Current through Register Vol. 51, No. 3, September 1, 2024
RELATES TO:
KRS 164.748(4), (8),
(12), (14),
164.753(4)(a),
164.7535,
164.780,
164.785
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
164.748(4) requires the
authority to promulgate administrative regulations pertaining to the awarding
of grants, scholarships, and honorary scholarships as provided in
KRS
164.740 to
164.7891.
KRS
164.753(4) requires the
authority to promulgate administrative regulations pertaining to grants. This
administrative regulation establishes the apportionment of financial assistance
refunds from institutions and repayment from students due to the KHEAA grant
programs.
Section 1.
(1) A student who fails to enroll, withdraws,
is expelled from the institution, or otherwise fails to complete the program on
or after his first day of class of the period of enrollment or changes
enrollment status may be due a refund of monies paid to the institution on
behalf of that student or may owe a repayment of cash disbursements made to the
student for educational expenses.
(2) If the student received financial
assistance administered by the authority, all or a portion of the refund and
repayment shall be due to the authority for its financial assistance programs
in accordance with Sections 2 and 3 of this administrative
regulation.
Section 2.
(1) The institution shall adopt and implement
a fair and equitable refund and repayment policy for financial assistance
administered by the authority which shall be:
(a) A clear and conspicuous written
statement;
(b) Made available to a
prospective student, prior to the earlier of the student's enrollment or the
execution of the student's enrollment agreement, and to currently enrolled
students;
(c) Consistently
administered by the institution; and
(d) Made available to the authority upon
request.
(2) The
institution's refund and repayment policy for financial assistance administered
by the authority may use the same methods and formulas for determining the
amount of a refund or repayment as the institution uses for determining the
return of federal financial assistance funds or the institution may adopt a
separate and distinct policy that is based upon:
(a) The requirements of applicable state law;
or
(b) The specific refund
standards established by the institution's nationally recognized accrediting
agency.
(3) The amount of
the refund and repayment shall be determined in accordance with the educational
institution's refund and repayment policy relative to financial assistance
funds, except as provided in Section 3 of this administrative
regulation.
(4) When the
institution determines that a refund or repayment of financial assistance is
due in accordance with its policy, the institution shall allocate to the
financial assistance programs administered by the authority the refund and
repayment in the following descending order of priority prior to allocating the
refund to institutional or private sources of financial assistance:
(a) CAP Grant;
(b) KTG;
(c) Go Higher Grant;
(d) Teacher Scholarship;
(e) Kentucky Educational Excellence
Scholarship;
(f) Kentucky Coal
County College Completion Scholarship;
(g) National Guard Tuition Assistance;
and
(h) Early Childhood Development
Scholarship.
Section
3. If a KHEAA grant recipient officially or unofficially withdraws
from or is expelled by an institution before the first day of classes of the
award period, the award shall be deemed an overaward and a full refund or
repayment of the KHEAA grant shall be required, notwithstanding any
institutional policy to the contrary. If the institution is unable to document
the student's last date of attendance, any KHEAA grant disbursement for that
award period shall be subject to full refund and repayment. If, at any time, a
KHEAA grant recipient's enrollment is terminated with no assessment of tuition
and fees by the institution, then the full KHEAA grant shall be subject to
cancellation, if not yet disbursed, or refund and repayment if the grant has
already been disbursed.
Section 4.
(1) The institution shall remit to the
authority the amount of funds allocated from the refund amount to the financial
assistance programs administered by the authority as soon as possible but no
later than thirty (30) days after the end of the term in which the student
ceased to be enrolled.
(2) Refunds
by the institution and notification of student repayment due transmitted to the
authority shall be accompanied by:
(a) The
student's name and Social Security number;
(b) The reason for the refund or
repayment;
(c) The date of
enrollment status change;
(d) The
semester and year; and
(e) The
calculation used for determining the refund or repayment.
STATUTORY AUTHORITY:
KRS
164.748(4)
