Session # 12

Campus-Based
Allocation Formula
Dan Madzelan

In Today’s Session –
• Brief History of the Formula
• Detailed Explanation
• Ways to Better Target Funds to
Needy Students

2

A (Very) Brief History
• Huff “Panel of Experts” (1977)
• Initial Implementation (1978)
• HEA Reauthorizations, 19801998

3

Institutional Allocation
• The Lesser of—
–Request for Funds, or
–The Greater of—
–Base Guarantee, or
–“Fair Share”

4

Institutional Allocation
• Base Guarantee/Prior Expenditure
• Fair Share of Program Funds
–Institutional Need
•Financial Need minus
•All Federal Grants
•Some State Grants

5

Allocation Formula
Request

Base
Guarantee

Institutional
Need

Faber College
Univ of Cal, Sunnydale
Adams College
Arlen Community College
Walden College
Enormous State University
Huxley College
Coolidge College
Medfield College

300,000
650,000
225,000
500,000
15,000
2,500,000
1,000,000
200,000
110,000

87,959
314,230
56,223
160,893
8,413
93,411
35,368
67,424
76,079

4,040,873
8,310,455
1,376,890
6,202,698
977,407
15,551,802
3,373,845
1,003,154
3,162,876

Totals

5,500,000

900,000

44,000,000

6

Allocation Formula
Faber College
Univ of Cal, Sunnydale
Adams College
Arlen Community College
Walden College
Enormous State University
Huxley College
Coolidge College
Medfield College
Totals

Relative
Shortfall

Fair Share
Increase

Fair Share

Shortfall

137,757
283,311
46,939
211,456
33,321
530,175
115,017
34,198
107,825

49,798
0
0
50,563
24,908
436,764
79,649
0
31,746

0.0739471
0.0000000
0.0000000
0.0750824
0.0369864
0.6485681
0.1182746
0.0000000
0.0471414

44,368
0
0
45,049
6,587
389,141
70,965
0
28,285

1,500,000

673,428

1.0000000

584,395

7

Allocation Formula
Relative
Shortfall (2) Shortfall (2)

Fair Share
Increase (2)

Faber College
Univ of Cal, Sunnydale
Adams College
Arlen Community College
Walden College
Enormous State University
Huxley College
Coolidge College
Medfield College

5,430
0
0
5,514
0
47,623
8,684
0
3,461

0.0767904
0.0000000
0.0000000
0.0779783
0.0000000
0.6734783
0.1228080
0.0000000
0.0489450

1,198
0
0
1,217
0
10,510
1,916
0
764

Totals

70,712

1.0000000

15,605

8

Allocation Formula
Base
Guarantee

Fair Share
Increase

Allocation

Faber College
Univ of Cal, Sunnydale
Adams College
Arlen Community College
Walden College
Enormous State University
Huxley College
Coolidge College
Medfield College

87,959
314,230
56,223
160,893
8,413
93,411
35,368
67,424
76,079

45,566
0
0
46,266
6,587
399,651
72,881
0
29,049

133,525
314,230
56,223
207,159
15,000
493,062
108,249
67,424
105,128

Totals

900,000

600,000

1,500,000

9

FISAP Part II—
Sections D, E and F
• Enrollment and Tuition Revenue
• Pell, Academic Competitive, and
National SMART Grants
• Eligible Aid Applicants
–Dependent Undergraduates (2)
–Independent Undergraduates (2)
–Independent Grad/Professional

10

Institutional Need

11

Institutional Need

FISAP Change for 2008-09

12

Institutional Need

13

Institutional Need

14

Calculating Institutional Need
Dependent Undergraduates w/o Degree

Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

(a)

EFC

25
36
26
20
27
4
28
5
29
8
30
16
31
13
32
38
33
68
34
91
35
87
36
106
37
105
38
108
39 1,948

