30 Day Report
What is the federal CARES Act?
The federal Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law on March 27, 2020. The act provides financial compensation and support to multiple layers of the U.S. economy, including businesses, individuals, unemployment benefits, and education.
How much money will RMUoHP receive?
The CARES Act allocated nearly $14 billion to support colleges and universities around the country. RMUoHP will receive $223,276. The Department of Education guidelines require at least 50% of received funds be used to provide emergency cash grants for students. RMUoHP intends to use 100% of the funds for emergency aid for students.
Why is RMUoHP receiving these funds?
Funds have been provided to support students who have demonstrated financial need and experienced financial hardship as a result of the COVID-19 pandemic.
Why does every school receive a different amount? What factors were considered by the Department of Education?
The Department of Education awarded funds based on a formula prescribed in the CARES Act that is weighted significantly by the number of full-time students who are Pell-eligible, but also takes into consideration the total population of the school, and the number of students who were not enrolled online on a full-time basis before the coronavirus outbreak.
What direction did RMUoHP receive in determining how to allocate the funds?
The Department of Education provided guidance on how to use a portion of the funds “to provide cash grants to students for expenses related to disruptions to their educations due to the COVID-19 outbreak, including things like course materials and technology as well as food, housing, health care, and childcare.”
How did RMUoHP determine where to use the funds?
Immediately following the passage of the CARES Act, the Financial Aid Office reviewed legislation and made a recommendation for the delivery of the funds to students. RMUoHP leadership designated a Student Relief Fund committee that consisted of representatives from departments across campus, to determine how to award CARES Act funds as well as emergency aid provided by RMUoHP.
Which students will receive CARES Act money?
All students who receive this funding must be federal financial aid-eligible. To be eligible for funding consideration, you must:
- Be enrolled in at least 3 credits during the Winter 2020 and/or Summer 2020 semester(s).
- Have completed the 2019/2020 FAFSA and be eligible to receive federal financial aid.
- Complete the Student Relief Fund application by the deadline of May 15th.
If awarded, how will students be notified and receive funds?
Students will be notified via their RMUoHP email accounts. Awards will be disbursed via direct deposit on June 5th.
Do students have any limitations on how they can spend the money?
As outlined by the Department of Education, the funds should be used to address unexpected expenses related to disruptions of campus operations due to coronavirus, such as for food, housing, healthcare, technology, course materials, and childcare.
Official Cohort Default Rates
A Cohort Default Rate is the percentage of a school’s borrowers who enter repayment on certain Federal Family Educational Loan (FFEL) Program or William D. Ford Federal Loan (Direct Loan) Program loans during a particular federal fiscal year (October 1 to September 30), and default or meet other specified conditions prior to the end of the second following fiscal year.
The United States Department of Education (ED) releases official cohort default rates once per year. This information is publicly available following this link: https://www2.ed.gov/offices/OSFAP/defaultmanagement/cdr.html
Pursuant to the University’s commitment to student success, the Financial Aid Office closely monitors the student’s satisfactory academic progress, and the cohort default rates as provided by the ED.
The University’s official cohort default rate for 2016 was 0.7. The official cohort default rates for the years 2014, 2015 and 2016 is summarized below:
|No. in Default
|No. in Repay