Federal Need Analysis Methodology for the 2020-21 Award Year-Federal Pell Grant, Federal Work-Study, Federal Supplemental Educational Opportunity Grant, William D. Ford Federal Direct Loan, Iraq and Afghanistan Service Grant, and TEACH Grant Programs, 25244-25248 [2019-11354]

Download as PDF 25244 Federal Register / Vol. 84, No. 105 / Friday, May 31, 2019 / Notices plants into segments for packaging into several hundred small containers that meet Department of Transportation requirements for subsequent disposal at either a DOE and/or commercial lowlevel radioactive waste facility. Alternative 4—No action. Under the no action alternative, the defueled exEnterprise would be stored waterborne. The vessel would require periodic maintenance to ensure that storage continues in a safe and environmentally responsible manner. DON will evaluate the potential environmental impacts from the no action alternative and identified action alternatives. DON will analyze potential impacts on environmental resources resulting from activities included in identified alternatives in accordance with 40 CFR 1502.16. Direct, indirect, and cumulative impacts will be analyzed. Ship dismantlement activities will be performed in accordance with all applicable Federal, state, and local environmental laws and regulations, occupational safety and health laws and regulations, and in accordance with the Naval Nuclear Propulsion Program’s statutory responsibilities under 50 U.S.C. 2406 and 2511. The scoping process is helpful in identifying public concerns and local issues to be considered during the development of the EIS/OEIS. Federal, state, and local agencies; federally recognized tribes; non-governmental organizations; and interested persons are encouraged to provide substantive comments to the DON on potential impacts to environmental resources. All substantive comments provided orally, electronically, or in writing at the scoping meetings, submitted via the project website, or mailed to the address provided in the FOR FURTHER INFORMATION CONTACT section will be taken into consideration during the development of the EIS/OEIS. Dated: May 23, 2019. M.S. Werner, Commander, Judge Advocate General’s Corps, U.S. Navy, Federal Register Liaison Officer. [FR Doc. 2019–11221 Filed 5–30–19; 8:45 am] khammond on DSKBBV9HB2PROD with NOTICES BILLING CODE 3810–FF–P VerDate Sep<11>2014 16:42 May 30, 2019 Jkt 247001 DEPARTMENT OF EDUCATION Federal Need Analysis Methodology for the 2020–21 Award Year—Federal Pell Grant, Federal Work-Study, Federal Supplemental Educational Opportunity Grant, William D. Ford Federal Direct Loan, Iraq and Afghanistan Service Grant, and TEACH Grant Programs Federal Student Aid, Department of Education. ACTION: Notice. AGENCY: The Secretary announces the annual updates to the tables used in the statutory Federal Need Analysis Methodology that determines a student’s expected family contribution (EFC) for award year (AY) 2020–21 for student financial aid programs, Catalog of Federal Domestic Assistance (CFDA) Numbers 84.063, 84.033, 84.007, 84.268, 84.408, and 84.379. The intent of this notice is to alert the financial aid community and the broader public to these required annual updates used in the determination of student aid eligibility. SUMMARY: FOR FURTHER INFORMATION CONTACT: Marya Dennis, U.S. Department of Education, Room 63G2, Union Center Plaza, 830 First Street NE, Washington, DC 20202–5454. Telephone: (202) 377– 3385. If you use a telecommunications device for the deaf (TDD) or a text telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1–800–877– 8339. Part F of title IV of the Higher Education Act of 1965, as amended (HEA), specifies the criteria, data elements, calculations, and tables the Department of Education (Department) uses in the Federal Need Analysis Methodology to determine the EFC. Section 478 of the HEA requires the Secretary to annually update the following four tables for price inflation—the Income Protection Allowance (IPA), the Adjusted Net Worth (NW) of a Business or Farm, the Education Savings and Asset Protection Allowance, and the Assessment Schedules and Rates. The updates are based, in general, upon increases in the Consumer Price Index (CPI). For AY 2020–21, the Secretary is charged with updating the IPA for parents of dependent students, adjusted NW of a business or farm, the education savings and asset protection allowance, and the assessment schedules and rates to account for inflation that took place between December 2018 and December SUPPLEMENTARY INFORMATION: PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 2019. However, because the Secretary must publish these tables before December 2019, the increases in the tables must be based on a percentage equal to the estimated percentage increase in the Consumer Price Index for All Urban Consumers (CPI–U) for 2019. The Secretary must also account for any under- or over-estimation of inflation for the preceding year. In developing the table values for the 2019–20 AY, the Secretary assumed a 1.6 percent increase in the CPI–U for the period December 2017 through December 2018. The actual inflation for this time period was 1.9 percent. The Secretary estimates that the increase in the CPI–U for the period December 2018 through December 2019 will be 2.4 percent. Additionally, section 601 of the College Cost Reduction and Access Act of 2007 (CCRAA, Pub. L. 110–84) amended sections 475 through 478 of the HEA affecting the IPA tables for the 2009–10 through 2012–13 AYs and required the Department to use a percentage of the estimated CPI to update the table in subsequent years. These changes to the IPA impact dependent students, as well as independent students with dependents other than a spouse and independent students without dependents other than a spouse. This notice includes the new 2020–21 AY values for the IPA tables, which reflect the CCRAA amendments. The updated tables are in sections 1 (Income Protection Allowance), 2 (Adjusted Net Worth of a Business or Farm), and 4 (Assessment Schedules and Rates) of this notice. Under section 478(d) of the HEA, the Secretary must also revise the education savings and asset protection allowances for each AY. The Education Savings and Asset Protection Allowance table for AY 2020–21 has been updated in section 3 of this notice. Section 478(h) of the HEA also requires the Secretary to increase the amount specified for the employment expense allowance, adjusted for inflation. This calculation is based on increases in the Bureau of Labor Statistics’ marginal costs budget for a two-worker family compared to a oneworker family. The items covered by this calculation are: Food away from home, apparel, transportation, and household furnishings and operations. The Employment Expense Allowance table for AY 2020–21 has been updated in section 5 of this notice. Section 478(g) of the HEA directs the Secretary to update the tables for State and other taxes after reviewing the Statistics of Income file data maintained by the Internal Revenue Service. This E:\FR\FM\31MYN1.SGM 31MYN1 25245 Federal Register / Vol. 84, No. 105 / Friday, May 31, 2019 / Notices table has been updated in section 6 of this notice. 1. Income Protection Allowance. This allowance is the amount of living expenses associated with the maintenance of an individual or family that may be offset against the family’s The HEA requires the following annual updates: income. The allowance varies by family size. The IPA for dependent students is $6,840. The IPAs for parents of dependent students for AY 2020–21 are as follows: PARENTS OF DEPENDENT STUDENTS Number in college Family size 2 3 4 5 6 ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... For each additional family member add $4,570. For each additional college student subtract $3,250. 