Federal Student Aid - IFAP
   
IFAP
AwardYear: 1999-2000
SectionTitle:




Action Letter #8
January 2000



P-00-01

SUMMARY: This letter provides you with additional information regarding the new Recipient Financial Management System (RFMS). RFMS is designed to report and request funds for the Federal Pell Grant Program. The Multiple Reporting Record (MRR) process is a new function available for 1999-2000. The MRR provides information to you about a student's origination and disbursement status at other institutions and the percentage of the student's scheduled award that has been disbursed at all institutions.

Dear Colleague:

This letter, the fifth in the series, provides information concerning the new RFMS Multiple Reporting Record and process. To more fully understand the contents of this letter, we recommend that you first read
P-98-4 (Action Letter #2 describing the new 1999-2000 Recipient Financial Management System), P-99-3 (Action Letter #6 describing the new 1999-2000 RFMS origination process), and P-99-4 (Action Letter #7 describing the new 1999-2000 RFMS disbursement process). These letters can be found on the Department's Information for Financial Aid Professionals (IFAP) web site, www.ifap.ed.gov, under the description Bookshelf, under Pell Grant Process.

What is the purpose of the Multiple Reporting Record and how does the process work?

Purpose: The Multiple Reporting Record (MRR) performs a dual role. RFMS uses the MRR to report automatically to you instances of apparent concurrent enrollment and/or a Potential Overaward Project (POP) condition it detects while editing your disbursement records. RFMS also uses the MRR format to respond to your requests for origination and/or disbursement information on your students.

NOTE: No student may receive more than one full Federal Pell Grant Scheduled Award. The POP process tracks the percentage of a full Pell Grant Scheduled Award a student receives at each institution attended and insures the total percentage never exceeds 100 percent. For more information on how we anticipate RFMS will minimize POP and assist you in dealing with POP situations, please see Enclosure 1 to this letter.


Process: As previously noted, RFMS will send you a MRR automatically if system edits detect an apparent concurrent enrollment situation or a Potential Overaward Project (POP) condition while processing your disbursement data. Or you may request MRRs any time by submitting a data request record. To request origination or disbursement information for a student, you must have received an origination acknowledgment record from RFMS for that student. You may request
information regarding all schools on any, or all, of your students. You also may request information on one, or all, of your students in regard to just one other school, such as a nearby institution.

What are the MRR processing steps?

You prepare and submit origination records for eligible students to RFMS using EDExpress or other software. After you have received RFMS origination acknowledgment records for these students, you may submit data request records asking for MRR information on your originated students. RFMS receives and edits the data request record to verify that the student has been originated at your institution and that the physical layout of the data request record is accurate.

If the data request record passes all the edits and the requested data exists on the database, RFMS sends MRRs on the other originations and/or disbursements submitted by other institutions for the students you request information on. If the data request record fails the edits or RFMS does not find the data you requested, it acknowledges receipt of your request and identifies the reason for rejecting it. For example:

If you submit a data request record for a particular student and omit necessary information, such as leaving the student identifier blank, RFMS acknowledges receipt of the request and rejects it, telling you that your request was incomplete.

If you submit a data request record for a student you have not received an origination acknowledgment record on, RFMS acknowledges receipt of the request and rejects it, telling you that it has no record of you originating the student.

If you submit a data request record but RFMS can not find any originations or disbursements submitted by other institutions for the students you request information on, RFMS acknowledges receipt of the request and rejects it, telling you that there was no MRR data to provide.

When can I submit a data request record for multiple reporting?

After there are accepted origination records from your institution in RFMS.

Whenever you believe a POP or Concurrent Enrollment situation exists for one or more of your originated students.

NOTE: We encourage you to request Multiple Reporting Records prior to making or reporting disbursements to reduce the number of problems with POP. Please refer to Enclosure 1 for detailed information on submitting MRRs.


How can I find out more about RFMS data request edits?

We have provided a copy of the edits that RFMS uses to process data request records as Enclosure 2. You may find all RFMS processing edits in the 1999-2000 RFMS record layouts (final as of May 26, 1999) on www.ifap.ed.gov as a separate item listed under Bookshelf under the Pell Grant Process. The Data Request, Data Request Acknowledgment, and MRR record layouts are on pages 37-42.

We look forward to providing you improved services through the implementation of the new RFMS, and thank you for your continued support of the Federal Pell Grant Program.

Sincerely,



Greg Woods
Chief Operating Officer
Office of Student Financial Assistance

Enclosures

Enclosure 1 to Action Letter #8

How do I request Multiple Reporting Records for only one student?

