# Presentation: 669234

## Contingency Planning: How to Keep Operating During Any Type of Disaster

**Session 30**

## Session Overview

- A Personal Experience
- Contingency Planning
- Reference Information
- General Guidance
- Dear Colleague Letter GEN-04-04

## A Personal Experience

- Cathy Brown
- University of West Florida

## What’s The Worst That Could Happen?

- Earth
- Wind
- Fire
- Water
- Humans

## "If you fail to plan, then you plan to fail"

-  Evacuation Plan
- When to close, when to evacuate?
- Who’s in charge?
- Who stays, who goes?
- Where to go and how?
- When to return?
- What can you take in 15 minutes and how?

## "If you fail to plan, then you plan to fail“ (continued)

- Security/Safety
- Public
- Data
-  Communications

## “Not Just Back, Better”

- Taking care of faculty and staff
- Immediate relief for students
- Putting the pieces back together; recovering information
- It will be better

## What We Learned

- Know the likely hazards you face and plan accordingly
- Back up your data off-site
- Identify building and floor wardens
- Have personal emergency kits at the ready
- Training, training, training

- People care.  Let them help.

## Contingency Planning

- Mary Haldane
- Federal Student Aid

## What Are the Different Types of Emergency Plans

- Occupant Emergency Plan
- Ensures Safety of Occupants of a Building
- Evacuation
- Shelter in Place (SIP)

## What Are the Different Types of Emergency Plans (continued)

- Disaster Recovery Plan
- Ensures the Recovery of IT Systems Contingency Plan
- Ensures the Continuation of Essential Functions Across a Wide Range of Potential Emergencies to Provide For:
- Business Process Continuity
- Organizational Continuity
- IT Continuity

## Why Develop a Contingency Plan? 

- Ensure the Safety of Students, Faculty, Staff, and Visitors
- Prepare Staff and Students for Any Emergency
- Ensure the Continuation of Essential Functions During an Emergency

## Why Develop a Contingency Plan? (continued)

- Minimize Damage and Losses Resulting From an Inability to Perform Essential Functions
- Facilitate Decision Making During an Emergency
- Achieve a Timely and Orderly Recovery From a Disruption of Services Caused by an Emergency

## How to Develop a Contingency Plan – A Five Point Plan 

- Contingency Plan Development Team
- Resources
- Roles and Responsibilities
- Business Impact Analysis
- Requirements, Processes, and Interdependencies for Contingency Planning

## How to Develop a Contingency Plan – A Five Point Plan (continued) 

- Continuity Strategies
- Cost, System Sensitivity, and Recovery Time Objectives
-  Plan testing, training, and exercise
-  Plan maintenance

## Important Components of a Contingency Plan 

- Response Team
- Roles:
- Senior Management Team
- Damage Assessment Team
- Continuity Activities - Lead and Team Members
- Resumption Activities - Lead and Team Members

## Important Components of a Contingency Plan (continued) 

- Training
- Testing
- Alternate Facilities
- Location
- Equipment

## Important Components of a Contingency Plan (continued)

- Notification/Activation Procedures
- Notification of Senior Management Team
- Performing Damage Assessment Procedures
- Essential Functions, Their Priority Order for Recovery, and When They Need to Be Functioning

## Important Components of a Contingency Plan (continued)

- Continuity Activities
- Activities to Perform to Keep Essential Functions Working
- Resumption of Normal Activities Procedures
- Activities to Return the Institution to Normal Operating Procedures and Processing Capabilities

## Important Components of a Contingency Plan (continued)

- Communication Plan
- Internal Procedures and Templates
- External Procedures and Templates
- Accounting for Faculty, Staff, and Students Procedures
- Contact information for faculty, staff, students/parents, and internal and external dependencies

## Important Components of a Contingency Plan (continued)

- Vital Records
- Location
- Media
- Access

## Important Components of a Contingency Plan

- Data Backup and Off Site Storage
- Awareness and Education Activities
- Flyaway Kits
- Cell Phones and Chargers
- BlackBerries and Chargers
- Identification
- Contingency Plan
- Occupant Emergency Plan
- Disaster Recovery Plan
- Vital Records

## Lessons Learned – Contingency Planning

- People Are the First Priority
- Practice – Practice – Practice
- Practice Real Scenarios
- Assume No Essential Services
- Make Common Sense Decisions
- Be Prepared to Make Decisions Outside of “Rules”
- Involve Local Authorities

## Lessons Learned – Contingency Planning (continued)

- KISS Principle
- A Contingency Plan Is a Living Document
- Keep Plan Current
- Confirm Communications Are Received
- Backup
- Essential Data
- Response Team
- Phone Tree Callers
- Pre-Position Vital Records at Alternate Site

## Lessons Learned - Occupancy Emergency Planning 

- Establish Building Captains
- Establish Floor Captains and Teams
- Emergency Supplies

## Reference Information / General Guidance

- Anthony Jones
- Office of Postsecondary Education

## Reference Information

- Dear Colleague Letters, Federal Registers, and Electronic Announcements
- General guidance for Title IV participants affected by a disaster: GEN-04-04 (FP-04-03)

