2023 New York Laws › EDN - Education › Title 1 - General Provisions › Article 14 - New York State Higher Education Services Corporation › Part 2 - Student Financial Aid › Sub Part 1 - General Provisions › 665 - Payment.

§ 665. Payment.   1.  Semester  payment.  The  annual  award  to  each
recipient shall be paid in separate installments on  a  prorated  basis,
for  each  semester,  quarter,  or  other  term of attendance during the
academic year.  For an approved two-year program of study conducted on a
clock hour basis at a registered  private  business  school,  the  award
shall  be paid in installments by payment term as such period is defined
by the rules of the board. The board shall take  into  consideration  in
promulgating  such rules an appropriate proration of the regular program
of study provided during an academic  year  and  the  periods  at  which
student  progress and academic standing are evaluated. In no event shall
there be less than two, nor more than four, payment terms in an academic
year, including when such year contains a  semester,  quarter  or  other
term  of  accelerated study, provided however, that up to thirty percent
of payments may be paid in the following academic year but no later than
August first.
2. Payment for accelerated study. a. If the student enrolls for a term
of study which shall be beyond the regular  program  of  study  for  the
academic  year,  an additional award shall be made for each such term of
study on the basis of an equivalent full semester, quarter, or  term  of
attendance during the regular academic year.
b.  If the student enrolls in a term of accelerated study as described
in paragraph a of this subdivision constituting less than the equivalent
of a full semester, quarter, or term of attendance, but at least half of
the minimum of such a full-time program, as defined by the  commissioner
pursuant  to article thirteen, the award for such term of study shall be
one-half of the award  that  would  otherwise  have  been  received  for
full-time study. The total period of study for which payment may be made
shall  not  exceed  the  equivalent of the maximum period authorized for
that award. In the case of awards under subdivision four of section  six
hundred  sixty-seven, the base award shall be the lesser of (i) one-half
of the amount of the award provided for or (ii) the amount  of  tuition,
and  the  deduction  shall  be at one-half the rate that would otherwise
apply to full-time study.
c. A student shall qualify for accelerated study upon  the  completion
of twenty-four credit hours, or its equivalent, from such institution in
the preceding two semesters, or the equivalent, prior to the term of the
application  provided  however, that the equivalent of three credits per
semester may be remedial courses and therefore  such  student  shall  be
eligible  for  an  accelerated  award  after  having  earned  a total of
eighteen degree credits in the preceding two semesters.
3. Institutional certification, audit and payment procedure.
a. Each institution of post-secondary education shall certify  to  the
corporation  that each student in attendance at that institution who has
applied for a general award or academic  performance  award  under  this
article  is  eligible  for  such  award  in accordance with all criteria
established for such award by statute and regulation. Such certification
shall be made on forms provided by the president  within  such  time  as
required  by  the  president  and  shall  state  that,  as  of  the date
established by the institution in accordance with its refund policy  and
the regulations of the commissioner, the student (i) has incurred a full
tuition  liability  for  that  term  of  attendance,  (ii) was no longer
eligible for a refund upon withdrawal from study, (iii) was in full-time
attendance and (iv) satisfied all  other  eligibility  requirements  for
such  award.  If  any student does not satisfy the necessary eligibility
requirements on that  date,  it  shall  be  the  responsibility  of  the
institution  to  so  state, to specify whether such student was eligible
prior to that date and the amount of tuition liability incurred.
b.  The  comptroller  shall  audit  institutional  adherence  to   the
statutes,   rules   and   regulations  governing  general  and  academic
performance awards and shall be responsible for determining the  amount,
if  any,  owed  to  the  state by an institution which amount represents
overpayment  to  the  institution on a student's behalf. The comptroller
shall report  cases  of  suspected  willful  and  knowing  institutional
violation  of  such  statutes,  rules  or  regulations  to  the district
attorney in the county in which such institution is located.
c. (i) Payments under this article shall be made  by  the  comptroller
upon  the  certificate  of  the  president  to or for the benefit of the
recipient of each award. Such certificate shall be given  upon  vouchers
or  other  evidence  provided  by  the student and by the institution of
attendance showing that the person named therein is entitled to  receive
the  sum  specified, either directly or for his benefit. Payments may be
made directly to the  school  attended  by  the  person  named  in  such
certificate,  on  behalf  of  and  for  the  benefit of such person. The
president may establish such methods of payment,  including  prepayment,
of  awards to students or to schools on behalf of students as may effect
the orderly administration of the program as he  may  deem  appropriate.
