# Presentation: 683349

## “Let’s Get To Zero!”Reconciliation, Un-booked Loan, DL Tools & GAPS 

## Isiah Dupree  - Direct Loan Operations

- Allison Richards – School Relations

- Wendy Jerreld – COD Customer Service

## Program Year Close Out                                    for

**2002 / 2003**
**is**
**July 31, 2004**

## PYCO

**Managing**
**Cash**

**Disbursements **
**and Adjustments**

**Booking**
**a Loan**

**Monitoring Your**
**Process**

**Monthly**
**Reconciliation**

**PYCO**

- All Roads Lead to
- Program Year Close Out

## PYCO

**Managing Cash**

- All Roads Lead to
- Program Year Close Out

## Cash Receipts

- For more detail, please review: 34 CFR, 668.161-163.

- Request based on immediate need
- Pushed Cash vs. Advanced Funded

## Timely Disbursement of Funds

- Managing Cash

- For more detail, please review: 34 CFR, 668.164-165.

- Disburse within 3 business days or
- Refund cash (next slide)

## Refund of Cash

- For more detail, please review: 34 CFR, 668.166.

- Electronic via GAPS (preferred)
- Paper check sent to COD
- Must include the award year and a separate check for each award year

## PYCO

**Managing**
**Cash**

**Disbursements**
**And Adjustments**

- All Roads Lead to
- Program Year Close Out

## COD

- Reporting Disbursement
- and Adjustments

- For More Information, review CFR. 668.164-165

**Disbursements and Adjustments**

- Must be reported within 30 days of date transaction occurred
- May be submitted up to 7 days in advance

## Pushed Cash Schools

- and Adjustments

**Pushed Cash Schools**

**Submission and acceptance of disbursement records**
**Is critical for Pushed Cash Schools because**
**NO Accepted Disbursement Records = NO FUNDS!!**

## Downward Adjustments to Borrower’s Accounts must be accompanied by:

- and Adjustments

- Returning funds as a refund of cash

- Reusing/Recycling funds for another eligible borrower

## PYCO

**Managing**
**Cash**

**Disbursements**
**And Adjustments**

**Booking**
**A Loan**

- All Roads Lead to
- Program Year Close Out

## Data Necessary to Book a Loan:

- Award

- MPN

- Initial Disbursement

- Loans must book before liability is transferred to the Department.

## Booked Dates:
The loan booked date is the date all three pieces of the loan are accepted and the data can be sent to Servicing.
The initial disbursement will book when the loan books.
Subsequent disbursements will book when accepted at COD or when the loan books, whichever date is greater.

- The loan booked date is the date all three pieces of the loan are accepted and the data can be sent to Servicing.
- The initial disbursement will book when the loan books.
- Subsequent disbursements will book when accepted at COD or when the loan books, whichever date is greater.

- Booking a Loan

## PYCO

**Managing**
**Cash**

**Disbursements**
**and Adjustments**

**Booking**
**a Loan**

**Monitoring**
**your process**

- All Roads Lead to
- Program Year Close Out

## Get Organized – Finish What You Start

- Monitor your process
- Ensure all records have been sent to and accepted by COD
- Consider managing timing issues to finish what you start within the month

- Monitoring Your Process

## Monitor Your Cash Flow

- Verify requested funds have been received
- Comply with cash management timelines
- Ensure that all funds received are either disbursed or returned
- Verify correct addresses are used when returning funds
- Ensure cash receipts are posted to the correct year

## Use Your Reports

- 30 Day Warning Report (COD)
- Booked Status Report (EDExpress or custom)
- Pendng Disbursement List
-  (EDExpress: List – Edit-Only Disbursement)
- Funded Disbursement List
-  (EDExpress: List – Actual Disbursements
- Actual Disbursements – Booked and Unbooked
-  Report (DL Tools)
- Cash Summary Report (DL Tools – optional)
- Ledgers, Bank Statements, Cancelled Checks
- Other Internal School Reports

## Perform Internal Reconciliation

- Compare Business Office/Financial Records to Direct Loan System
- Develop procedures/schedule for internal reconciliation and assign responsibilities
- Compare based on overall cash/disbursement totals and/or student detail
- Troubleshoot discrepancies

## Use Additional Tools/Resources

- Outreach emails

- Remaining Balance Letters (closeout year only)

- Adhoc Reports

- Monitoring Your Process

- Funds Substantiation

- Issue identification and resolution

- COD website, https://cod.ed.gov

## PYCO

- Program Year Close Out

**PYCO**

**Managing**
**Cash**

**Disbursements **
**and Adjustments**

**Booking**
**a Loan**

**Monitoring Your**
**Process**

**Monthly**
**Reconciliation**

## Use Your School Account Statement (SAS)

- Reconcile School Data to the SAS

## Differences/Discrepancies Must Be:

- Identified

- Monitored

- Resolved

- Reconciliation Efforts Must Be Documented

- Reasons for Ending Cash Balance Must be Explained

## Common Discrepancies

- Cash transactions in wrong year or split between years
- Funds sent as refunds of cash that should have been a payment (or the reverse)
- Funds recycled for disbursement in a different award year

- Timing Issues

- Cash Issues

## Common Discrepancies

- Unsent/unacknowledged disbursement batches
- Rejected disbursements
- Disbursements recorded in business office but not in DL/Financial Aid System
- Unbooked Records
- School Data Loss

- Loan Issues

## Available Reports and Tools

- DL System Reports
- Cash Summary Report
- Cash/Loan Detail Reports
- Status Reports;Loan, Promissory Note,
-  Disbursement
- Pending and/or Accepted Disbursement Lists
- Common record responses/Acknowledgements
-  and Error reports
- DL Tools or custom comparison reports

## Available Reports and Tools

- Business Office Records
- Bank Statements
- Canceled Checks
- Ledgers
- Cash Detail Reports
- Student Accounts or Account Cards
- Disbursement/Loan Detail Reports

## Additional Resources

- COD website, https://cod.ed.gov

- “Direct Loan: Balancing the Books for 2002/03 and Beyond” presentation from the 2003 EAC: _[http://edeworkshop.ncspearson.com/sessionDec.htm#breakout](http://edeworkshop.ncspearson.com/sessionDec.htm#breakout)__.__	_

## COD

**COD**

- DL Schools

**Additional Resources Continued**

**PYCO 2002 - 2003**

**COD**
**Reconciliation Coordinator**

**COD Customer Service, 1-800-848-0978, or codsupport@acs-inc.com**

**Regional Client Account manager**

## What assistance is COD Customer Service Providing?

**Zero Balance Confirmation Form**

**Call Projects**

**Adhoc Reports**

**Opening and Tracking System Issues**

**What assistance is COD Customer Service Providing**?

## Program Year 2002/2003

- Close Out Statistics

- Number of Direct Loan Schools for PY 2002/03 = 1,212
- Number of schools with balances = 695
- Number of schools with a zero balance = 517
- Number of schools confirmed and closed = 221

## Using the Web Archive Function

- for Prior Years

- Adjustments/Disbursements
- School adjustments/disbursements
- Audits/Program Reviews
- Prior Award Year Checks
- Checks sent to COD
- Checks sent to Finance Office

**Demonstration of the Web Archive Function**
**in Computer Lab**

## Questions ????