## Reference Information (continued)

- Hurricanes Katrina & Rita:
- Electronic Announcements (posted on IFAP beginning 09/02/05) on topics including transfer students, deadline extensions, adding federal school codes, CPS and COD technical support, etc.
- Federal Register (09/09/05) announcing deadline extensions
- IFAP links to additional information
- 09/11 Terrorist Attacks: GEN-01-11, GEN-01-12, GEN-01-13, all posted on IFAP 09/2001
- Disaster Letter 99-28, posted on IFAP on August 5, 1999

## Reference Information (continued)

- Federal Student Aid Handbook
- Regulations
- Professional Judgment
- FFEL and Direct Loans

## Regulatory Guidance

- Regulatory guidance is in 34 CFR 682.211(f)(11) -- allows loan holder to grant administrative forbearance for up to 3 months if lender determines borrower’s ability to make payments has been adversely affected by:
- Natural disaster;
- Local or national emergency (as declared by appropriate government agency); or
- Military mobilization

## Regulatory Guidance (continued)

- Similar treatment for Federal Direct Loans
- DCL GEN-04-04 (FP-04-03) clarifies that this applies to Federally-declared disasters as well

## General Guidance for Disasters

- Unless otherwise noted, guidance applies to Federally-declared disaster areas (individual or household assistance)
- FEMA website is official source (www.fema.gov)

## General Guidance for Disasters (continued)

- Guidance applies to all Title IV borrowers, students, and families who, at the time of the disaster, were:
- Residing;
- Employed; or
- Attending eligible postsecondary institution, in Federally-declared disaster area.

## General Guidance for Disasters (continued)

- Guidance also applies to institutions, lenders, and guaranty agencies impacted by a disaster
- Additional guidance may be issued that supplements or supercedes GEN-04-04 (usually through posts to IFAP)

## General Guidance for Disasters (continued)

- When Federally-declared disaster has impacted a school’s ability to administer Title IV programs, DCL GEN-04-04 provides relief or specific guidance on how a school should proceed.
- In many cases in which ED could not provide standard or across-the-board relief, we direct the school to contact their Case Management team for a case-by-case analysis of the school’s situation.

## General Guidance for Disasters (continued)

- Always document when deviating from otherwise required actions
- Must document when invoking GEN-04-04 guidance
- Note that specific future statutory authority may change or enhance the guidance in GEN-04-04
- For example, Hurricanes Katrina and Rita special exceptions and allocations, and R2T4 student grant overpayments
- ED will most likely issue some form of guidance or statement when this authority is granted

## GEN-04-04: General Provisions

- If school is unable to continue providing student’s eligible program, we encourage establishing written agreement with another institution
- See 34 CFR 668.5 for applicable regulations
- Attempt to reconstruct any records lost, destroyed, or rendered illegible due to a disaster, but if unable to do so, document in the student’s file that records were lost/destroyed/damaged due to disaster

## GEN-04-04: General Provisions (continued)

- If, as a direct result of a disaster, an institution is temporarily closed for a period of time that impacts the length of the academic year, the institution should contact the appropriate Case Management team
- Case Management will determine, on a case-by-case basis, continued program eligibility and students’ continued eligibility for Title IV assistance

## GEN-04-04: General Provisions (continued)

- Disaster-related assistance received by from the Federal or State government by disaster victims for the purpose of financial relief, shall not be counted as income for the purpose of calculating a family’s EFC. Also, this assistance shall not be counted as a resource or estimated financial assistance.

## GEN-04-04: General Provisions (continued)

- FAAs are encouraged to use their  professional judgment authority (granted under HEA §479A) to reflect more accurately the financial need of students and families affected by a disaster
- Must still make adjustments on a case-by-case basis and clearly document the student’s file with the reasons

## GEN-04-04: General Provisions (continued)

- If student fails to meet satisfactory academic progress standards due to a disaster, the institution may apply the exception provision of “other special circumstances” contained in 34 CFR 668.34(c)(3)
- must document student’s file that student’s failure to maintain SAP was due to disaster

## GEN-04-04: General Provisions (continued)

- For those applicants selected for verification whose records were lost or destroyed because of a disaster, the verification requirements during the award year will not be enforced
- Must document when verification is not performed for this reason
- When reporting Federal Pell Grant disbursement, use verification status code “S”

## GEN-04-04: General Provisions (continued)

- Schools are strongly encouraged to provide full refund of tuition, fees, and other institutional charges (or to provide comparable amount against future charges) if student withdraws as a direct result of a disaster

## GEN-04-04: General Provisions (continued)

- If student withdraws because of a disaster, the institution must perform the return of Title IV funds calculations in accordance with 34 CFR 668.22, as it must for any student who withdraws
- If institution makes refund of institutional charges, R2T4 calculations must must be based upon originally-assessed charges

