Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 849

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 6
Chunk 849
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 to report to ED the total amount of grant and loan funds the institution has
not returned due to the waiver. For federal loan borrowers, the CARES Act also directed ED to cancel the borrower’s obligation
to repay any direct loan associated with the relevant period. The law also expanded the options to avoid student withdrawals due to a
cessation of attendance by placing students on an approved leave of absence and waives certain requirements normally applicable to a
leave of absence. The CARES Act also allowed institutions to exclude from the calculation of a student’s satisfactory academic
progress any attempted credits not completed due to the COVID-19 emergency.

On
December 27, 2020, Congress enacted the Consolidated Appropriations Act, 2021. This annual appropriations bill contained the Coronavirus
Response and Relief Supplemental Appropriations Act, 2021 (“CRRSAA”). CRRSAA provided an additional $81.9 billion to the
Education Stabilization Fund including $22.7 billion for HEERF, which were originally created by the CARES Act in March 2020. The higher
education provisions of the CRRSAA were intended in part to provide additional financial assistance benefitting students and their postsecondary
institutions in the wake of the spread of COVID-19 across the country and its impact on higher educational institutions.

Like
the CARES Act, the CRRSAA directed the majority of HEERF funds to a general program providing direct grants to institutions. Institutions
generally were required to designate “at least the same amount” of the funds for direct grants to students as was required
under the CARES Act. However, for-profit institutions could only use the additional HEERF funds under the CRRSAA for grants to students.
The student grants had to prioritize students with exceptional need and could be used for any component of the student’s cost of
attendance or for emergency costs that arose due to coronavirus, such as tuition, food, housing, health care (including mental health
care), or childcare. Public and nonprofit institutions could use the remaining HEERF funds to (1) defray expenses associated with coronavirus
(including lost revenue, reimbursement for expenses already incurred, technology costs associated with a transition to distance education,
faculty and staff trainings, and payroll); (2) carry out student support activities authorized by the HEA that address needs related
to coronavirus; or (3) for additional financial aid grants to students. ED collectively allocated approximately $1.15 million in