Withdrawing from CCC and Return of Title IV Procedure for Financial Aid Students
Special COVID-19 Withdrawal Information:
CCC has created the following operational procedure for Title IV withdrawals during the Covid-19 Pandemic based on guidance found at https://fsapartners.ed.gov/knowledge-center/library/electronic-announcements/2020-08-21/updated-deadlines-flexibilities-related-coronavirus-covid-19 .
Any institution that moved students from ground-based instruction to distance learning, closed campus housing or other campus facilities, or experienced other interruptions in instruction during a term within the COVID-19 covered period may consider all withdrawals from students enrolled in affected programs during that term to have been the result of circumstances related to the COVID-19 national emergency. For institutions that did not undergo changes in educational delivery or campus operations as a result of the COVID-19 emergency, during a term or payment period within the covered period, the institution will be required to obtain a written attestation (including by email or text messages) from the student explaining why the withdrawal was the result of the COVID-19 emergency.
Spring 2020 withdrawals:
Students who withdraw from the spring 2020 semester prior to March 13, 2020 are considered to be traditional withdrawals (not COVID-19 withdrawals) with no special treatment. Students who withdrew prior to March 13, 2020 are required to submit supporting documentation of their circumstances in order to have the withdrawal considered as COVID-19 related. Students who withdrew on March 13, 2020 or after are automatically considered COVID-19 withdrawals (no documentation is necessary) unless the college has been provided with documentation substantiating the withdrawal was not related to COVID-19. Students who stop attending all classes at an unknown time are considered unofficial withdrawals. Because attendance cannot be ascertained on an unofficial withdrawal, schools are permitted to use the midpoint of the semester as the withdrawal date. The midpoint unofficial withdrawal date for the spring 2020 semester was March 8, 2020. Any students who have an unofficial withdrawal during the spring 2020 semester whereby CCC utilizes the midpoint of enrollment (March 8, 2020) are considered COVID-19 withdrawals (no documentation is necessary) even though that date precedes March 13, 2020.
Summer 2020, Fall 2020, Spring 2021 and Summer 2021 Withdrawals:
Students who withdraw from the summer 2020 and after, but prior to the end of the COVID-19 National Emergency are considered to be traditional withdrawals, (not COVID-19 withdrawals) with no special treatment. Students are required to submit supporting documentation of their circumstances in order to have and summer 2020 or after withdrawal considered as COVID-19 related. Students who can show supporting documentation that their summer 2020 or after withdrawal was caused by COVID-19 shall have their withdrawal treated as COVID-19 related. Allowable circumstances include, but are not limited to, illness of the student or family member, need to become a caregiver or first responder, loss of childcare, economic hardship, inability to access WiFi due to closed facilities, or an increase in work hours as a result of the COVID-19 emergency. Information (which in the judgment of the institution is reliable) provided by the family member of a withdrawn student whom the institution is unable to contact is acceptable for documentation purposes.
###end Special COVID-19 Withdrawal Information###
Procedure for Withdrawing from CCC:
Students wishing to completely withdraw from CCC must initiate the withdrawal process in the Registration and Enrollment Services Office at the Lone Tree Campus or at the reception desk at the Fourth Street Campus or Page Instructional Site. A student who fails all of their classes in a semester may also be subject to the Return of Title IV (R2T4) calculation. If a student “earned” at least one of their F’s (i.e. they participated in class until the end of the semester and received an F for poor performance), then no calculation is required. However, if the student failed all classes because they stopped attending at some point in the semester, then a R2T4 calculation is required. At the end of the term, the Office of Student Financial Aid will attempt to determine the date of the student's last academically related activity in order to make a calculation.
1. Upon determination that a student has withdrawn, the Financial Aid Office will process the R2T4 calculation in accordance with Treatment of Title IV Funds When a Student Withdraws from a Credit Hour Program . The following steps are used to calculate the amount of aid a student has earned and how much must be returned (if any).
- Determination of the withdrawal date.
- Determination of the amount of aid the student earned.
- Determination of the amount of aid the student did not earn.
- Determination of the amount of aid CCC must return.
- Determination of the amount of aid the student must return.