## GEN-04-04: General Provisions (continued)

- Student directly affected by disaster need not request in writing a leave of absence
- Documentation of LOA must include reason for LOA and reason for waiving written request requirement
- LOA definition generally applies only to clock hour or non-term programs

## GEN-04-04: General Provisions (continued)

- If Title IV credit balance exists for any reason when a student withdraws, it must first be applied to any Title IV grant overpayment that exists as a result of the student’s withdrawal

## GEN-04-04: General Provisions (continued)

- Concerns related to deadlines and timeframes in the following areas should be addressed through the appropriate Case Management team:
- Cash management requirements (includes credit balances; notices and authorizations; borrower request for loan cancellation; excess cash; FFELP funds; and institutional eligibility, financial responsibility, and administrative capability)

## GEN-04-04: General Provisions (continued)

- Concerns related to deadlines and timeframes in the following areas should be addressed through the appropriate Case Management team: (continued)
- Return of Title IV funds (includes post-withdrawal disbursements)
- Campus Security Reporting and Equity in Athletics Disclosures

## GEN-04-04: Federal Pell Grants

- If, due to a disaster, a school is unable to meet the deadlines for:
- reporting disbursement records, contact Case Management for a case-by-case analysis
- final Pell Grant reporting, request extension by calling Pell Grant Customer Service (800-474-7268), or submit request via COD website (on “Request Post Deadline Processing” screen located on left hand side of menu under the School tab)

## GEN-04-04: Campus-Based Programs

- If an institution is unable to use at least 90% of each of its Campus-Based allocations because of a disaster, the Secretary will consider the failure of an institution to expend funds solely due to a disaster as an appropriate criterion for a waiver of the underutilization penalty
- Affected institutions must make waiver request by contacting Campus-Based Call Center (877-801-7168) for waiver submission guidelines

## GEN-04-04: Campus-Based Programs (continued)

- If an institution is having trouble filing its complete FISAP by the published deadline because of a disaster, the institution should request assistance from the Campus-Based Call Center (877-801-7168)

## GEN-04-04: Federal Work-Study

- If a school is unable, due to a disaster, to expend at least 7% of its FWS allocation to compensate students employed in community services, the Secretary will consider the failure of an institution to expend these funds solely due to a disaster as an appropriate criterion for a waiver of this expenditure requirement

## GEN-04-04: Federal Work-Study (continued)

- Affected institutions must make waiver request by contacting Campus-Based Call Center (877-801-7168) or following annually-published waiver submission guidelines

## GEN-04-04: Federal Work-Study (continued)

- The Secretary encourages institution to employ their FWS students in the cleanup and relief efforts for the communities affected by a disaster. These efforts would be considered part of the institution’s community services activities under the FWS Program.

## GEN-04-04: Federal Perkins Loans

- Any borrower in “in-school” status at time of disaster should continue to be in “in-school” status during period of disaster-related nonattendance until such time as borrower withdraws or re-enrolls in next regular enrollment period (whichever is earlier)
- Period of disaster-related nonattendance should not impact grace period
- Document student’s file

## GEN-04-04: Federal Perkins Loans (continued)

- For a borrower who is in repayment at the time of a disaster, but is unable to continue to repay the loan due to the disaster, the Secretary authorizes the institution to grant a forbearance for a period not to exceed three months
- Borrower may request forbearance orally or in writing without submitting documentation (beyond 3 months requires written request and documentation)
- Institution must document student’s file

## GEN-04-04: Federal Perkins Loans (continued)

- Institutions that have concerns regarding the following issues should contact the appropriate Case Management team for a case-by-case analysis:
- Billing and collection activities required by Part 674, Subpart C – Due Diligence
- Borrowers in initial or post-deferment grace periods

## GEN-04-04: FFEL and Direct Loans

- Any borrower in “in-school” status at time of disaster should continue to be in “in-school” status during period of disaster-related nonattendance until such time as borrower withdraws or re-enrolls in next regular enrollment period (whichever is earlier)
- Period of disaster-related nonattendance should not impact grace period
- Doesn’t affect how institution reports borrower’s enrollment status on SSCR

## GEN-04-04: FFEL and Direct Loans (continued)

- If institution is unable to complete and return SSCR to NSLDS according to established schedule due to disaster, contact NSLDS Customer Service (800-999-8219) to modify reporting schedule
- If using Nat’l Student Clearinghouse, contact Clearinghouse

## GEN-04-04: FFEL Loans

- Lenders are authorized not to disburse loan proceeds to institutions affected by a disaster if institution’s operations have ceased or opening delayed.
- Revised disbursement schedules, loan periods, completion dates, etc. may be necessary.

## GEN-04-04: Federal Direct Loans

- If institution is unable to meet promissory note, loan origination record, and initial and subsequent disbursement record submission requirements due to a disaster, contact appropriate Case Management team for case-by-case analysis

## Contact Information

- Your feedback and comments are appreciated!
- Speaker contact information:
- cbrown@uwf.edu
- Mary.Haldane @ed.gov
- Anthony.Jones@ed.gov