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<HTML><HEAD><TITLE>Use of Scheduled hours in RT4 calculation. Question from Oct 24 workshop in OKC</TITLE>
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<BODY><SPAN class=895023220-05012007><FONT face=Arial
color=#0000ff> Forwarded to OASFAA-L at request of Kevin Campbell:
</FONT></SPAN><BR><BR>
<P><FONT face="Century Gothic">Greetings:</FONT> </P>
<P><FONT face="Century Gothic">On October 24, 2006, Kevin Campbell and Dave
Elliott, Training Officers with Federal Student Aid, conducted a HERA workshop
at Francis Tuttle Technology Center.</FONT></P>
<P><FONT face="Century Gothic">Part of the workshop dealt with the HERA issue of
only using scheduled clock hours when calculating a Return of Title IV
Calculation. This provision was part of HERA and replaced the prior
process which was to determine if scheduled clock hours would be used or actual
clock hours would be used. HERA mandates that only scheduled hours
are to be used when calculating a RT4.</FONT></P>
<P><FONT face="Century Gothic">This question was raised:</FONT> </P>
<P><FONT face="Century Gothic">If scheduled hours are used when calculating what
percentage of the payment period or period of enrollment has been completed, may
a school count the scheduled clock hours after the last date of attendance by
the student but prior to the determination that the student has
withdrawn?</FONT></P>
<P><FONT face="Century Gothic">We consulted with ED's policymakers and have
determined that scheduled clock hours after the student's last date of
attendance do not count as hours in the RT4 calculation at a school required to
take attendance by an outside entity.</FONT></P>
<P><FONT face="Century Gothic">For example, </FONT></P>
<P><FONT face="Century Gothic">Student begins program on Sept 1</FONT> <BR><FONT
face="Century Gothic">Student's last date of attendance is Sept 30</FONT>
<BR><FONT face="Century Gothic">Student completed 100 hours during this
time.</FONT> <BR><FONT face="Century Gothic">Student was scheduled to complete
120 hours during this time.</FONT> <BR><FONT face="Century Gothic">Student
withdraws, or school determines that the student has withdrawn on Oct 4.</FONT>
</P>
<P><FONT face="Century Gothic">The 120 scheduled hours, between the first and
last dates of attendance, would be used in calculating a RT4 calculation.
If it is a 450 clock hour payment period, the fraction would be
120/450.</FONT></P>
<P><FONT face="Century Gothic">The 100 completed clock hours would not be used
in the RT4 calculation because HERA mandates the use of scheduled clock
hours.</FONT></P>
<P><FONT face="Century Gothic">The scheduled clock hours between the last date
of attendance and the student's withdrawal or the school's determination of the
student's withdrawal do not count and are not included in the RT4
calculation.</FONT></P>
<P><FONT face="Century Gothic">If there any questions, please feel free to
contact Kevin Campbell.</FONT> </P>
<P><FONT face="Century Gothic">Kevin Campbell</FONT> <BR><FONT
face="Century Gothic">Training Officer</FONT> <BR><FONT
face="Century Gothic">Region VI</FONT> <BR><FONT face="Century Gothic">Dallas,
Texas</FONT> <BR><FONT face="Century Gothic">214-661-9488</FONT> <BR><FONT
face="Century Gothic">kevin.campbell@ed.gov</FONT> </P></BODY></HTML>