Selection  of  the  method  of  payment  shall  be  at the option of the
institution,  provided,  however,   that   the   president   may   limit
participation   in  such  alternative  methods  of  payment  to  schools
fulfilling  criteria  established  by  the  president  to   assure   the
appropriate receipt and handling of funds.
(ii)  Notwithstanding  any  other  provision of law, and in accordance
with rules adopted by the board for these purposes,  the  president  may
suspend,  limit  or  terminate  an  institution's  participation  in the
general,  academic  and  other  award  programs  administered   by   the
corporation  in  the  event  it  shall  be  determined  after  a hearing
conducted in accordance with the state administrative procedure act that
the institution has violated any statute, rule or regulation  applicable
to  such award programs. If the president shall determine that immediate
action is  necessary  in  order  to  prevent  an  unreasonable  risk  of
substantial loss of funds administered by the corporation, the president
may,  in  accordance with rules and regulations adopted by the board for
this purpose, withhold payments  and  prepayments  of  awards  upon  the
initiation  of  the suspension, limitation and termination proceeding as
an emergency measure. Upon receipt of  a  report  or  other  information
indicating  a  violation by an institution of any law or rule applicable
to the award programs affecting the eligibility of a substantial  number
of   students   attending  the  institution  and  receiving  awards,  or
indicating the institution  may  terminate  its  program  prior  to  the
completion of the term or semester or may fail to repay refunds due, the
president,  in  accordance  with  rules  adopted  by  the board for this
purpose, may  make  payments  and  prepayments  to  the  institution  in
installments,  in trust, or under such other terms and conditions as the
president may deem necessary to assure such payments shall  be  expended
consistent  with  statutory  and  regulatory  requirements  or  shall be
available for application to the payment of refunds due.
(iii) During the initial year a school shall offer approved  programs,
the  president  may  make  payments  and  prepayments  to  the school in
installments, in trust, or under such other terms and conditions as  the
president  may  deem necessary to assure such payments shall be expended
consistent with  statutory  and  regulatory  requirements  or  shall  be
available for application to the payment of refunds due.
d.  A registered business school shall submit to the president at such
time as the rules of the board may provide a statement of such  school's
financial  operations  and  condition as of the end of the school's most

recent fiscal period  prepared  by  an  independent  public  auditor  in
conformity  with  generally  accepted  auditing standards. Submission of
such a statement may be made a condition of further participation in the
awards program.
4.  a.  Student  refunds. If a student receives payment as a result of
administrative error by the institution or the corporation or a false or
erroneous statement on his application or financial form, or  any  other
act of omission or commission on the part of the student, his spouse, or
his   parents,  such  that  the  recipient  would  otherwise  have  been
considered by the president ineligible  to  receive  such  payment,  the
recipient shall be required to refund the improper payment to the state.
b.  Institutional refunds. The president shall require institutions to
refund payment to the state, and the student shall not  be  required  to
refund  such  payments,  when  (i)  the  president  has  determined that
inadequate administrative procedures or  practices  of  the  institution
resulted  in the incorrect certification of the eligibility of a program
or student, or (ii) the commissioner has determined that the institution
failed to conduct an approved program in accordance with the regulations
of the commissioner in effect when such program was conducted.
c. The president shall be  empowered  to:  (i)  require  such  payment
immediately,  (ii)  accept  a repayment schedule or installment payments
over a reasonable period of time, (iii) reduce any future award received
by such student by the amount of the refund  due,  or  (iv)  reduce  any
future  payments  receivable  by  the institution on behalf of currently
eligible students by the amount of refund due with a  direction  to  the
institution  to  consider  each  eligible student's account to have been
credited with the amount of his  award  eligibility  for  that  term  of
attendance. The board of trustees shall promulgate regulations governing
procedures for the assertion, appeal and recovery of a refund claimed by
the corporation against a student or an institution.
d.  If  the  recipient or the institution, as the case may be, without
reasonable cause, fails to promptly comply with the  president's  demand
for  such  refund, the attorney general of the state shall, upon request
of the president, bring suit to obtain such refund.