1 2 $19,080 23,760 29,340 34,620 40,490 $15,810 20,510 26,080 31,350 37,230 3 4 5 ........................ $17,250 22,830 28,110 33,980 ........................ ........................ $19,570 24,840 30,720 ........................ ........................ ........................ $21,600 27,470 The IPAs for independent students with dependents other than a spouse for AY 2020–21 are as follows: INDEPENDENT STUDENTS WITH DEPENDENTS OTHER THAN A SPOUSE Number in college Family size 2 3 4 5 6 ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... ........................................................................................... For each additional family member add $6,450. For each additional college student subtract $4,580. 1 2 $26,940 33,550 41,420 48,880 57,160 $22,340 28,960 36,830 44,260 52,560 The IPAs for single independent students and independent students 3 4 5 ........................ $24,360 32,250 39,680 47,990 ........................ ........................ $27,630 35,080 43,360 ........................ ........................ ........................ $30,500 38,790 without dependents other than a spouse for AY 2020–21 are as follows: Number in college Marital status Single ....................................................................................................................................................................... Married ..................................................................................................................................................................... Married ..................................................................................................................................................................... khammond on DSKBBV9HB2PROD with NOTICES 2. Adjusted Net Worth of a Business or Farm. A portion of the full NW (assets less debts) of a business or farm is excluded from the calculation of an EFC because (1) the income produced from these assets is already assessed in another part of the formula; and (2) the formula protects a portion of the value of the assets. The portion of these assets included in the contribution calculation is computed according to the following IPA 1 2 1 $10,640 10,640 17,060 schedule. This schedule is used for parents of dependent students, independent students without dependents other than a spouse, and independent students with dependents other than a spouse. If the NW of a business or farm is Then the adjusted NW is Less than $1 ............................................................................................................................................ $1 to $135,000 ......................................................................................................................................... $135,001 to $410,000 .............................................................................................................................. $410,001 to $680,000 .............................................................................................................................. $680,001 or more ..................................................................................................................................... $0. $0 + 40% of NW. $54,000 + 50% of NW over $135,000. $191,500 + 60% of NW over $410,000. $353,500 + 100% of NW over $680,000. 3. Education Savings and Asset Protection Allowance. This allowance VerDate Sep<11>2014 16:42 May 30, 2019 Jkt 247001 protects a portion of NW (assets less debts) from being considered available PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 for postsecondary educational expenses. There are three asset protection allowance tables: One for parents of dependent students, one for independent students without dependents other than a spouse, and one for independent students with dependents other than a spouse. E:\FR\FM\31MYN1.SGM 31MYN1 25246 Federal Register / Vol. 84, No. 105 / Friday, May 31, 2019 / Notices PARENTS OF DEPENDENT STUDENTS, AND INDEPENDENT STUDENTS WITH DEPENDENTS OTHER THAN A SPOUSE, AND INDEPENDENT STUDENTS WITHOUT DEPENDENTS OTHER THAN A SPOUSE And the older parent or the independent student is If the age of the older parent is, or if the age of the independent student is Married Single Then the allowance is 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 or less ................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. ............................................................................................................................................................................. or older ............................................................................................................................................................... khammond on DSKBBV9HB2PROD with NOTICES 4. Assessment Schedules and Rates. Two schedules that are subject to updates—one for parents of dependent students and one for independent students with dependents other than a spouse—are used to determine the EFC from family financial resources toward educational expenses. For dependent students, the EFC is derived from an assessment of the parents’ adjusted available income (AAI). For independent students with dependents other than a spouse, the EFC is derived from an assessment of the family’s AAI. The AAI represents a measure of a 0 300 700 1,000 1,300 1,600 2,000 2,300 2,600 2,900 3,300 3,600 3,900 4,200 4,600 4,900 5,100 5,200 5,300 5,400 5,500 5,700 5,800 6,000 6,100 6,300 6,400 6,600 6,800 6,900 7,100 7,300 7,500 7,700 7,900 8,200 8,400 8,600 8,900 9,200 9,400 family’s financial strength, which considers both income and assets. The contribution of parents of dependent students, and independent students with dependents other than a spouse, is computed according to the following schedule: If AAI is Then the contribution is Less than ¥$3,409 .................................................................................................................................. ¥$3,409 to $17,000 ................................................................................................................................ $17,001 to $21,400 .................................................................................................................................. $21,401 to $25,700 .................................................................................................................................. $25,701 to $30,100 .................................................................................................................................. $30,101 to $34,500 .................................................................................................................................. $34,501 or more ....................................................................................................................................... ¥$750. 22% of AAI. $3,740 + 25% $4,840 + 29% $6,087 + 34% $7,583 + 40% $9,343 + 47% VerDate Sep<11>2014 18:31 May 30, 2019 Jkt 247001 PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 0 100 200 300 500 600 700 800 900 1,000 1,100 1,200 1,400 1,500 1,600 1,700 1,700 1,700 1,800 1,800 1,900 1,900 1,900 2,000 2,000 2,100 2,100 2,200 2,200 2,300 2,300 2,400 2,500 2,500 2,600 2,700 2,700 2,800 2,900 2,900 3,000 E:\FR\FM\31MYN1.SGM 31MYN1 of of of of of AAI AAI AAI AAI AAI over over over over over $17,000. $21,400. $25,700. $30,100. $34,500. 