that proprietary institutions have a clear understanding of the resources available to them.
Issues Related to Financial References
Despite the clarity in the financial amounts, there are several areas where the document could offer more clarity. For example, it mentions a requirement for proprietary institutions to maintain active System for Award Management (SAM) registration to receive funds. However, it notes the possibility of accepting applications without active registration during a national emergency. The document could benefit from additional details on how this process is managed.
Furthermore, the document discusses limitations on fund drawdown for institutions that have not complied with the CARES Act reporting obligations. While this mention highlights compliance as a prerequisite, more explicit guidance on resolving such compliance issues and accessing the funds would be beneficial for institutions potentially affected.
Additionally, while the funding is meant to address 'exceptional need' among students, it lacks detailed guidance on defining such need. This could lead to inconsistency across institutions in applying this standard and dispersing funds effectively.
Conclusion
In summation, the financial references in the document underscore a robust effort to address educational challenges during the pandemic through a well-delineated appropriation of funds. However, certain areas, particularly around compliance, registration, and eligibility criteria, feel less defined. These might require further elucidation to ensure institutions can thoroughly and effectively leverage the financial support available to continue serving their student populations.
Issues
• The document does not specify the exact OMB control number, listed as XXXX-XXXX, which is needed to adequately track the approved information collection related to this funding.
• The language regarding the application process, particularly the submission deadlines and requirements for compliance with the CARES Act reporting, may be considered complex and could be simplified for better understanding.
• The document mentions a restriction on fund drawdown for institutions that have not complied with CARES Act reporting obligations, which may not fully explain the implications or procedures for lifting such restrictions.
• The requirement to maintain an active SAM registration and the potential acceptance of applications without active registration during a national emergency may be seen as unclear and may need further clarification on the exact procedures.
• There is a lack of detailed guidance or criteria for what constitutes 'exceptional need' for students, beyond mentioning Pell Grants, which could lead to inconsistent application across institutions.
• The document notes that proprietary institutions that did not receive a CARES Act section 18004(a)(1) award can apply, but does not clearly explain why or how this is significant compared to those who did receive prior awards.
• The mention of seven or more business days for SAM registration appears ambiguous given it may take 'upwards of several weeks', leaving potential applicants uncertain about timelines.