Grants to Students Summary

Please note that ASA does not administer Federal Grant Programs, and the following summary should be used for informational purposes only. For more information on changes to Grant Programs please refer to resources provided by the National Association of Student Financial Aid Administrators.

Federal Pell Grants

The maximum Pell Grant amount for 2008/2009 is expected to be $4,731 with $490 coming from the mandatory funds and $4,241 coming from discretionary funds. Schools only need to report one amount to the Common Origination and Disbursement (COD) system, and do not have to distinguish between mandatory and discretionary amounts.

The maximum amounts of Pell Grants are required to be increased through mandatory funds in the following amounts:

• – $490 for the 2008/2009 and 2009/2010 award years
• – $690 for the 2010/2011 and 2011/2012 award years
• – $1,090 for the 2012/2013 award year

Elimination of Tuition Sensitivity

The adjusted amount of Pell Grants for recipients at low-cost colleges (colleges and universities where the annual tuition rates are no more than $5,000 per academic year for in-state resident students) was eliminated effective July 1, 2007. Based on this change, schools must recalculate Pell Grants that may have already been awarded for 2007/2008.

TEACH Grants

Effective July 1, 2008, the TEACH grant provides up to $4,000 per year in grant assistance to students who plan on becoming teachers, and to teachers who are obtaining graduate degrees. In exchange for the grant, teachers must serve as full-time teachers at public or private non-profit elementary or secondary schools that are eligible for assistance under Title I (a federal program designed to improving the academic achievement of disadvantaged students) for at least 4 academic years. The following are additional TEACH Grant requirements:

• – The 4 required academic years must be completed within 8 years after completing the course of study for which the grant was received
• – If the teacher fails to or refuses to carry out his or her teaching obligation, the amounts of the TEACH Grants received are treated as an unsubsidized Direct Loan and must be repaid with interest
• – The teacher must be highly qualified
• – The teacher must teach in any of the following fields:
  
  
  • – Mathematics
  • – Science
  • – Foreign language
  • – Bilingual education
  • – Special education
  • – As a reading specialist
  • – In another field designated as high-need by the federal government, state government or local educational agency
  
  
• – The teacher must provide evidence of required employment after each year of service in the form of a certification by the Chief Administrative Officer
• – Total amount of TEACH Grants for undergraduate or post-baccalaureate study may not exceed $16,000
• – If the teacher is enrolled less than full-time, the amount of the annual grant must be reduced based on a schedule outlined in the TEACH Grant regulations