Financial Aid Policies

2.1 Policy Statement

Delta College strictly adheres to the Family Educational Rights and Privacy Act (FERPA) of 1974, as amended. All financial aid records are considered part of a student's education record and are protected under FERPA.

2.2 Student Rights

The right to inspect and review their own financial aid records by submitting a written request to the Financial Aid Office.

The right to request amendment of records believed to be inaccurate or misleading.

The right to consent before personally identifiable information is disclosed, with certain exceptions.

2.3 Third-Party Disclosure

Personally identifiable information will not be disclosed to any third party — including parents, spouses, or other family members — without the student's specific, written consent via a completed Authorization to Release Information Form. Identity will be verified before any information is released by phone or in person.

2.4 FAFSA Data Use Restriction (HEA §483(a)(3)(E))

All data collected on the FAFSA is restricted under the Higher Education Act to use solely for the application, award, and administration of financial aid. FAFSA data may not be used for alumni fundraising, marketing, recruitment, or any other purpose unrelated to aid administration.

2.5 Federal Tax Information (FTI) Handling (IRC §6103)

FTI received via the FUTURE Act Direct Data Exchange (FA-DDX) is subject to strict confidentiality protections. All FTI must be labeled CUI//SP-TAX and may only be used to determine eligibility for and the amount of Federal Title IV aid (Pell Grant, FWS, FSEOG, Direct Loans). FTI may not be used for state aid, institutional scholarships, or research purposes.

Delta College establishes three distinct Cost of Attendance budget types annually:

• Institutional COA: A comprehensive 12-month budget used for institutional planning and scholarship awarding.
• Pell COA: A 9-month budget containing only Department of Education-approved components, used exclusively for awarding the Federal Pell Grant.
• Federal COA: A 9-month budget containing only Department of Education-approved components, calculated based on weeks of attendance.

3.1 COA Components

Direct Costs (billed by the college):

• Tuition and Enrollment Fees
• Mandatory Campus-Based Fees (health fee, student activity fee)

Indirect Costs (estimated expenses not billed by the college):

• Housing and Food
• Books, Course Materials, Supplies, and Equipment
• Transportation
• Miscellaneous Personal Expenses
• Federal Loan Fees

3.2 Budget Categories

Students are assigned to one of two budget categories based on FAFSA dependency status:

• Dependent Living with Parent: Assigned to all federally determined dependent students.
• Independent Living Off-Campus: Assigned to all federally determined independent students.

Students with special housing circumstances may request a professional judgment adjustment.

To receive Title IV federal student aid, students must meet all of the following criteria:

• Citizenship: Be a U.S. citizen or an eligible non-citizen.
• High School Completion: Possess a high school diploma, GED, or equivalent.
• Enrollment in an Eligible Program: Be enrolled as a regular student in an eligible degree or certificate program.
• Social Security Number: Have a valid Social Security Number.
• Financial Aid History: Not be in default on a federal student loan and not owe a refund on a federal grant.
• Satisfactory Academic Progress (SAP): Be maintaining SAP as defined by Delta College. (See Section 10 below.)

Purpose of Aid: Certify that federal student aid will be used only for educational purposes. 

Note: The Selective Service registration requirement for Title IV aid was eliminated by the FAFSA Simplification Act. Selective Service status no longer impacts federal student aid eligibility. 

5.1 Policy

Delta College verifies FAFSA data in compliance with federal regulations. The college maintains a zero-tolerance, risk-averse compliance posture: all data is verified to the dollar, no tolerance levels are applied, and no aid is disbursed on an interim basis until verification is fully complete.

5.2 Student Notification and Process

1. Students selected for verification are notified via their official Delta College email and through a Task in the MyDelta student portal.
2. Students must submit required documents and worksheets through the CampusLogic StudentForms portal.
3. Aid is packaged but not disbursed until verification is complete and any required FAFSA corrections are confirmed.

5.3 Conflicting Information

Per 34 CFR §668.16(f), the Financial Aid Office is required to resolve any conflicting information for any student, regardless of verification selection. A hold will be placed on any file with conflicting data until resolution is complete.

5.4 Fraud Prevention

Any suspected fraudulent documentation identified at any time is escalated immediately. A Maxient report is filed, and if federal funds have been disbursed based on suspect information, the case is referred to the U.S. Department of Education's Office of Inspector General (OIG).

