Policy and Procedures Date: August 23, 2013

Transcription

1 Virginia Plytechnic Institute and State University N Rev.: 1 Plicy and Prcedures Date: August 23, 2013 Subject: Administratin f Privately-funded Schlarships 1. Purpse Plicy Prcedures Publishing Schlarship/Awards Availability Infrmatin Recipient Selectin Award Ntificatin USFA Ntificatin Student Ntificatin Spending Plan, Utilizatin, Recnciliatin and Recrd Retentin Spending Plans and Utilizatin Reprts Recnciliatin Recrd Retentin Definitins References Apprval and Revisins Purpse This plicy prvides guidelines t the greater university fr the awarding and administering f privately-funded schlarships and ther awards held by the Virginia Tech Fundatin, Inc. ( VT Fundatin ). The greater university includes clleges, departments and ther units rganized in Senir Management areas and hereinafter referred t as Units. The VT Fundatin is dedicated t assisting the University in the building f the endwment and in addressing, thrugh financial supprt, the lng-term academic and ther pririties f the University. 2. Plicy The VT Fundatin receives, manages, and disburses private gifts made in supprt f Virginia Tech. The VT Fundatin des nt and cannt directly award schlarships r ther direct aid t students r faculty ( Awards ). The VT Fundatin prvides the Dnr Awards and cpies f the Fund Agreements r ther dcumentatin t the apprpriate University parties fr implementatin. University Develpment ( Develpment ) supprts the visin f Virginia Tech by generating private resurces and wrking with the VT Fundatin t prvide necessary infrmatin fr creating and amending Fund Agreements. The Office f University Schlarships and Financial Aid ( USFA ) manages the financial resurces t encurage ecnmic, scial, cultural, and academic diversity in the student bdy. USFA awards aid in accrdance with any applicable Dnr restrictins cntained in Fund Agreements. USFA is accuntable fr administering the General Schlarships, determining financial need, and prviding management assistance fr Unit Schlarships. Virginia Tech Units fr which the schlarship was intended have the respnsibility f administering Departmental Administratin f Privately-funded Schlarships Page 1 f 7

2 Schlarships. Selectin criteria shall be based n Fund Agreements and/r ther dcumentatin. If required by the Fund Agreement, the respnsible Units shuld seek assistance frm USFA t determine candidates financial need. Once selected, the Units must infrm USFA f the recipient(s) fr awarding and disbursement t the student accunt(s). Privately-funded schlarships nt held by the VT Fundatin must be selected and administered by the private entity. Members f the university Units may ntify ptentially eligible students f the availability f private schlarships and deadlines, if any. It is recmmended that such ntificatin be prvided in a timely manner and may include selectin criteria. Members f the university Units may participate n selectin cmmittees as requested by the private entities; hwever, the awarding entity must separately ntify the recipient f the schlarship award. University Units shall nt prvide award ntificatin f privately-funded schlarships t a student n behalf f private entities. Awards availability, recipient selectin, and USFA ntificatin f schlarships restricted t Athletics will be made in accrdance with Natinal Cllegiate Athletic Assciatin (NCAA) s recruiting, eligibility, and financial aid bylaws. 3. Prcedures Units and USFA shall establish written prcedures and guidelines fr administratin f Departmental and General schlarships. It is recmmended that a schlarship selectin cmmittee be assigned the respnsibility t review applicatins meeting the award criteria and select award recipients. It is als recmmended that the selectin cmmittee cnsist f three r mre members. Units must cmmunicate the cmmittee prcedures and individual schlarship criteria t each cmmittee member t ensure schlarship recipients are identified in accrdance with dnr Fund Agreements. Every effrt shuld be made t maximize the utilizatin f schlarships t 100 percent f the available funding. Available funding is defined as the sum f the prir year unspent cash balance plus yearly incme as reprted by VT Fundatin. Units utilizing less than the 95 percent f available funding in a prir fiscal year shall reprt t Vice Prvst fr Enrllment and Degree Management annually, identifying strategies and plans fr full utilizatin n later than September 1 f each year. 3.1 Publishing Schlarship/Awards Availability Infrmatin Each Unit shuld make reasnable attempts t ntify ptentially eligible students f the availability f the schlarship and its selectin criteria in time fr the students t apply and meet the applicatin deadline. Units shall publish their schlarship applicatin, awarding calendar, and awarding criteria. Units participatin in USFA s schlarship Gateway, a web-based schlarship applicatin tl, is preferred. Additinal ptins fr cmmunicatin include psting n unit websites, s directed t students, psters/flyers, class annuncements and the sharing f links fr USFA t pst n their website. 3.2 Recipient Selectin USFA is the fficial surce f financial need infrmatin fr students. Where a future year s tuitin and fee rates are unknwn by February 15, USFA will utilize current year rates in place f future year rates and prceed with the calculatin f financial need t facilitate the awarding prcess fr new students. The students are re-budgeted and financial need recalculated after VT Bard f Visitrs (BOV) apprves the tuitin and fee rates fr the next academic year. Units shuld als nte there are several runds f undergraduate admissins decisins beginning in December and ending in May. Where such admissin ntificatins have been issued t applicants, units may cnsider these Administratin f Privately-funded Schlarships Page 2 f 7