25247 Federal Register / Vol. 84, No. 105 / Friday, May 31, 2019 / Notices 5. Employment Expense Allowance. This allowance for employment-related expenses—which is used for the parents of dependent students and for married independent students—recognizes additional expenses incurred by working spouses and single-parent households. The allowance is based on the marginal differences in costs for a two-worker family compared to a oneworker family. The items covered by these additional expenses are: Food away from home, apparel, transportation, and household furnishings and operations. The employment expense allowance for parents of dependent students, married independent students without dependents other than a spouse, and independent students with dependents other than a spouse is the lesser of $4,000 or 35 percent of earned income. 6. Allowance for State and Other Taxes. The allowance for State and other taxes protects a portion of parents’ and students’ incomes from being considered available for postsecondary educational expenses. There are four categories for State and other taxes, one each for parents of dependent students, independent students with dependents other than a spouse, dependent students, and independent students without dependents other than a spouse. PERCENT OF INCOME PAID IN STATE TAXES, BY STATE, DEPENDENCY STATUS, AND INCOME LEVEL Parents of dependent students and independent students with dependents other than a spouse State Percent of total income khammond on DSKBBV9HB2PROD with NOTICES Under $15,000 Alabama ....................................................................................................................................... Alaska .......................................................................................................................................... Arizona ......................................................................................................................................... Arkansas ...................................................................................................................................... California ...................................................................................................................................... Colorado ...................................................................................................................................... Connecticut .................................................................................................................................. Delaware ...................................................................................................................................... District of Columbia ..................................................................................................................... Florida .......................................................................................................................................... Georgia ........................................................................................................................................ Hawaii .......................................................................................................................................... Idaho ............................................................................................................................................ Illinois ........................................................................................................................................... Indiana ......................................................................................................................................... Iowa ............................................................................................................................................. Kansas ......................................................................................................................................... Kentucky ...................................................................................................................................... Louisiana ...................................................................................................................................... Maine ........................................................................................................................................... Maryland ...................................................................................................................................... Massachusetts ............................................................................................................................. Michigan ....................................................................................................................................... Minnesota .................................................................................................................................... Mississippi .................................................................................................................................... Missouri ........................................................................................................................................ Montana ....................................................................................................................................... Nebraska ...................................................................................................................................... Nevada ......................................................................................................................................... New Hampshire ........................................................................................................................... New Jersey .................................................................................................................................. New Mexico ................................................................................................................................. New York ..................................................................................................................................... North Carolina .............................................................................................................................. North Dakota ................................................................................................................................ Ohio ............................................................................................................................................. Oklahoma ..................................................................................................................................... Oregon ......................................................................................................................................... Pennsylvania ................................................................................................................................ Rhode Island ................................................................................................................................ South Carolina ............................................................................................................................. South Dakota ............................................................................................................................... Tennessee ................................................................................................................................... Texas ........................................................................................................................................... Utah ............................................................................................................................................. Vermont ....................................................................................................................................... Virginia ......................................................................................................................................... Washington .................................................................................................................................. West Virginia ................................................................................................................................ Wisconsin ..................................................................................................................................... VerDate Sep<11>2014 16:42 May 30, 2019 Jkt 247001 PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 E:\FR\FM\31MYN1.SGM Dependent students and independent students without dependents other than a spouse $15,000 & up All 3 2 4 4 8 4 9 5 7 3 5 5 5 5 4 5 4 5 3 6 8 7 4 6 3 5 5 5 2 4 9 3 9 5 2 5 3 7 5 6 4 2 2 3 5 6 6 3 3 6 31MYN1 2 1 3 3 7 3 8 4 6 2 4 4 4 4 3 4 3 4 2 5 7 6 3 5 2 4 4 4 1 3 8 2 8 4 1 4 2 6 4 5 3 1 1 2 4 5 5 2 2 5 2 0 2 3 6 3 5 3 6 1 3 4 3 3 3 3 2 4 2 3 6 4 3 5 2 3 3 3 1 1 5 2 7 3 1 3 2 5 3 3 3 1 1 1 3 3 4 1 3 4 25248 Federal Register / Vol. 84, No. 105 / Friday, May 31, 2019 / Notices PERCENT OF INCOME PAID IN STATE TAXES, BY STATE, DEPENDENCY STATUS, AND INCOME LEVEL—Continued Parents of dependent students and independent students with dependents other than a spouse State Percent of total income Under $15,000 Wyoming ...................................................................................................................................... Other ............................................................................................................................................ Accessible Format: Individuals with disabilities can obtain this document in an accessible format (e.g., braille, large print, audiotape, or compact disc) on request to the contact person listed under FOR FURTHER INFORMATION CONTACT. Electronic Access to This Document: The official version of this document is the document published in the Federal Register. You may access the official edition of the Federal Register and the Code of Federal Regulations at www.govinfo.gov. At this site, you can view this document, as well as all other documents of this Department published in the Federal Register, in text or Portable Document Format (PDF). To use PDF, you must have Adobe Acrobat Reader, which is available free at this site. You may also access documents of the Department published in the Federal Register by using the article search feature at www.federalregister.gov. Specifically, through the advanced search feature at this site, you can limit your search to documents published by the Department. Program Authority: 20 U.S.C. 1087rr. Mark A. Brown, Chief Operating Officer Federal Student Aid. [FR Doc. 2019–11354 Filed 5–30–19; 8:45 am] BILLING CODE 4000–01–P ELECTION ASSISTANCE COMMISSION Proposed Voluntary Voting System Guidelines 2.0 Principles and Guidelines; Correction United States Election Assistance Commission. ACTION: Notice; correction. khammond on DSKBBV9HB2PROD with NOTICES AGENCY: The Election Assistance Commission published a document in the Federal Register on February 28, 2019. Publication of the Voluntary Voting System Guidelines . FOR FURTHER INFORMATION CONTACT: Clifford Tatum, 301–563–3957. SUMMARY: VerDate Sep<11>2014 16:42 May 30, 2019 Jkt 247001 SUPPLEMENTARY INFORMATION: Correction In the Federal Register on February 28, 2019, in FR Doc. 2019–03453, on page 67876, in the first column, correct the DATES caption to read: DATES: Comments must be received on or before 4:00 p.m. EST on May 29, 2019. Submission of Comments: The public may submit comments through one of the two following methods provided by the EAC: (1) By mail to Voluntary Voting System Guidelines 2.0. Principles and Guidelines Comments, U.S. Election Assistance Commission, 1335 East-West Highway, Suite 4300, Silver Spring, Maryland 20910, and (2) via an online submission form found at the following link https://www.eac.gov/ vvsg-form/. Members of the public are encouraged to submit comments electronically to ensure timely receipt and consideration. In order to allow efficient and effective review of comments the EAC requests that: (1) Comments refer to the specific section that is the subject of the comment. (2) General comments regarding the entire document or comments that refer to more than one section be made as specifically as possible so that EAC can clearly understand to which portion(s) of the documents the comment refers. (3) To the extent that a comment suggests a change in the wording of a Principal or Guideline or section of the guidelines, please provide proposed language for the suggested change. To Obtain a Copy of the VVSG Volume Version 2.0 Principles and Guidelines: A complete copy of the draft VVSG 2.0 Principles and Guidelines is available from the EAC in electronic format. An electronic copy can be downloaded in PDF format on the EAC’s website, http://www.eac.gov. In order to obtain a paper copy of the TGDC draft recommendations please mail a written request to Voluntary Voting System Guidelines 2.0 Principles and PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 Dependent students and independent students without dependents other than a spouse $15,000 & up All 2 3 1 2 1 2 Guidelines Comments, U.S. Election Assistance Commission, 1335 East-West Highway, Suite 4300, Silver Spring, Maryland 20910. Correction In the Federal Register on February 28, 2019, in FR Doc. 2019–03453, on page 67876, in the first column, correct the FURTHER INFORMATION CONTACT caption to read: FOR FURTHER INFORMATION CONTACT: Jerome Lovato, Phone (301) 563–3929, or at Contact EAC at https:// www.eac.gov/contact/ Clifford D. Tatum, General Counsel. [FR Doc. 2019–11363 Filed 5–30–19; 8:45 am] BILLING CODE 6820–KF–P DEPARTMENT OF ENERGY Federal Energy Regulatory Commission Combined Notice of Filings #2 Take notice that the Commission received the following exempt wholesale generator filings: Docket Numbers: EG19–116–000. Applicants: RE Gaskell West 2 LLC. Description: Notice of SelfCertification of Exempt Wholesale Generator Status of RE Gaskell West 2 LLC. Filed Date: 5/23/19. Accession Number: 20190523–5148. Comments Due: 5 p.m. ET 6/13/19. Take notice that the Commission received the following electric rate filings: Docket Numbers: ER17–2291–004. Applicants: PJM Interconnection, L.L.C. Description: Compliance filing: Compliance Filing Pursuant to April 23, 2019 Order re: Indemnification to be effective 11/9/2017. Filed Date: 5/23/19. Accession Number: 20190523–5154. Comments Due: 5 p.m. ET 6/13/19. E:\FR\FM\31MYN1.SGM 31MYN1