6.1 Policy

The Higher Education Act grants financial aid administrators the authority to exercise Professional Judgment (PJ) on a case-by-case basis to address circumstances not reflected on a student's initial application. All PJ requests are processed through the CampusLogic StudentForms platform.

6.2 Special Circumstances (SAI Adjustment)

Students may request a re-evaluation of their financial aid eligibility due to a significant change in financial situation. Qualifying circumstances include:

• Loss or significant reduction of employment, income, or benefits
• Divorce or separation of a student or parent
• Death of a parent or spouse
• Unusually high medical or dental expenses not covered by insurance

Supporting documentation is required. Approved adjustments result in a FAFSA correction and recalculation of the Student Aid Index (SAI).

6.3 Unusual Circumstances (Dependency Override)

Students who do not meet federal independent status criteria but have unusual circumstances may request a dependency override. Qualifying circumstances include abandonment by parents, an abusive family environment, or inability to locate parents. A parent's refusal to contribute to education costs does not, in itself, qualify. Documentation from at least two third-party sources is required. 

7.1 Federal Pell Grant (34 CFR Part 690)

The Federal Pell Grant is available to eligible undergraduate students based on their Student Aid Index (SAI). Awards are considered an entitlement for all eligible students.

   Enrollment Intensity: Pell awards are calculated based on the percentage of credits enrolled relative to a full-time load (12 credits per term).

   Recalculation: Awards are recalculated based on enrollment as of each course's individual census date.

   Lifetime Limit: Students are limited to a lifetime maximum of 600% Pell Grant eligibility (equivalent to 6 full-time years). This limit is absolute and cannot be appealed.

   Modular/Late-Start Courses: Aid for late-start courses is disbursed only after those courses have begun and attendance is confirmed past the course census date.

7.2 Federal Supplemental Educational Opportunity Grant (FSEOG) (34 CFR §676.10)

FSEOG is a campus-based grant for undergraduates with exceptional financial need. Because funds are limited, priority is given to Federal Pell Grant recipients with the lowest Student Aid Index (SAI), beginning with -1500 SAI, on a first-come, first-served basis until funds are exhausted.

7.3 Federal Work-Study (FWS) (34 CFR Part 675)

FWS provides part-time jobs for students with financial need. Key provisions:

• Students may work no more than 20 hours per week and may not work during scheduled class times.
• FWS is awarded based on financial need and fund availability; students must indicate interest on the FAFSA.
• In accordance with 34 CFR §675.18(g), at least 7% of the annual FWS allocation is used for community service positions.

7.4 William D. Ford Federal Direct Loan Program (34 CFR Part 685)

Delta College participates in the Direct Loan Program. Available loan types:

• Direct Subsidized Loans: Available to undergraduate students with demonstrated financial need.
• Direct Unsubsidized Loans: Available to undergraduate students; no financial need requirement.

Loan Certification Requirements:

1. Loans are not automatically awarded. Students must submit a formal Loan Request through the CampusLogic StudentForms portal.
2. Students must have a valid Master Promissory Note (MPN) and completed Entrance Counseling on file.
3. Students must be enrolled in at least 6 credits (half-time) and be meeting SAP standards.
4. Students must formally accept, decline, or adjust offered loans through the MyDelta portal.
5. Loan funds are disbursed in at least two equal installments per term.

Entrance and Exit Counseling (34 CFR §685.304): All first-time borrowers must complete Entrance Counseling before their first disbursement. Exit Counseling is required upon graduation, withdrawal, or dropping below half-time. 

8.1 Financial Need Formula

Financial need is calculated using the standard federal formula:

COA  −  SAI  −  Other Financial Assistance (OFA)  =  Financial Need

For packaging purposes, any negative SAI (down to -1500) is treated as zero. A negative SAI indicates higher financial need but does not increase calculated financial need beyond the full COA.

8.2 Packaging Order (Gift Aid First)

Aid packages are constructed in the following priority order:

1. Federal and State Grants
2. Scholarships
3. Federal Work-Study
4. Federal Direct Subsidized Loans
5. Federal Direct Unsubsidized Loans
6. Federal Direct Parent PLUS Loans 

9.1 Attendance Verification (34 CFR §668.21)

No federal or state aid will be disbursed until after the term census date. The Registrar provides enrollment records confirming attendance in at least one eligible course. Students not recorded as attending any courses by census will have disbursements held.