0
477
219
173
243
298
486
954
1,725
2,654
3,695
4,750
5,998
7,453
19,818

Line 40 2,653

Individual
Need

Independent Undergraduates w/o Degree

Category
Need

26,532
955,139
26,055
521,093
26,313
105,251
26,359
131,793
26,289
210,309
26,234
419,738
26,046
338,593
25,578
971,950
24,807
1,686,851
23,878
2,172,865
22,837
1,986,787
21,782
2,308,853
20,534
2,156,031
19,079
2,060,492
6,714 13,078,156
29,103,901

(c)

EFC

25
26
27
28
29
30
31
32
33
34
35
36
37
38
39

8
14
3
5
10
6
9
7
7
6
10
4
13
11
102

0
37
28
31
25
32
33
246
606
896
1,186
1,383
1,627
1,738
5,624

Line 40

215

Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

Individual
Need
26,532
26,495
26,504
26,501
26,507
26,500
26,499
26,286
25,926
25,636
25,346
25,149
24,905
24,794
20,908

Category
Need
212,253
370,925
79,511
132,503
265,066
158,998
238,488
183,999
181,479
153,814
253,456
100,595
323,760
272,730
2,132,579
5,060,156

15

Calculating FSEOG Need
Dependent Undergraduates w/o Degree
(a)
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

25
36
26
20
27
4
28
5
29
8
30
16
31
13
32
38
33
68
34
91
35
87
36
106
37
105
38
108
39 1,948

Line 40 2,653

75% Cost
EFC less EFC
0
477
219
173
243
298
486
954
1,725
2,654
3,695
4,750
5,998
7,453
19,818

19,899
19,422
19,680
19,726
19,656
19,601
19,413
18,945
18,174
17,245
16,204
15,149
13,901
12,446
81

Independent Undergraduates w/o Degree

Category
Need
716,364
388,440
78,720
98,630
157,248
313,616
252,369
719,910
1,235,832
1,569,295
1,409,748
1,605,794
1,459,605
1,344,168
157,788
11,507,527

(c)
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

25
26
27
28
29
30
31
32
33
34
35
36
37
38
39

8
14
3
5
10
6
9
7
7
6
10
4
13
11
102

Line 40

215

75% Cost
EFC less EFC
0
37
28
31
25
32
33
246
606
896
1,186
1,383
1,627
1,738
5,624

19,899
19,862
19,871
19,868
19,874
19,867
19,866
19,653
19,293
19,003
18,713
18,516
18,272
18,161
14,275

Category
Need
159,192
278,068
59,613
99,340
198,740
119,202
178,794
137,571
135,051
114,018
187,130
74,064
237,536
199,771
1,456,050
3,634,140

16

Calculating Self-Help Need
Dependent Undergraduates w/o Degree
Individual
(a)
Need
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

25
36
26
20
27
4
28
5
29
8
30
16
31
13
32
38
33
68
34
91
35
87
36
106
37
105
38
108
39 1,948

Line 40 2,653

26,532
26,055
26,313
26,359
26,289
26,234
26,046
25,578
24,807
23,878
22,837
21,782
20,534
19,079
6,714

25% of
Cost

Independent Undergraduates w/o Degree

Category
Need

6,633
238,775
6,633
132,653
6,633
26,531
6,633
33,163
6,633
53,061
6,633
106,122
6,633
86,224
6,633
252,040
6,633
451,019
6,633
603,570
6,633
577,039
6,633
703,059
6,633
696,426
6,633
716,324
6,633 12,920,368
17,596,374

Individual
(c)
Need
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line
Line

25
26
27
28
29
30
31
32
33
34
35
36
37
38
39

8
14
3
5
10
6
9
7
7
6
10
4
13
11
102

Line 40

215

26,532
26,495
26,504
26,501
26,507
26,500
26,499
26,286
25,926
25,636
25,346
25,149
24,905
24,794
20,908

25% of
Cost
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633
6,633

Category
Need
53,061
92,857
19,898
33,163
66,326
39,796
59,694
46,428
46,428
39,796
66,326
26,531
86,224
72,959
676,529
1,426,016

17

Campus-Based Need:
Summary
Financial Need
Dependents
29,103,901
Independents
5,060,156
Pell Grants
1,315,575
Leap Grants
35,483
Institutional Need 32,812,999