If you enter an "O" (for origination) in the Multiple Reporting Request Type Code 1 field and an "S" (for student) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for the student whose identifier you enter in the MR Student ID field and who has been originated by other institutions.

If you enter a "D" (for disbursement) in the Multiple Reporting Request Type Code 1 field and an "S" (for student) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for the student whose identifier you enter in the MR Student ID field and who has been originated and disbursed by other institutions.

How do I request Multiple Reporting Records for all of my students?

If you enter an "O" (for origination) in the Multiple Reporting Request Type Code 1 field and an "A" (for all) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for all your students who have been originated by other institutions.

If you enter a "D" (for disbursement) in the Multiple Reporting Request Type Code 1 field and an "A" (for all) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for all your students who have been originated and disbursed by other institutions.

How do I request Multiple Reporting Records for all of my students who may have been originated or disbursed by a specific institution?

If you enter an "O" (for origination) in the Multiple Reporting Request Type Code 1 field and an "I" (for institution) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for all your students who have been originated by the institution you identify in the MR Institution Pell-ID field of the data request record.

If you enter a "D" (for disbursement) in the Multiple Reporting Request Type Code 1 field and an "I" (for institution) in the Multiple Reporting Request Type Code 2 field of the data request record, you are requesting that RFMS search the database for all your students who have been disbursed by the institution you identify in the MR Institution Pell-ID field of the data request record.

How does RFMS identify POP and what does RFMS do about it?

When you submit a disbursement record, RFMS searches the database to determine if any other institutions have submitted disbursements for the same student. If RFMS finds other disbursement(s), it calculates the percentage of one full Federal Pell Grant Scheduled Award disbursed at each institution. The total percentage disbursed over all institutions cannot exceed 100 percent. If the disbursement you have reported would cause the student to receive more than 100 percent of one full Federal Pell Grant Scheduled Award, your reported disbursement amount will be reduced. The disbursement acknowledgment record you receive will inform you of the POP situation and that you can expect a MRR.

While editing the subsequent institution's disbursement record, RFMS also checks the enrollment date reported by each institution on the student's origination records. If the enrollment date reported by the other institution is within 30 days of the enrollment date you reported, RFMS automatically produces and transmits a MRR to each institution to alert them to the possibility of a concurrent enrollment issue.


How will RFMS and the Multiple Reporting Record help with POP?

In the legacy Pell Grant processing system (PGRFMS):

Many POP situations were the result of institutions reporting remaining amounts to be paid later in the award year to students and then not reporting downward award adjustments when the students were no longer there to receive the funds; and

POP conditions were reported to you and to the blocking institution (also called the “blocker” institution) weekly through a paper process.

In the RFMS:

You submit disbursement records for the amount of funds that you are currently disbursing only when you disburse funds to students.

POP conditions are reported to you and to the blocking institution in a TIV WAN message class as an integral part of the RFMS daily disbursement record edit process.


By using the RFMS MRR request process, you can identify possible POP problems before you disburse funds to students.


If you do not identify POP situations before disbursing funds to students, RFMS automatically sends MRRs to you and the other institution(s) when it processes disbursement records that report disbursements that would exceed the student's scheduled award amount for the year.

What types of Multiple Reporting Records are produced by RFMS?

The two primary types of multiple reporting conditions RFMS will identify when processing disbursement records are potential concurrent enrollment and POP, as described above under How does RFMS identify POP and what does RFMS do about it?. When a case of potential concurrent enrollment is found, each institution will receive a MRR record with a MRR code of “CE” (for concurrent enrollment) that contains identifying information on the other institution.

When a POP situation is found, the ”Blocked” institution, that had it's student's reported disbursement amount reduced, will receive a MRR record showing the institution(s) that blocked it from receiving the funds. The MRR will identify the institution(s) with a code of PR (Blocker Institution). The “Blocker” institution(s) will receive a PB (Blocked Institution) MRR with the blocked institution's data. The MRR also provides name, address, and phone number contacts for each institution.

If a student should have both a potential concurrent enrollment and POP situation, the MRR codes would be BC (Blocked and Concurrent Enrollment) to the blocking institution, showing the blocked institution's data; RC (Blocked and Concurrent Enrollment) to the blocked institution, showing the blocking institution(s) data.

EXAMPLES

POP

By 04/19/2000 Institution A reports disbursement(s) of $3,000 for Jane Doe. Her Origination Record shows her Expected Family Contribution (EFC) and Cost of Attendance (COA) will result in a Scheduled Pell Grant of $3,125. Her enrollment date is reported as 07/08/1999.