9.2 Disbursement Schedule

• Disbursements occur once per month, except during the first month of each semester when they are processed every other week.
• Federal Pell Grants are disbursed in two equal payments per term (one at the start of the term, one at mid-term).
• All other aid (loans, SEOG, Cal Grant, SSCG) is disbursed in a single payment per term.

9.3 Credit Balances (Title IV Credit Balances)

After aid is applied to institutional charges, any resulting credit balance is issued to the student within 14 calendar days via BankMobile. If a student does not select a refund preference within 14 days, the funds are reversed to Delta College and a paper check is issued by the Cashier's Office.

9.4 Authorizations for Non-Allowable Charges (34 CFR §668.164(d))

Delta College does not apply the federal allowance to use current-year Title IV funds for prior-year charges. All credit balances are released in full for the applicable term only. Students may voluntarily authorize the use of Title IV funds for current-year, non-institutional educationally related charges (e.g., bookstore, parking). This authorization is voluntary and may be rescinded at any time.

10.1 Policy

When a student who receives Title IV aid withdraws from all classes on or before completing 60% of the term, Delta College calculates the amount of unearned Title IV aid that must be returned to federal programs. Students earn aid on a pro-rata basis as they progress through the term.

10.2 Withdrawal Dates

• Official Withdrawal: The date the student initiated the withdrawal process through the MyDelta portal.
• Unofficial Withdrawal: Identified when a student receives all W, FW, or I grades. The withdrawal date is the midpoint of the term or the last documented date of an academically related activity.

10.3 Calculation Process

1. Calculate the percentage of the term completed (excluding scheduled breaks of 5+ consecutive days and gaps between modules).
2. If the student completed less than 60% of the term, multiply total Title IV aid by the unearned percentage to determine the amount to return.
3. If the student completed 60% or more, they are considered to have earned 100% of their aid — no return is required.
4. Unearned funds are returned to federal programs in the following mandatory order: Direct Unsubsidized Loans, Direct Subsidized Loans, Federal Pell Grant, and then other programs.
5. The school must return its share of unearned funds no later than 45 days after the date of determination of withdrawal.

10.4 Post-Withdrawal Disbursement

If the R2T4 calculation shows a student earned more aid than was disbursed, the student may be eligible for a Post-Withdrawal Disbursement (PWD). The student will be notified in writing within 30 days. For loan funds, student authorization is required within 14 days before disbursement.

10.5 Modular Courses

A student in a modular program is considered withdrawn only if they fail to complete all modules they were scheduled to attend. No R2T4 calculation is required if the student completes one or more modules totaling at least 49% of the payment period, or completes coursework equal to half-time enrollment.

11.1 Overawards

An overaward occurs when a student's aid package exceeds their financial need or Cost of Attendance. Overawards are resolved by reducing or canceling aid in the following order: institutional and state aid first, then campus-based aid (FWS, FSEOG), then Direct Loans (Unsubsidized before Subsidized). Federal Pell Grants are never reduced to resolve an overaward.

11.2 Overpayments

An overpayment occurs when a student receives more Title IV funds than they are entitled to receive. Delta College returns the student liability portion of an overpayment directly to the Department of Education on the student's behalf. The student is then billed by the institution and must repay the college to clear their account. Students with unresolved overpayments are ineligible for further Title IV aid. 

12.1 Policy Statement

Students must maintain Satisfactory Academic Progress to be eligible for and to continue receiving financial aid. SAP is evaluated at the end of every term using the following three standards:

12.2 SAP Standards

1. Qualitative Standard (GPA)
   1. Students must maintain a minimum cumulative GPA of 2.0.
2. Quantitative Standard (Pace of Progression)
   1. Students must successfully complete a minimum of 67% of cumulative credit hours attempted.
   2. Formula: Completed Units / Attempted Units = Pace
3. Maximum Timeframe (MTF)
   1. Students must complete their educational objective within 150% of the published program length (e.g., 90 attempted units for a 60-unit AA degree). Up to 30 units of remedial/ESL coursework are excluded from this calculation.