5. Payment for prior study. If the recipient of an award under section
six hundred five of this chapter, except subdivision four  thereof,  has
enrolled  in  an  approved program during the academic year prior to the
normal  effective  date  of  such  aid,  his  scholarship  shall  become
effective  at  the time he began his regular college course and he shall
be entitled to receive payment of awards under such scholarship for such
prior study.
6. Loss of good academic standing. a. If the  recipient  of  an  award
fails  to maintain good academic standing as defined by the commissioner
pursuant to article thirteen of this  chapter,  which  definition  shall
include  direction  to institutions to establish standards of reasonable
progress toward  completion  of  the  program  in  which  a  student  is
enrolled,  the  president shall suspend further payments under the award
until and unless the student shall establish, to the satisfaction of the
commissioner, promise of successful completion of the program for  which
the  award  is  made,  and  the  president  may  revoke the award if the
recipient  is  not  reinstated  in  good  academic  standing  within   a
reasonable time to be set by the commissioner.
b.  Students  who  receive their first state award during the nineteen
hundred eighty-one--nineteen hundred eighty-two  academic  year  through
and  including  the  two  thousand five--two thousand six academic year,
shall maintain good academic standing as defined  by  the  commissioner,
except  that  such  standard  shall  not apply to students receiving aid
under section six hundred sixty-seven-a of this part.
c. Students who  receive  their  first  state  award  during  the  two
thousand six--two thousand seven academic year and thereafter shall make
satisfactory  progress  toward  the completion of the program's academic
requirements as  provided  in  this  paragraph.  For  purposes  of  this
subdivision,  "reasonable  progress  toward  completion  of the program"
shall mean  a  student  must  complete,  at  a  minimum,  the  following
requirements  at  the time of certification; provided that nothing shall
prevent  a  college  from  developing  stricter  standards  to   measure
reasonable progress:
(i)  For  students  first  receiving  aid  in  two thousand seven--two
thousand eight, through and including two  thousand  nine--two  thousand
ten, and for students enrolled in a program of remedial study as defined
in  paragraph  d  of  this  subdivision  who  first  received aid in two
thousand seven--two thousand eight,  and  thereafter,  and  enrolled  in
four-year  or five-year undergraduate programs whose terms are organized
in semesters:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th  9th  10th
Certified
for This
Payment
A Student Must 0    3    9    21   33   45   60   75   90   105
Have Accrued at
Least This
Many Credits
With At Least  0    1.1  1.2  1.3  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(ii) For students first  receiving  aid  in  two  thousand  seven--two
thousand  eight,  through  and including two thousand nine--two thousand
ten, and for students enrolled in a program of remedial study as defined
in paragraph d of  this  subdivision  who  first  received  aid  in  two
thousand  seven--two  thousand  eight,  and  thereafter, and enrolled in
two-year undergraduate programs whose terms are organized in semesters:
Before Being   1    2    3    4    5    6
Certified
for This
Payment
A Student      0    3    9    18   30   45
Must Have
Accrued at
Least This
Many Credits
With at Least  0    .5   .75  1.3  2.0  2.0
This Grade
Point Average
(iii) For students first receiving  aid  in  two  thousand  seven--two
thousand  eight,  through  and including two thousand nine--two thousand
ten, and for students enrolled in a program of remedial study as defined
in paragraph d of  this  subdivision  who  first  received  aid  in  two
thousand  seven--two  thousand  eight,  and  thereafter, and enrolled in

four-year or five-year undergraduate programs whose terms are  organized
on a trimester basis:
Before Being   1    2    3    4    5    6    7    8
Certified
for This
Payment
A Student      0    2    4    9    17   25   33   40
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.1  1.1  1.2  1.2  1.3  2.0  2.0
This Grade
Point Average
 
and,
Before Being   9    10   11   12   13   14   15
Certified
for This
Payment
A Student      50   60   70   80   90   100  110
Must Have
Accrued at
Least This
Many Credits
With At Least  2.0  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(iv)  For  students  first  receiving  aid  in two thousand seven--two