Agencies

[Federal Register Volume 84, Number 105 (Friday, May 31, 2019)]
[Notices]
[Pages 25244-25248]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-11354]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF EDUCATION


Federal Need Analysis Methodology for the 2020-21 Award Year--
Federal Pell Grant, Federal Work-Study, Federal Supplemental 
Educational Opportunity Grant, William D. Ford Federal Direct Loan, 
Iraq and Afghanistan Service Grant, and TEACH Grant Programs

AGENCY: Federal Student Aid, Department of Education.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Secretary announces the annual updates to the tables used 
in the statutory Federal Need Analysis Methodology that determines a 
student's expected family contribution (EFC) for award year (AY) 2020-
21 for student financial aid programs, Catalog of Federal Domestic 
Assistance (CFDA) Numbers 84.063, 84.033, 84.007, 84.268, 84.408, and 
84.379. The intent of this notice is to alert the financial aid 
community and the broader public to these required annual updates used 
in the determination of student aid eligibility.

FOR FURTHER INFORMATION CONTACT: Marya Dennis, U.S. Department of 
Education, Room 63G2, Union Center Plaza, 830 First Street NE, 
Washington, DC 20202-5454. Telephone: (202) 377-3385.
    If you use a telecommunications device for the deaf (TDD) or a text 
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.