12.3 SAP Statuses

12.4 SAP Appeal Process

Students who are disqualified may submit a SAP Appeal through the CampusLogic StudentForms platform if they have documented extenuating circumstances beyond their control (e.g., death of a relative, serious illness). The appeal must include:

• A detailed written explanation of the extenuating circumstances
• Third-party supporting documentation
• A counselor-approved Education Plan
• An explanation of what has changed to ensure future academic success

Note: Students are NOT eligible to appeal under any of the following conditions:

• The student has reached 200% or more of their program length (200% Rule).
• Academic recovery requires more than two consecutive terms to achieve good standing.
• It is mathematically impossible for the student to achieve a 2.0 GPA and 67% completion rate before reaching the 150% maximum timeframe.

12.5 Re-establishing Eligibility

Students whose appeal is denied may re-establish financial aid eligibility by completing coursework at their own expense until they again meet all three SAP standards. 

The U.S. Department of Education may flag students with an Unusual Enrollment History (UEH) for review. Delta College reviews the academic records of flagged students to determine whether they were legitimately pursuing a degree. Students must submit official transcripts from all previously attended institutions. If the review determines that the student earned academic credit at each institution, the flag will be resolved. If not, aid eligibility will be denied. Students may appeal a denial based on extenuating circumstances. 

A consortium agreement allows a student to receive financial aid from Delta College (as the home institution) while taking courses at another eligible institution (the host), provided those courses apply to the student's declared program at Delta. The student must obtain a Consortium Agreement form from the Financial Aid Office and receive academic advisor confirmation that the courses will transfer. The student is responsible for submitting an official transcript from the host institution at the end of the term. 

Delta College maintains a zero-tolerance policy for fraud, falsification, or misrepresentation in connection with Title IV programs. Any staff member who identifies suspected fraud must:

1. File a confidential Maxient Report immediately.
2. Report the case directly to the U.S. Department of Education's Office of Inspector General (OIG).
3. Suspend all awarding and disbursement for the affected student.

If funds were disbursed based on fraudulent information, those funds will be returned to the appropriate federal or state agency.

To report fraud to the OIG:

• Online (preferred): OIG Hotline Portal at oig.ed.gov
• Phone: 1-800-MIS-USED (1-800-647-8733)
• Mail: U.S. Department of Education, Office of Inspector General Hotline, 400 Maryland Avenue S.W., Washington D.C. 20202-1500 

Students who have a complaint regarding financial aid services, administrative decisions, or staff conduct may follow the steps below:

1. Informal Resolution: Speak directly with a financial aid staff member or advisor.
2. Formal Complaint to the Director: If unresolved, submit a written complaint to the Director of Financial Aid & Scholarships. A written response will be provided within 10 business days.
3. Appeal to the Dean: If unsatisfied with the Director's response, appeal in writing to the Dean of Student Services Enrollment Management.
4. External Resources: If all internal processes are exhausted, complaints may be submitted to: the U.S. Department of Education's Federal Student Aid Feedback Center and Ombudsman Office; the California Community Colleges Chancellor's Office; or the Accrediting Commission for Community and Junior Colleges (ACCJC). 

Delta College retains all financial aid records in accordance with federal and state requirements:

• Federal Records (Title IV): Minimum 3 years after the end of the award year for which the aid was awarded.
• State Records (Cal Grant, CCPG, SSCG, etc.): Minimum 5 years.
• Permanent Records: Program Participation Agreement (PPA), ECAR, final audit reports, and all fraud-related documentation are retained permanently. 

Delta College is committed to responsible borrowing and actively manages its federal student loan Cohort Default Rate (CDR). An excessively high CDR can result in loss of institutional eligibility to participate in the Direct Loan and Pell Grant programs. The Financial Aid Office promotes responsible borrowing through financial literacy initiatives and works with the Department of Education to monitor repayment status and conduct outreach to delinquent borrowers. 

In the event of a campus closure or major disruption, the Financial Aid Office will:

1. Communicate updates via the official Delta College website, student email, and the MustangAlert Emergency Notification System.
2. Evaluate students who withdraw due to emergencies under R2T4 regulations and follow any federal guidance on disaster-related waivers.
3. Continue disbursements via BankMobile or mailed checks, provided students maintain eligibility and enrollment status.
4. Follow state and federal guidelines for institutional closure and teach-out planning in the event of permanent closure, including support for Closed School Loan Discharge under 34 CFR §685.214.