thousand eight, through and including two  thousand  nine--two  thousand
ten, and for students enrolled in a program of remedial study as defined
in  paragraph  d  of  this  subdivision  who  first  received aid in two
thousand seven--two thousand eight,  and  thereafter,  and  enrolled  in
two-year undergraduate programs whose terms are organized on a trimester
basis:
Before Being   1    2    3    4    5     6    7    8    9
Certified
for This
Payment
A Student      0    2    4    9    15    21   30   37   45
Must Have
Accrued at
Least This
Many Credits
With At Least  0    .5   .5   .75  .75   1.3  2.0  2.0  2.0
This Grade
Point Average
(v) For students first receiving aid in two thousand ten--two thousand
eleven  and  thereafter,  who  do  not  meet the definition of a student
enrolled in a program of remedial study as defined  in  paragraph  d  of
this   subdivision,  and  are  enrolled  in  a  four-year  or  five-year
undergraduate program whose terms are organized in semesters:
Before Being   1st  2nd  3rd  4th  5th   6th  7th  8th  9th 10th
Certified
for This
Payment
A Student      0    6    15   27   39    51   66   81   96  111
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.5  1.8  1.8  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(vi)  For  students  first  receiving  aid  in  two  thousand ten--two
thousand eleven and thereafter, who do not  meet  the  definition  of  a
student  enrolled in a program of remedial study as defined in paragraph
d of this subdivision, and are  enrolled  in  a  two-year  undergraduate
program whose terms are organized in semesters:
Before Being   1st  2nd  3rd  4th  5th  6th
Certified
for This
Payment
A Student      0    6    15   27   39   51
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.3  1.5  1.8  2.0  2.0
This Grade
Point Average
(vii)  For  students  first  receiving  aid  in  two thousand ten--two
thousand eleven and thereafter, who do not  meet  the  definition  of  a
student  enrolled in a program of remedial study as defined in paragraph
d of this subdivision, and are enrolled  in  a  four-year  or  five-year
undergraduate program whose terms are organized on a trimester basis:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th
Certified
for This
Payment
A Student      0    4    8    14   22   30   38   46
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.1  1.5  1.5  1.8  2.0  2.0  2.0
This Grade
Point Average
and,
Before Being   9th  10th 11th 12th 13th 14th 15th
Certified
for This
Payment
A Student       56   66   76   86   96  106  116
Must Have
Accrued at
Least This
Many Credits
With At Least  2.0  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(viii)  For  students  first  receiving  aid  in two thousand ten--two
thousand eleven and thereafter, who do not  meet  the  definition  of  a
student  enrolled in a program of remedial study as defined in paragraph
d of this subdivision, and are  enrolled  in  a  two-year  undergraduate
program whose terms are organized on a trimester basis:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th  9th
Certified
for This
Payment
A Student       0    2    6   14   22   30   38   46   54
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.0  1.3  1.5  1.5  1.8  2.0  2.0  2.0
This Grade
Point Average
d. For purposes of paragraph c of this subdivision, a student enrolled
in a program of remedial study shall mean a student: (a) whose scores on
a   recognized   college   placement   exam   or  nationally  recognized
standardized exam indicated the need for remediation for  at  least  two
semesters, as certified by the appropriate college official and approved
by  the  commissioner;  or (b) who was enrolled in at least six semester
hours of non-credit remedial courses, as approved by  the  commissioner,
in the first term they received a tuition assistance program award in an
approved  program; or (c) who is or was enrolled in the higher education
opportunity program (HEOP), the educational opportunity  program  (EOP),
the search for education, elevation and knowledge (SEEK) program, or the
college discovery (CD) program.
e.  Notwithstanding the provisions of paragraph c of this subdivision,
for  students  who  are  disabled  as  defined  by  the  Americans  with
Disabilities  Act  of  1990,  42  USC 12101, and who receive their first
state award during the two thousand ten--two  thousand  eleven  academic
year  and  thereafter shall make satisfactory progress toward completion

of the program's academic requirements as provided  in  this  paragraph.