For Title IV purposes, the last date of academic attendance is one of the following: the date the formal withdrawal process begins, the date the student otherwise gives official notice of intent to withdraw (e.g., letter, electronically or in-person), or the last documented date of attendance in an academically-related activity (e.g., documented attendance in a class or lab or submission of an assignment in an online course). CCC is a non-attendance taking institution. If the college is unable to determine a student's last date of academic attendance, then the midpoint of the semester will be used in the calculation.
Beginning summer 2021, CCC is required to calculate the number of days a student was scheduled to complete for the semester. This is referred to as the denominator used in the R2T4 calculation. The denominator used in the R2T4 calculation is based on the class dates the student was scheduled to complete on the Return to Title IV Freeze date (RFD). The RFD usually occurs on the third Tuesday of the semester. If a student withdraws from all classes at CCC prior to the RFD, the denominator used in the R2T4 calculation is the class dates the student was scheduled to complete on the date of withdrawal. If a student withdraws from all classes on or after the RFD, the denominator used in the R2T4 calculation is the class dates the student was scheduled to complete on the RFD. In rare circumstances a student may register for class(es) after the RFD. In this instance, and only if CCC awarded the student's Title IV financial aid awards based on the late start class enrollment, the denominator used in the R2T4 calculation is the class dates the student was scheduled to complete for all the modules the student began enrollment in during the semester.
2. Earned Aid: The percentage of aid the student has earned is equal to the percentage of the semester (payment period) the student has completed. The percentage of the payment period completed is calculated by dividing the total number of calendar days completed (first class day to the last date of attendance) by the total number of calendar days in the term. The percentage of Title IV assistance to which the student is entitled (has “earned”) is equal to this completed percentage up to 60%. If the withdrawal occurs after the 60% point, the percentage is equal to 100%. The amount of aid the student has earned is calculated by multiplying this percentage by the total amount of Title IV aid disbursed (and could have been disbursed) to the student.
If a student did not receive all of the funds that they earned, they may be due a post-withdrawal disbursement. If the R2T4 calculation determines that a student is due a post-withdrawal disbursement, the school must obtain the student's permission to disburse any loan funds. Furthermore, the school may use all or a portion of grant funds to pay for any tuition and fee charges that are due. In some instances a student may choose to decline all or part of a disbursement of Pell Grant funds that the student is otherwise eligible to receive. A student may wish to take this action if the student expects to qualify for a larger Pell Grant in future years as a result of an expected transfer to a more expensive educational institution or an expected change in the student’s expected family contribution. To decline Pell Grant funds, a student must deliver to the school a signed, written statement clearly indicating that the student is declining Pell Grant funds for which he or she is otherwise eligible and that the student understands that those funds may not be available once the award year is over.
3. Unearned Aid: The amount of Title IV aid which must be returned is based on the percentage of unearned aid. That percentage is computed by subtracting the earned aid percentage from 100%.
4. Title IV Aid to be returned by CCC: The College is required to return the lesser of the unearned aid percentage applied to institutional charges or the unearned aid percentage applied to the total Title IV aid received within 45 days of the date of determination of the withdrawal. Unearned aid will be returned to the aid programs in the following order: Unsubsidized Direct Loans, Subsidized Direct Loans, Direct PLUS, Pell Grant, FSEOG. CCC bills the student for any account balance created when Title IV aid is returned.
5. Title IV Aid to be returned by student: The student is required to pay the difference between the amount of unearned aid and the amount returned by the College. If the student’s portion of the unearned aid includes federal grants, they are only required to return the grant amount that exceeds 50% of the original amount received for that semester. If the amount the student owes is less than $50, then no payment is required. Federal regulations allow schools to charge a student for any amount paid on the student's behalf, and CCC will bill the student for any account balance created when Title IV aid is returned. The student's share of loan funds to be returned may be repaid in accordance with the terms of the master promissory note.
Financial Aid Return of Title IV Funds Calculation Sample
A student withdraws from CCC after attending 11 days of a 110 day semester. The student received a $1000 Pell Grant and a $1750 Federal Subsidized Loan. The students’ institutional costs to attend CCC was $1500.
