Frequently Asked Questions Regarding Academic Year Definitions

Q1: Does the institution need to report academic year definitions to Federal Student Aid via the PPA, COD, or other means?
Q2: How can an institution "officially" change their academic year definition from 24 to 30 credits?
Q3: If a student attends in the fall semester and receives funds (ACG or SMART), but does not attend in the following Spring semester: When the student returns the next fall, what year are they considered? Can they receive funds?
Q4: Can we define our Title IV academic year differently for each year? For example, first year would be 28 credits, 2nd year would be 30 credits, etc.
Q5: What is the impact upon students if a school chooses to define the number of credit hours in its Title IV academic year as something other than the minimum of 24 semester credits and 36 quarter credits?
Q6: How are weeks of instructional time counted as it relates to academic year because AP/IB credits do not contain weeks of instructional time at the postsecondary level, but such credits may counts toward completion of a student's eligible program?
Q7: If a student is in his or her first academic year at the beginning of a payment period (term) but the number of credits he or she enrolls in for that term will move the student to the second academic year, can that student be awarded a second year ACG since he will enter his second year this fall? For example, a student begins the fall term having already completed 23 credit hours and our school defines an academic year as 24 credits

Q1: Does the institution need to report academic year definitions to Federal Student Aid via the PPA, COD, or other means?

A1: No. Posted on 07-17-2006

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Q2: How can an institution "officially" change their academic year definition from 24 to 30 credits?

A2: The school must document the academic year definitions for the institution purpose and include it in is processes. There is no need to record your official change with the Department; however, the school must ensure that the documentation is available for audits and program evaluations. Posted on 07-17-2006

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Q3: If a student attends in the fall semester and receives funds (ACG or SMART), but does not attend in the following Spring semester: When the student returns the next fall, what year are they considered? Can they receive funds?

A3: The student does not lose the ACG or SMART award because attendance was interrupted. The classification for academic year depends on the institutional policy and the documented definition of its Title IV academic year progression. Posted on 07-17-2006

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Q4: Can we define our Title IV academic year differently for each year? For example, first year would be 28 credits, 2nd year would be 30 credits, etc.

A4: No, Title IV academic year definitions must be consistent. The minimum number of credits in a Title IV academic year definition is 24 semester credits and 36 quarter credits. The number of credits a school decides to use in its Title IV academic year definition must be the same for all years of the academic program. Posted on 10-30-2006

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Q5: What is the impact upon students if a school chooses to define the number of credit hours in its Title IV academic year as something other than the minimum of 24 semester credits and 36 quarter credits?

A5: If an institution changes its definition of a Title IV academic year for an academic program that is eligible for participation in the ACG or National SMART Grant programs, to something greater than 24 semester hours or 36 quarter hours (30 semester hours, for example), the impact is as follows:

For standard-term academic programs (semesters, trimesters, quarters) where the definition of full-time is 12 credits including in the summer term (a Pell Formula 1 school) there is no impact on the Pell Grant, ACG, and National SMART Grant payments for payment periods since the definition of full-time remains a minimum of 12 credits even if the school defines its academic year as something greater than 24 semester hours or 36 quarter hours. Similarly, half-time for the loan programs remains at 6 credits.

For an eligible program other than the traditional programs described above, a change in the definition of an academic year, in credit hours, may impact the formula used and the amount of the student's Pell, ACG, and National SMART Grant payments for a payment period, since the Pell and ACG/SMART formulas to be used include the number of credits in the academic year.

For all programs, when proration of FFEL or Direct Loan annual loan limits for a remaining loan period is required there may be an impact depending on how many credit hours the student enrolls in for that final period since the proration calculation includes the number of credit hours in the academic year. Posted on 10-30-2006

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Q6: How are weeks of instructional time counted as it relates to academic year because AP/IB credits do not contain weeks of instructional time at the postsecondary level, but such credits may counts toward completion of a student's eligible program?

A6: The Secretary has given institutions flexibility for the 2006-2007 and 2007-2008 award years to allow institutions to assume that each increment of credit hours that represent the number of credit hours in the definition of an academic year was earned over 30 weeks of instructional time. Please review Dear Colleague Letter GEN-06-18 for more information. Posted on 10-30-2006

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Q7: If a student is in his or her first academic year at the beginning of a payment period (term) but the number of credits he or she enrolls in for that term will move the student to the second academic year, can that student be awarded a second year ACG since he will enter his second year this fall? For example, a student begins the fall term having already completed 23 credit hours and our school defines an academic year as 24 credits.

A7: No, the student must have completed the needed number of credits before he or she can receive a year 2 ACG. In this example the student will not complete at least 24 credits until the end of the fall term. Therefore, the student will receive the first disbursement of the first ACG award during the fall semester. If this student completes at least one credit in the fall, he or she will be eligible to receive the first half of a year 2 ACG in the spring. Posted on 10-30-2006

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