On 05/14/2000 Institution B submits its first disbursement record for $1,000 for Jane Doe. Her Origination Record shows an EFC and COA that results in a Scheduled Pell Grant of $2,875 and her enrollment date as 05/22/2000. RFMS reduces the disbursement amount to $115 due to the percentage of the Scheduled Award eligibility used at Institution A.

The MRR going to Institution A shows Institution B as PB (Blocked Institution) and shows Jane Doe as receiving $115 and using 4.00 percent of eligibility (115 / 2,875) at Institution B. The MRR going to Institution B shows Institution A as PR (Blocker Institution) and shows Jane Doe as receiving $3,000 and using 96.00 percent of eligibility (3,000 / 3,125) at Institution A.

Concurrent Enrollment

Institution A submits a disbursement of $1,562.50 for John Smith. The Origination Record on file shows the student's enrollment date as 09/11/1999 and his Scheduled Pell Grant as $3,125.

Institution B submits a disbursement of $1,200 for John Smith. The Origination Record on file shows the student's enrollment date as 10/01/1999 and his Scheduled Pell Grant as $2,400.

Enrollment dates are within 30 days of each other; therefore, each institution receives a MRR showing John Smith. Institution A’s MRR shows Institution B as CE and the disbursement and percentage of Scheduled Pell Grant used at Institution B. Institution B’s MRR shows Institution A as CE and the disbursement and percentage of Scheduled Pell Grant used at Institution A. The sum of the disbursements at institutions A and B does not exceed 100 percent of the student's Scheduled Pell Grant for the year.


RFMS edits for concurrent enrollment while processing disbursement records because institutions can disburse Pell Grant funds only to enrolled students. RFMS does not edit for concurrent enrollment while processing origination records because institutions (using ISIR data) may submit origination records for prospective students, whether or not they actually enroll.


POP and Concurrent Enrollment

By 03/12/2000 Institution A reports disbursements of $1,133 for Anne Bland. The Origination Record on file shows the student's enrollment date as 09/20/1999 and an Expected Family Contribution (EFC) and Cost of Attendance (COA) that results in a Scheduled Pell Grant of $1,700.

On 03/14/2000 Institution B submits a disbursement of $1,087.50 for Anne Bland. The Origination Record on file shows the student's enrollment date as 10/12/1999 and an EFC and COA that results in a Scheduled Pell Grant of $2,175. RFMS reduces the disbursement amount to $725.58 due to the percentage of the Scheduled Award eligibility used at Institution A.

The MRR going to Institution A shows Institution B as BC (Blocked and Concurrent Enrollment) and shows Anne Bland as receiving $725.58 and using 33.36 percent of eligibility (725.58 / 2,175) at Institution B. The MRR going to Institution B shows Institution A as RC (Blocker and Concurrent Enrollment) and shows Anne Bland as receiving $1,133 and using 66.64 percent of eligibility
(1,133 / 1,700) at Institution A.

NOTE: When a POP situation becomes resolved by RFMS processing a negative disbursement record submitted by a ” blocker” institution, RFMS automatically sends a “PU” (for POP unblocked) MRR to the previously “blocked” institution to alert the institution that it may now submit another disbursement for the student. The now “unblocked” institution must submit a new disbursement record to RFMS to receive credit for disbursement amounts previously disallowed due to POP; RFMS will not reprocess the previously blocked disbursement record.



Enclosure 2 to Action Letter #8

A. Edits/Reject Reasons

RFMS rejects data request records for the following reasons:

Attending Pell ID:
If the attending Pell ID is invalid

Data Request Type:
Must be:
B for Batch Replacements (available for 1999-2000 only)
M for Multiple Reporting Requests
S for Statements of Account, or
Y for Year-to-Date Data (YTD)

Output Media Type
If entered must be valid

Pell Batch Number
Must be entered if Date Request Type is B

Multiple Reporting Request Code 1
Must be O or R if the Data Request Type is M

Multiple Reporting Request Code 2
Must be A, S or I is the Data Request Type is M

MR Student Id
Must be valid if the Multiple Reporting Request Code 2 is S
Must have been originated at the requesting institution

MR Institution Pell Id
Must be valid if the Multiple Reporting Request Code 2 is I

B. Edit Messages Returned with the Data Request Acknowledgement

Edit CodeMessageType *
601Invalid Attending Pell IDE
602Invalid Data Request TypeE
603Invalid Requested Output Media TypeE
604Invalid Pell Batch NumberE
605Invalid Multiple Reporting Request Code 1E
606Invalid Multiple Reporting Request Code 2E
607Invalid MR Student IDE
608Invalid MR Institution IDE
609Requested/Matching Data Not FoundE
610Student Not Originated at Requesting InstitutionE

*E = Error -- RFMS rejects the record.