- Days attended (11) / Days in semester (110) = Percentage completed (10%);
- Total Title IV aid disbursed; $1000 in Federal Pell Grant + $1750 in a Subsidized Loan = $2750 X Percentage Completed (10%) = Earned Aid ($275)
- Total disbursed aid ($2750 – Total Earned Aid ($275) = Unearned Aid ($2475)
- 100% of Semester - Percentage Completed (10%) = Percentage of Unearned Aid (90%)
- Percentage of Unearned Aid (90%) X Institutional Charges ($1500) = Unearned Charges ($1350)
- CCC will return the lesser of the Unearned Aid ($2475) or Unearned Charges = ($1350)
- CCC’s Share ($1350) will be returned to the Federal Subsidized Loan lender and will be billed to the student.
- Unearned Aid ($2475) – CCC’s Share ($1350) = Student’s Share ($1125)
- Total amount of Loans ($1750) – CCC’s Share ($1350) = $400; this is the amount the student will return to the Lender according to the terms of the master promissory note (MPN).
- Initial amount of unearned Title IV aid due from the student ($1125) – student’s repayment to the student’s loan ($400) = Initial amount of Title IV Grants for Student to Return ($725)
- Grant aid disbursed ($1000) X 50% = Title IV Grant Protection ($500) 50% of Grant aid is protected based on HERA law of 2005.
- Initial amount of Title IV Grants for Student to Return ($725) – Title IV Grant Protection ($500) = Title IV Grant Funds for the Student to Return ($225)
Based on this calculation, the student will owe back a total of $1975:
• $225 Pell Grant repayment, payable immediately to CCC.
• $1350 CCC tuition repayment, payable immediately to CCC
• $400 Subsidized Loan repayment, payable in the future to their student’s loan servicer, according to the terms of the master promissory note.
Leave of Absence (LOA) and impact on Student Financial Aid
Students may need to take a leave of absence from CCC for a valid reasons such as sickness, a death in the family, or other emergencies. Students must notify the Registrar and Financial Aid Office of their intention to take a LOA so that they can be appropriately advised. In order to be considered a Leave of Absence for Financial Aid purposes, and to prevent the college from performing a return of Title IV Funds (R2T4) calculation, all of the student must:
Provide the Registrar and Financial Aid Office in writing:
- Their intent to be absent from the College
- The length of time they expect to be absent
- Reason for their absence
The College will determine if there is a reasonable expectation that the student will return to the school. The college will not assess any additional charges for a student on LOA. The number of days in the approved LOA, when added to the number of days in all other approved leaves of absence, may not exceed 180 days in any 12-month period. Upon the student's return from the LOA, the student is permitted to complete the coursework he or she began prior to the LOA. If the student is a loan recipient, the financial aid office will explain to the student, prior to granting the LOA, the effects that the student's failure to return from a LOA may have on the student's loan repayment terms, including the exhaustion of some or all of the student's grace period. If a student does not resume attendance at the institution at or before the end of a Title IV-approved LOA, such as not returning within 180 days or a LOA longer than 180 days, the institution must treat the student as a withdrawal and perform a R2T4 calculation. The same is true if the student takes a non-Title IV-approved LOA (unapproved LOA). In such cases, the student’s withdrawal date is the date the student began the LOA. The College will report the LOA to external entities including loan servicers and National Student Loan Data Service (NSLDS) during the LOA period. If the student does not return from the LOA as scheduled, then the College will report the student as withdrawn from the College.
Students receiving federal financial aid who withdraw from or stop attending all courses may be required to return a portion of financial aid received. Federal regulations [HEA Section 484B, 485(a)(1)(F), 34 CFR 668.22], referred to as the Return of Title IV Funds policy, require CCC to calculate a refund and repayment of federal aid received by students who withdraw prior to the 60% point of a term for which he/she has received federal aid. The Title IV (federal) programs under this policy are: Federal Pell Grant, Federal Supplemental Educational Opportunity Grants (FSEOG), and Federal Direct Loans (Subsidized, Unsubsidized and PLUS). According to the Return of Title IV (R2T4) Funds policy, the student is allowed to retain only the amount of Title IV financial aid that was earned. If a student withdraws or stops participating in classes, a portion of the aid received is considered to be unearned and must be returned to the Title IV programs from which it was received. If the R2T4 calculation results in unearned aid that must be returned, both the school and the student are responsible for returning funds.