For  purposes  of  this  subdivision,  "reasonable  progress  toward the
completion of the program" shall mean a  student  must  complete,  at  a
minimum,  the  following  requirements  at  the  time  of certification;
provided that nothing shall prevent a college from  developing  stricter
standards to measure reasonable progress:
(i)  For  students  who  are disabled as defined by the Americans with
Disabilities Act of 1990, 42 USC  12101,  first  receiving  aid  in  two
thousand  ten--two  thousand  eleven  and  thereafter,  and  enrolled in
four-year or five-year undergraduate programs whose terms are  organized
in semesters:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th  9th  10th
Certified
for This
Payment
A Student Must 0    3    9    21   33   45   60   75   90   105
Have Accrued
at Least This
Many Credits
With At Least  0    1.5  1.8  1.8  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(ii)  For  students  who are disabled as defined by the Americans with
Disabilities Act of 1990, 42 USC  12101,  first  receiving  aid  in  two
thousand  ten--two  thousand  eleven  and  thereafter,  and  enrolled in
two-year undergraduate programs whose terms are organized in semesters:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th
Certified
for This
Payment
A Student      0    3    9    18   30   42   51   60
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.3  1.5  1.8  2.0  2.0  2.0  2.0
This Grade
Point Average
(iii) For students who are disabled as defined by the  Americans  with
Disabilities  Act  of  1990,  42  USC  12101, first receiving aid in two
thousand ten--two  thousand  eleven  and  thereafter,  and  enrolled  in
four-year  or five-year undergraduate programs whose terms are organized
on a trimester basis:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th
Certified
for This
Payment
A Student      0    2    4    9    17   25   33   40
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.1  1.5  1.5  1.8  2.0  2.0  2.0
This Grade
Point Average
 
and,
Before Being   9th  10th 11th 12th 13th 14th 15th
Certified
for This
Payment
A Student      50   60   70   80   90   100  110
Must Have
Accrued at
Least This
Many Credits
With At Least  2.0  2.0  2.0  2.0  2.0  2.0  2.0
This Grade
Point Average
(iv)  For  students  who are disabled as defined by the Americans with
Disabilities Act of 1990, 42 USC  12101,  first  receiving  aid  in  two
thousand  ten--two  thousand  eleven  and  thereafter,  and  enrolled in
two-year undergraduate programs whose terms are organized on a trimester
basis:
Before Being   1st  2nd  3rd  4th  5th  6th  7th  8th
Certified
for This
Payment
A Student      0    2    4    9    15   21   30   37
Must Have
Accrued at
Least This
Many Credits
With At Least  0    1.0  1.3  1.5  1.5  1.8  2.0  2.0
This Grade
Point Average
 
and,
Before Being   9th  10th 11th 12th
Certified
for This
Payment
A Student      45   50   55   60
Must Have
Accrued at
Least This
Many Credits
With At Least  2.0  2.0  2.0  2.0
This Grade
Point Average
(v)  Notwithstanding  any  other provision of law or regulation to the
contrary,  upon  each  certification,  payment  eligibility   shall   be
determined  and  measured  proportionally  in equivalence with full time
study for students who are disabled as defined  by  the  Americans  with
Disabilities Act of 1990, 42 USC 12101.
7.  Availability  of  academic  performance awards. Except as provided
herein, payment of academic awards may be made for  a  period  of  seven
years  beginning  with  the  academic  year  in  which  payment is first
available. In the event that a person  entitled  to  such  an  award  is
engaged  in  active  service in the armed forces of the United States or
active service in the national welfare in a program such  as  the  peace
corps, an extension of the seven year period equivalent to the period of
such active service but not in excess of three years may be granted upon
application  to  the  corporation.  A  recipient  who  is ineligible for
payment of an award in the first academic year  of  eligibility  due  to
attendance  in an ineligible out of state school shall not be thereafter
eligible for any other payments of such award. Recipients  of  an  award
which may be reawarded who are temporarily unable to avail themselves of
the  benefits  of the award due to illness or other cause established by
the board of regents prior to  receipt  and  utilization  of  the  first
payment  of  such  award,  may  apply  for  a temporary leave of absence
pursuant to the regulations of the corporation. The provisions  of  this
subdivision  shall not be considered to increase or in any way alter the
number, amount or methods of payments made under an academic performance
award.