3 admissins-ntified applicants fr schlarships, award schlarships and prvide ntice f such award t the applicant as deemed apprpriate. In situatins where n final admissin decisin has been rendered and n ntificatin issued, it is als apprpriate fr units t cnsider thse applicants pending final admissin decisin fr schlarships. N schlarship award/ntificatin shuld be made t a student/applicant wh has nt been issued a final ffer f admissin. Units shuld als establish an alternate awardee rster during the selectin prcess in anticipatin f pssible awardee attritin. There are tw acceptable methds fr identifying recipients. The first methd is utilizing an applicatin prcess. When such applicatins are utilized, it is recmmended that the submissin perid be 60 days; hwever, a minimum f 30 days is required. Units must cmmunicate with cntinuing students regarding the availability f schlarships, the applicatin prcess, and any deadlines, at least 30 days prir t the deadline. In lieu f an applicatin prcess, USFA will prvide t the Units an n-demand reprt f the unit s qualifying students fr schlarship awarding purpses. The listing is titled the Ptential Awarding Listing (PAL) and cntains critical cnfidential demgraphic infrmatin including financial need, majr, and Grade Pint Average (GPA). Units must adhere t University Plicies regarding cnfidentiality f infrmatin in cnsidering schlarship awards. Units and USFA agree t administer Departmental and General Schlarships in accrdance with the Fund Agreements r ther apprpriate dcumentatin. The Units will prvide cpies f the Fund Agreements r ther dcumentatin t thse Units cmmittee members charged with chsing a schlarship recipient. If Units utilize the applicatin prcess fr identifying recipients and n student in the applicant pl meets required/preferred criteria cntained in Fund Agreements, Units are then required t prcess the PAL reprt mentined abve t determine students t be cnsidered fr the award. Units may als cntact USFA fr awarding assistance. Fund Agreements prduced r reviewed by the VT Fundatin must be fllwed in making schlarship awards. The fllwing shuld be used t make award determinatins: Relevant legal dcuments, including but nt limited t Fund Agreements, Wills and ther estate dcuments. Infrmatin in VT Fundatin and/r Develpment files pertaining t the particular schlarship fund and dnr. All preference criteria must be cnsidered in selecting recipients fr an Award befre the selectin cmmittee can make awards t therwise qualified students. In cases where tw r mre students are cnsidered but nly ne meets the preference criteria, then the persn wh meets all f the criteria must receive the award. Written crrespndence frm a third party having a legally recgnized relatinship with the dnr and which has been reviewed and cmmented n by the Fundatin. Where relevant dcuments d nt prvide adequate clarificatin f schlarship criteria, r where a dnr settles n criteria that are vague, the units and USFA shall btain guidance frm the VT Fundatin and Develpment. When nne f the required and/r preferential awarding criteria is met prir t March 1 f any year, the fund awarding Unit must: Fllw the last statement under the Dispsitin f Annual Distributins paragraph in Fund Agreements that specifies where any current year unexpended r excess annual cntributins are t be directed when such statement is present. If the Fund Agreement specifies that any unused annual distributins be returned Administratin f Privately-funded Schlarships Page 3 f 7