SUPPLEMENTARY INFORMATION: Part F of title IV of the Higher Education 
Act of 1965, as amended (HEA), specifies the criteria, data elements, 
calculations, and tables the Department of Education (Department) uses 
in the Federal Need Analysis Methodology to determine the EFC.
    Section 478 of the HEA requires the Secretary to annually update 
the following four tables for price inflation--the Income Protection 
Allowance (IPA), the Adjusted Net Worth (NW) of a Business or Farm, the 
Education Savings and Asset Protection Allowance, and the Assessment 
Schedules and Rates. The updates are based, in general, upon increases 
in the Consumer Price Index (CPI).
    For AY 2020-21, the Secretary is charged with updating the IPA for 
parents of dependent students, adjusted NW of a business or farm, the 
education savings and asset protection allowance, and the assessment 
schedules and rates to account for inflation that took place between 
December 2018 and December 2019. However, because the Secretary must 
publish these tables before December 2019, the increases in the tables 
must be based on a percentage equal to the estimated percentage 
increase in the Consumer Price Index for All Urban Consumers (CPI-U) 
for 2019. The Secretary must also account for any under- or over-
estimation of inflation for the preceding year.
    In developing the table values for the 2019-20 AY, the Secretary 
assumed a 1.6 percent increase in the CPI-U for the period December 
2017 through December 2018. The actual inflation for this time period 
was 1.9 percent. The Secretary estimates that the increase in the CPI-U 
for the period December 2018 through December 2019 will be 2.4 percent.
    Additionally, section 601 of the College Cost Reduction and Access 
Act of 2007 (CCRAA, Pub. L. 110-84) amended sections 475 through 478 of 
the HEA affecting the IPA tables for the 2009-10 through 2012-13 AYs 
and required the Department to use a percentage of the estimated CPI to 
update the table in subsequent years. These changes to the IPA impact 
dependent students, as well as independent students with dependents 
other than a spouse and independent students without dependents other 
than a spouse. This notice includes the new 2020-21 AY values for the 
IPA tables, which reflect the CCRAA amendments. The updated tables are 
in sections 1 (Income Protection Allowance), 2 (Adjusted Net Worth of a 
Business or Farm), and 4 (Assessment Schedules and Rates) of this 
notice.
    Under section 478(d) of the HEA, the Secretary must also revise the 
education savings and asset protection allowances for each AY. The 
Education Savings and Asset Protection Allowance table for AY 2020-21 
has been updated in section 3 of this notice.
    Section 478(h) of the HEA also requires the Secretary to increase 
the amount specified for the employment expense allowance, adjusted for 
inflation. This calculation is based on increases in the Bureau of 
Labor Statistics' marginal costs budget for a two-worker family 
compared to a one-worker family. The items covered by this calculation 
are: Food away from home, apparel, transportation, and household 
furnishings and operations. The Employment Expense Allowance table for 
AY 2020-21 has been updated in section 5 of this notice.
    Section 478(g) of the HEA directs the Secretary to update the 
tables for State and other taxes after reviewing the Statistics of 
Income file data maintained by the Internal Revenue Service. This

[[Page 25245]]

table has been updated in section 6 of this notice.
    The HEA requires the following annual updates:
    1. Income Protection Allowance. This allowance is the amount of 
living expenses associated with the maintenance of an individual or 
family that may be offset against the family's income. The allowance 
varies by family size. The IPA for dependent students is $6,840. The 
IPAs for parents of dependent students for AY 2020-21 are as follows:

                                          Parents of Dependent Students
----------------------------------------------------------------------------------------------------------------
                                                                 Number in college
           Family size           -------------------------------------------------------------------------------
                                         1               2               3               4               5
----------------------------------------------------------------------------------------------------------------
2...............................         $19,080         $15,810  ..............  ..............  ..............
3...............................          23,760          20,510         $17,250  ..............  ..............
4...............................          29,340          26,080          22,830         $19,570  ..............
5...............................          34,620          31,350          28,110          24,840         $21,600
6...............................          40,490          37,230          33,980          30,720          27,470
----------------------------------------------------------------------------------------------------------------

    For each additional family member add $4,570. For each additional 
college student subtract $3,250.
    The IPAs for independent students with dependents other than a 
spouse for AY 2020-21 are as follows:

                            Independent Students With Dependents Other Than a Spouse
----------------------------------------------------------------------------------------------------------------
                                                                 Number in college
           Family size           -------------------------------------------------------------------------------
                                         1               2               3               4               5
----------------------------------------------------------------------------------------------------------------
2...............................         $26,940         $22,340  ..............  ..............  ..............
3...............................          33,550          28,960         $24,360  ..............  ..............
4...............................          41,420          36,830          32,250         $27,630  ..............
5...............................          48,880          44,260          39,680          35,080         $30,500
6...............................          57,160          52,560          47,990          43,360          38,790
----------------------------------------------------------------------------------------------------------------