FSEOG Need
Dependents
11,507,527
Independents 3,634,140
Pell Grants
1,315,575
Leap Grants
35,483
FSEOG Need
13,790,609
Self-Help Need
Dependents
17,596,374
Independents
1,426,016
Self-Help Need
19,022,390

18

FISAP Part II, Section F

19

Distribution of EAAs, 2003-04
Income Category
$0 to $2,999
$3,000 to $5,999
$6,000 to $8,999
$9,000 to $11,999
$12,000 to $14,999
$15,000 to $17,999
$18,000 to $23,999
$24,000 to $29,999
$30,000 to $35,999
$36,000 to $41,999
$42,000 to $47,999
$48,000 to $53,999
$54,000 to $59,999
$60,000 and more

Dependent
Ugrads
1.03%
0.56%
0.79%
1.10%
1.41%
2.32%
7.87%
8.82%
7.82%
6.83%
6.37%
6.06%
5.61%
43.40%
100.00%

Income Category
$0 to $999
$1,000 to $1,999
$2,000 to $2,999
$3,000 to $3,999
$4,000 to $4,999
$5,000 to $5,999
$6,000 to $7,999
$8,000 to $9,999
$10,000 to $11,999
$12,000 to $13,999
$14,000 to $15,999
$16,000 to $17,999
$18,000 to $19,999
$20,000 and more

Independent
Ugrads Grad/Prof
5.60%
7.73%
1.82%
2.43%
2.01%
2.68%
2.11%
2.72%
2.17%
2.65%
2.24%
2.56%
4.88%
4.75%
4.33%
3.93%
4.06%
3.66%
3.81%
3.41%
3.92%
3.22%
4.12%
3.03%
5.06%
3.00%
53.86%
54.25%
100.00%
100.00%

20

Standard EFCs, 2003-04
Income Category
$0 to $2,999
$3,000 to $5,999
$6,000 to $8,999
$9,000 to $11,999
$12,000 to $14,999
$15,000 to $17,999
$18,000 to $23,999
$24,000 to $29,999
$30,000 to $35,999
$36,000 to $41,999
$42,000 to $47,999
$48,000 to $53,999
$54,000 to $59,999
$60,000 and more

Dependent
Ugrads
$477
219
173
243
298
486
954
1,725
2,654
3,695
4,750
5,998
7,453
19,818

Income Category
$0 to $999
$1,000 to $1,999
$2,000 to $2,999
$3,000 to $3,999
$4,000 to $4,999
$5,000 to $5,999
$6,000 to $7,999
$8,000 to $9,999
$10,000 to $11,999
$12,000 to $13,999
$14,000 to $15,999
$16,000 to $17,999
$18,000 to $19,999
$20,000 and more

Independent
Ugrads Grad/Prof
$37
$294
28
402
31
417
25
442
32
436
33
467
246
802
606
1,483
896
2,158
1,186
2,785
1,383
3,380
1,627
3,842
1,738
4,329
5,624
11,938

21

Campus-Based Programs:

Cost of Attendance, 2003-04
Undergraduates
Cost of Attendance
Institutions
Up to $7,453
597 15.4%
$7,454 to $19,818 2,769 71.6%
$19,819 and Up
501 13.0%
Up to $1,738
$1,739 to $5,624
$5,625 and Up

Graduate/Professional
Cost of Attendance
Up to $11,938
$11,939 and Up

Institutions
734 52.9%
654 47.1%

1 0.0%
46 1.2%
3,820 98.8%

22

Future Eligible Aid Applicant Grid

?
23

Future Eligible Aid Applicant Grid

24

Campus-Based Programs
Funding
• Follow the Students
• Provide More “Fair Share”
Funding
• Align Formula EFCs with Actual
EFCs

25

Contact Information
Your feedback and comments are
appreciated.
• Phone: 202-502-7816
• Email: dan.madzelan@ed.gov
• FAX:
202-502-7873

26

Faber College
Univ of Cal, Sunnydale
Adams College
Arlen Community College
Walden College
Enormous State University
Huxley College
Coolidge College
Medfield College

27