4 t the endwment, the University s respnsible party as designated in the Fund Agreement will initiate the transfer. In instances where the Units prpse a change f criteria r purpse in a fund agreement, the fund awarding Unit will cntact the University Develpment, prviding the reasn fr the prpsed change. University Develpment will crdinate with the VT Fundatin t review the requested amendment. Befre a fund agreement can be changed, University Develpment must btain the apprval f the dnr r the dnr s representative, r petitin a curt f cmpetent jurisdictin in an apprpriate case. The request fr reclassificatin f perating schlarships shall be sent t VT Fundatin. The request fr reclassificatin f endwed schlarships shall be sent t University Develpment. 3.3 Award Ntificatin USFA Ntificatin Units shall review their PAL reprts fr financial need status befre ntifying any ptential schlarship recipients t ensure that Awards d nt exceed financial need r cst f attendance as defined by financial aid guidelines. USFA will assist Units in determining financial need, when requested. USFA will award and disburse Departmental Schlarships after Units send written ntificatin t USFA. Units must make every effrt t send written ntificatins t USFA n time fr schlarship awards t be mst effective in assisting students t (1) make the decisin t attend Virginia Tech and/r (2) t facilitate the payment f the university bill. USFA will enter awards fr the new academic year int Banner within 10 business days f receipt f ntificatin frm the Units during the prcessing perid March August fr the upcming award year. Any award ntificatin received frm the Units after September 1 will be entered int Banner by USFA within 5 business days. Units shall make every effrt t award and/r cmmit the majrity f funds available by the end f the first quarter (September 30) f the fiscal/academic year Student Ntificatin Units may crdinate ntificatin f student recipients with USFA after determining that recipients are nt receiving aid in excess f their need and/r cst f attendance. Generally, awards t incming freshmen shuld be recrded and cmmunicated n later than April 15. Awards t cntinuing students shuld be recrded t USFA and cmmunicated n later than June 30. The Units must facilitate the student thank yu prcess in cperatin with Develpment fr Departmental Schlarships where apprpriate. 3.4 Spending Plan, Utilizatin, Recnciliatin and Recrd Retentin Administratin f Privately-funded Schlarships Page 4 f 7

5 3.4.1 Spending Plans and Utilizatin Reprts VT Fundatin shall distribute t the Units the estimated payut reprts fr endwment incme fr the new fiscal year by March 1. Units and USFA shall develp a spending plan fr the next fiscal year that specifies hw the Departmental/General schlarships mney will be spent t achieve university enrllment gals and enhance student access t a Virginia Tech educatin. The spending plan will be based n the Fundatin estimated payut reprts delivered t units by March 1 in a frmat specified by the Office f Vice Prvst fr Enrllment and Degree Management. The Units and USFA shall submit spending plans fr the next fiscal year t Vice Prvst fr Enrllment and Degree Management fr review and apprval by April 1. The April 1 spending plans fr the next fiscal year deal with endwed schlarships nly. These plans are updated after the current fiscal year clses t include the actual June 30 unspent balances fr bth endwed and perating schlarships. VT Fundatin makes available the web-based fund cash balance reprts fr Units t run after the clse f the current fiscal year. The updated spending plans fr the next fiscal year that include infrmatin fr bth endwed and perating schlarships shuld be submitted t Vice Prvst fr Enrllment and Degree Management fr apprval by September 1. The Directr f Enrllment Research and Analysis will crdinate the Units spending plans submissin and review. The Units planning t reserve funds fr use beynd the fiscal year in which earnings are received (cmmnly referred t as building reserve ) must submit a list f specific funds and fund amunts alng with the justificatin as a part f the spending plan. Funds set aside by the Units t build reserve fr future awards shuld be allwable per the Fund Agreement and must be preapprved by Vice Prvst fr Enrllment and Degree Management. Als, Units shuld supply a listing f prblematic funds as a part f the spending plan, if applicable, alng with explanatins abut the steps that will be taken t address thse restrictins in cllabratin with VT Fundatin and VT Develpment. Units and USFA will prvide quarterly schlarship utilizatin reprts t the Vice Prvst fr Enrllment and Degree Management. The reprt will cntain separate sectins fr endwed and perating schlarship funds. The quarterly year-t-date utilizatin reprts shall be submitted as specified belw: Q1 Reprt by Octber 15 (fr funds awarded as f September 30) Q2 Reprt by January 15 (fr funds awarded as f December 31) Q3 Reprt by April 15 (fr funds awarded as f March 31) Q4 Reprt by July 31 (fr funds awarded as f June 30) The Directr f Enrllment Research and Analysis will crdinate the Units quarterly utilizatin reprts submissin and review Recnciliatin The Units will recncile schlarship endwment incme and perating fund balances quarterly, with apprval and certificatin by the department head r senir administratr as apprpriate Recrd Retentin The Units and USFA will retain recrds f each year s schlarship selectin prcess, including applicatin materials, selectin lists, building reserve data, prblematic fund details, utilizatin reprt data, and ther materials in any legally acceptable frmat fr a perid f at least three years. Virginia Tech-wned recrds are subject t Administratin f Privately-funded Schlarships Page 5 f 7