    For each additional family member add $6,450. For each additional 
college student subtract $4,580.
    The IPAs for single independent students and independent students 
without dependents other than a spouse for AY 2020-21 are as follows:

------------------------------------------------------------------------
                                             Number in
             Marital status                   college           IPA
------------------------------------------------------------------------
Single..................................               1         $10,640
Married.................................               2          10,640
Married.................................               1          17,060
------------------------------------------------------------------------

    2. Adjusted Net Worth of a Business or Farm. A portion of the full 
NW (assets less debts) of a business or farm is excluded from the 
calculation of an EFC because (1) the income produced from these assets 
is already assessed in another part of the formula; and (2) the formula 
protects a portion of the value of the assets.
    The portion of these assets included in the contribution 
calculation is computed according to the following schedule. This 
schedule is used for parents of dependent students, independent 
students without dependents other than a spouse, and independent 
students with dependents other than a spouse.

----------------------------------------------------------------------------------------------------------------
     If the NW of a business or farm is                             Then the adjusted NW is
----------------------------------------------------------------------------------------------------------------
Less than $1................................  $0.
$1 to $135,000..............................  $0 + 40% of NW.
$135,001 to $410,000........................  $54,000 + 50% of NW over $135,000.
$410,001 to $680,000........................  $191,500 + 60% of NW over $410,000.
$680,001 or more............................  $353,500 + 100% of NW over $680,000.
----------------------------------------------------------------------------------------------------------------

    3. Education Savings and Asset Protection Allowance. This allowance 
protects a portion of NW (assets less debts) from being considered 
available for postsecondary educational expenses. There are three asset 
protection allowance tables: One for parents of dependent students, one 
for independent students without dependents other than a spouse, and 
one for independent students with dependents other than a spouse.

[[Page 25246]]



 Parents of Dependent Students, and Independent Students With Dependents
 Other Than a Spouse, and Independent Students Without Dependents Other
                              Than a Spouse
------------------------------------------------------------------------
                                            And the older parent or the
If the age of the older parent is, or if      independent student is
  the age of the independent student is  -------------------------------
                                              Married         Single
------------------------------------------------------------------------
                                          Then the allowance is
------------------------------------------------------------------------
25 or less..............................               0               0
26......................................             300             100
27......................................             700             200
28......................................           1,000             300
29......................................           1,300             500
30......................................           1,600             600
31......................................           2,000             700
32......................................           2,300             800
33......................................           2,600             900
34......................................           2,900           1,000
35......................................           3,300           1,100
36......................................           3,600           1,200
37......................................           3,900           1,400
38......................................           4,200           1,500
39......................................           4,600           1,600
40......................................           4,900           1,700
41......................................           5,100           1,700
42......................................           5,200           1,700
43......................................           5,300           1,800
44......................................           5,400           1,800
45......................................           5,500           1,900
46......................................           5,700           1,900
47......................................           5,800           1,900
48......................................           6,000           2,000
49......................................           6,100           2,000
50......................................           6,300           2,100
51......................................           6,400           2,100
52......................................           6,600           2,200
53......................................           6,800           2,200
54......................................           6,900           2,300
55......................................           7,100           2,300
56......................................           7,300           2,400
57......................................           7,500           2,500
58......................................           7,700           2,500
59......................................           7,900           2,600
60......................................           8,200           2,700
61......................................           8,400           2,700
62......................................           8,600           2,800
63......................................           8,900           2,900
64......................................           9,200           2,900
65 or older.............................           9,400           3,000
------------------------------------------------------------------------

    4. Assessment Schedules and Rates. Two schedules that are subject 
to updates--one for parents of dependent students and one for 
independent students with dependents other than a spouse--are used to 
determine the EFC from family financial resources toward educational 
expenses. For dependent students, the EFC is derived from an assessment 
of the parents' adjusted available income (AAI). For independent 
students with dependents other than a spouse, the EFC is derived from 
an assessment of the family's AAI. The AAI represents a measure of a 
family's financial strength, which considers both income and assets.
    The contribution of parents of dependent students, and independent 
students with dependents other than a spouse, is computed according to 
the following schedule:

----------------------------------------------------------------------------------------------------------------
                  If AAI is                                        Then the contribution is
----------------------------------------------------------------------------------------------------------------
Less than -$3,409...........................  -$750.
-$3,409 to $17,000..........................  22% of AAI.
$17,001 to $21,400..........................  $3,740 + 25% of AAI over $17,000.
$21,401 to $25,700..........................  $4,840 + 29% of AAI over $21,400.
$25,701 to $30,100..........................  $6,087 + 34% of AAI over $25,700.
$30,101 to $34,500..........................  $7,583 + 40% of AAI over $30,100.
$34,501 or more.............................  $9,343 + 47% of AAI over $34,500.
----------------------------------------------------------------------------------------------------------------


