Federal Student Aid - IFAP
   
96-L-186 Section II

Section II

This section of this Dear Colleague Letter defines the
implementation time frames and enforcement dates applicable to
certain provisions of the final regulations published on December 18,
1992, 57 Fed Reg 60280. In the letter issued by Secretary Riley on
January 29, 1993, participants were advised that the Department
would not enforce policy initiatives in the December 18, 1992
regulations until the Department provided additional guidance.
Statutory amendments implemented by the December 18, 1992
regulations were not covered by Secretary Riley's letter. In addition,
provisions of the regulations that remained unchanged from earlier
regulations are not subject to the delay in enforcement. Finally, if
sections or subsections originally subject to the delayed enforcement
were amended by regulations published after December 18, 1992, the
changes made by the amending regulations are not subject to the
delayed enforcement.

Appendix A lists the regulatory provisions subject to delayed
enforcement. All provisions but the following two must be
implemented by July 1, 1996:

- Section 682.200(b), definition of grace period and section
682.209(a)(3), conversion of a loan to repayment. These sections
provide for day-specific grace periods. These provisions apply to
enrollment information received by the lender or guarantor on or
after the Department implementation of the common SSCR format
through NSLDS. See section I, question 18 of this Dear Colleague
letter for additional clarification as to the final implementation of this
provision.

- Section 682.401(b)(20). This section requires guarantors to
use the SSCR included in Appendix B and requires the SSCR to
include students of parent borrowers. These provisions will be
implemented as part of Phase II of the National Student Loan Data
System. See section I, question 18 of this Dear Colleague letter for
additional clarification as to the final implementation of this
provision.