6 peridic review and audit by the VT Department f Internal Audit, and the Auditr f Public Accunts, and USFA will make available, upn apprpriate legal request, schlarship recrds/materials t authrized persnnel. 4. Definitins Fund Agreements Legal cntracts with dnrs which specify, amng ther things, the amunt f the gift, the dnr s desired use f the gift by the University, and any lawful criteria which the dnr desires t be cnsidered in cnferring the Awards. Respnsible Party Agreements identify Cllege(s), Department(s) and ther Units rganized in Senir Management areas that are authrized t award schlarships. The Cllege(s) r Department(s) r ther Units rganized in Senir Management areas are identified as the party respnsible fr the administratin f the agreement and schlarship. Endwed Schlarships Endwed schlarships are established with gifts that are permanently restricted by dnrs fr schlarship supprt. The principal f the riginal gifts is invested and earnings are used t prvide a perpetual stream f financial supprt fr the schlarship. Incme payut frm the investment f principal is used t pay schlarship awards. Operating Schlarships Operating schlarships are established with dnatins given as ne-time gifts fr schlarship supprt. These ne-time gifts are nt permanently restricted, and are nt invested. The gifts are used t fund immediate schlarship needs f the designated prgram. Departmental Schlarships Departmental schlarships include the endwed and perating schlarships administered by departments (ther than USFA) rganized in Clleges and ther Senir Management areas. General Schlarships General schlarships include the endwed and perating schlarships administered by the Office f University Schlarships and Financial Aid (USFA). Ptential Award Listing (PAL) The PAL reprt is used by Units t identify students eligible fr schlarship awards. The reprt cntains students demgraphic, financial, and academic infrmatin that a given unit can utilize fr schlarship awarding purpses. 5. References 6. Apprval and Revisins Apprved Octber 13, 2010 by Vice President fr Finance and Chief Financial Officer, M. Dwight Sheltn, Jr. Apprved Octber 19, 2010 by Vice Prvst fr Enrllment and Degree Management, Daniel A. Wubah. December 10, 2010: Technical crrectins t reprting due dates in Sectin Revisin 1: February 15, 2013: The plicy underwent a cmprehensive revisin based n cmments frm all University units. The revisins were endrsed by Vice President fr Finance and Chief Financial Officer M. Dwight Sheltn, Jr. and by Vice President and Dean fr Undergraduate Educatin Daniel A. Wubah. Due t rerganizatin in the Prvst s Office, all ccurrences f Vice President and Dean fr Administratin f Privately-funded Schlarships Page 6 f 7

7 Undergraduate Educatin were replaced by Vice Prvst fr Enrllment and Degree Management. Apprved August 23, 2013 by Vice President fr Finance and Chief Financial Officer M. Dwight Sheltn, and Senir Vice President and Prvst Mark G. McNamee. Administratin f Privately-funded Schlarships Page 7 f 7