[[Page 25247]]

    5. Employment Expense Allowance. This allowance for employment-
related expenses--which is used for the parents of dependent students 
and for married independent students--recognizes additional expenses 
incurred by working spouses and single-parent households. The allowance 
is based on the marginal differences in costs for a two-worker family 
compared to a one-worker family. The items covered by these additional 
expenses are: Food away from home, apparel, transportation, and 
household furnishings and operations.
    The employment expense allowance for parents of dependent students, 
married independent students without dependents other than a spouse, 
and independent students with dependents other than a spouse is the 
lesser of $4,000 or 35 percent of earned income.
    6. Allowance for State and Other Taxes. The allowance for State and 
other taxes protects a portion of parents' and students' incomes from 
being considered available for postsecondary educational expenses. 
There are four categories for State and other taxes, one each for 
parents of dependent students, independent students with dependents 
other than a spouse, dependent students, and independent students 
without dependents other than a spouse.

              Percent of Income Paid in State Taxes, by State, Dependency Status, and Income Level
----------------------------------------------------------------------------------------------------------------
                                                                   Parents of dependent students     Dependent
                                                                   and independent students with   students and
                                                                  dependents other than a spouse    independent
                                                                 --------------------------------    students
                                                                      Percent of total income         without
                              State                              --------------------------------   dependents
                                                                                                   other than a
                                                                                                      spouse
                                                                   Under $15,000   $15,000 & up  ---------------
                                                                                                        All
----------------------------------------------------------------------------------------------------------------
Alabama.........................................................               3               2               2
Alaska..........................................................               2               1               0
Arizona.........................................................               4               3               2
Arkansas........................................................               4               3               3
California......................................................               8               7               6
Colorado........................................................               4               3               3
Connecticut.....................................................               9               8               5
Delaware........................................................               5               4               3
District of Columbia............................................               7               6               6
Florida.........................................................               3               2               1
Georgia.........................................................               5               4               3
Hawaii..........................................................               5               4               4
Idaho...........................................................               5               4               3
Illinois........................................................               5               4               3
Indiana.........................................................               4               3               3
Iowa............................................................               5               4               3
Kansas..........................................................               4               3               2
Kentucky........................................................               5               4               4
Louisiana.......................................................               3               2               2
Maine...........................................................               6               5               3
Maryland........................................................               8               7               6
Massachusetts...................................................               7               6               4
Michigan........................................................               4               3               3
Minnesota.......................................................               6               5               5
Mississippi.....................................................               3               2               2
Missouri........................................................               5               4               3
Montana.........................................................               5               4               3
Nebraska........................................................               5               4               3
Nevada..........................................................               2               1               1
New Hampshire...................................................               4               3               1
New Jersey......................................................               9               8               5
New Mexico......................................................               3               2               2
New York........................................................               9               8               7
North Carolina..................................................               5               4               3
North Dakota....................................................               2               1               1
Ohio............................................................               5               4               3
Oklahoma........................................................               3               2               2
Oregon..........................................................               7               6               5
Pennsylvania....................................................               5               4               3
Rhode Island....................................................               6               5               3
South Carolina..................................................               4               3               3
South Dakota....................................................               2               1               1
Tennessee.......................................................               2               1               1
Texas...........................................................               3               2               1
Utah............................................................               5               4               3
Vermont.........................................................               6               5               3
Virginia........................................................               6               5               4
Washington......................................................               3               2               1
West Virginia...................................................               3               2               3
Wisconsin.......................................................               6               5               4

[[Page 25248]]

 
Wyoming.........................................................               2               1               1
Other...........................................................               3               2               2
----------------------------------------------------------------------------------------------------------------

    Accessible Format: Individuals with disabilities can obtain this 
document in an accessible format (e.g., braille, large print, 
audiotape, or compact disc) on request to the contact person listed 
under FOR FURTHER INFORMATION CONTACT.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. You may 
access the official edition of the Federal Register and the Code of 
Federal Regulations at www.govinfo.gov. At this site, you can view this 
document, as well as all other documents of this Department published 
in the Federal Register, in text or Portable Document Format (PDF). To 
use PDF, you must have Adobe Acrobat Reader, which is available free at 
this site.
    You may also access documents of the Department published in the 
Federal Register by using the article search feature at 
www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

    Program Authority: 20 U.S.C. 1087rr.

Mark A. Brown,
Chief Operating Officer Federal Student Aid.
[FR Doc. 2019-11354 Filed 5-30-19; 8:45 am]
BILLING CODE 4000-01-P