North Carolina Community College Grant, Targeted Assistance and Loan Program
Questions and Answers

(Underlined words are linked to additional information)

Last modified:  September, 2004
Contact:  Wanda White
                 Director of Student Development Services, NC Community Colleges System

                 919-807-7104

1. What is the NC Community College Grant, Targeted Assistance and Loan program?

It is a need based program established by the NC Legislature to provide funds to help meet  the educational costs including tuition, fees and some transportation costs for NC residents attending community colleges. The funds are used for grants, assistance for students enrolled in programs that have a high demand for employment in the community but low enrollments, and short-term loans to students who qualify for the Hope Scholarship Tax Credits but need to borrow funds for tuition, books and fees. 

2. How do students apply for the NC Community College Grant?

They must complete the Free Application for Federal Student Aid (FAFSA) and list a NC Community College as one of the top three choices of  institutions.  Students should apply early prior to starting their programs, but may apply while already enrolled. Financial Aid Administrators certify eligible students by midnight on Tuesday of each week. Funds are released to the College within 3 business days by the College Foundation, Inc. (CFI). 

3. When will these funds be available to NC students?

The awards will be made for the Fall and Spring of each year.  Schools should permit students to charge tuition, fees and required books until funds are received from CFI, Inc.  Funds will be sent to the college by master check or electronic funds transfer from CFI. 

4. Who is responsible for administering the NC Community College Grant?

Responsibilities will be shared by the the NC Community College System Office, the Financial Aid Administrators at the local community colleges, NC State Educational Assistance Authority, and the College Foundation, Inc.,  

5. Who is the designated contact person at each NC Community College?

 The Financial Aid Administrator or other designated officials. 

6. Who will be eligible for the grant?

7. How much money has been allocated by the legislature for this program?

 The NC General Assembly has allocated $6,062,806; they are recurring funds for 2001-2002 and 2002-2003. 

8. Is there a limit on the amount each Community College can receive?

 The total amount received by each college will depend on the number of students qualifying for funds.

 Can the student receive both Pell and the State Grant Funds?

 Yes, depending upon the student's EFC. 

9. How will students be informed if they are eligible?

 They will be mailed an award letter from the college's student financial aid office.

10. How will financial aid administrators be informed that students are eligible?

They will access a roster with potentially eligible students via the College Foundation’s web site.  Schools will be required to apply for a user ID and password if they do not already certify students on-line.  Certification for these funds will be done after the census date (the 10% point). 

11. What is the amount awarded for the NC Community College Grant?

Annual amounts for full-time students will vary between $250.00-$1,900.00 based on  student’s established need and enrollment status.  Annual amounts for 3/4 time will vary  between $188.00-$1,425.00.  Annual amounts for ½ time will vary between $125.00-$950.00. 

12. Will additional funding be allocated to provide additional staff to administer this program?

The General Assembly has mandated that there be a designated financial aid administrator to inform students and parents about available state and federal financial aid programs.  Each local institution will decide how to configure staff in order to carry out this provision. 

13. What other programs are available besides the NC Community College Grant?

 The State Board allocated funds for short term loans for curriculum students from 1999 to 2002. No new funds will be allocated during 2002-2003.  Participation by a institution is at the discretion of the local college administration. An additional $350,000 has been designated as Targeted Assistance for "high demand/low enrollment" credit and non-credit programs. Local colleges select programs and students based on criteria approved by the State Board.

14. How can students apply for short-term loans and targeted assistance funds?

Students should contact the financial aid office at the college to obtain applications and guidelines for short-term loans and targeted assistance funds.

15. How can our community college apply for the short-term loan and targeted assistance funds? 

Interested institutions may apply by letter to the NC Community College System Office - Business and Finance Division for targeted assistance funds. No new loan money will be allocated in 2002-2003.  Colleges may continue to use the balance of funds allocated in 2000-2001 and 2001-2002 for short-term loans.  Participation by an institution is at the discretion of the local college administration.  

16.  What are the requirements?

Colleges must develop and implement policies consistent with the State Board policies and must report students who do not repay loans to the NC Department of Revenue using the Setoff Debt Collection Act. Targeted assistance (high demand/low enrollment) funds are grants and do not require repayment. 

17. Will these programs be available for future years?

These programs will be reviewed at the end of each year and necessary revisions will be  made to the administration of these programs.  These are recurring funds for the 2001-2003 biennium. 

18. Do institutions have to employ a financial aid staff member if there is a person currently serving in that capacity?

This decision is for the local college to determine.  If the financial aid activities should  increase significantly on a given campus, funds from the college’s base budget may be used to hire another financial aid staff member. 

19. Short term loans-- What happens if the student does not repay, therefore the school  cannot repay?

The repayment of loans will be handled by the NC Department of Revenue and the amount will not have to be repaid by the college.  The college may establish procedures  that will not permit the student to re-enroll in classes and/or participate in any other college programs/activities until the loan is paid. 

20. May the college elect not to participate in the loan program?

Yes, participation in the loan program is at the discretion of each institution. 

21. Why did the state not process the new Grant Program from the NCSIG model?

NCSEAA administers the NCSIG program and will assist in the administration  of the new $5 million state grant.  NCSIG evaluation requires the same need analysis review (completion of the FAFSA) that the new grant will require. 

22. Does the North Carolina Community College Grant, Target Assistance & Loan Program replace  the North Carolina Community College Scholarship program?

Yes, effective for the 1999-2000 program year, the NC Community College Scholarship program is terminated. The program does not replace the privately funded scholarships such as the Wachovia Scholarship, the Petroleum Marketers Scholarship, the Sprint Scholarships, the CP&L/Progress Energy Scholarships, the Bellsouth Scholarships, etc..  Colleges will receive notification of the number of privately funded scholarships allocated to their institutions.  

23. If a student (including a military dependent) has listed North Carolina as the state of  residence on the FAFSA, is he or she eligible for the North Carolina Community College grant and loan program?

Since the intent of the General Assembly was to provide this benefit to bonafide NC residents, individuals who are non-resident for tuition purposes are not eligible to receive  the NCCC grant.  The information in the student information system database should be definitive resolution of residency for tuition purposes.  If the dependent of military personnel has met the requirements for residency and is coded NC resident in your institution’s student information system, then the NCCC grant applies.  If the student has indicated NC resident on the FAFSA but has not applied for NC residency for tuition purposes through your campus residency process, then the out-of-state category applies. You may suggest to students that they complete the  residency for tuition application and if the intent to establish residency, the cluster of  activities and the requisite waiting period warrant a change in your student information system, then you should apply the NCCC grant to their award packages (after changing the residency data field).

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