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Quality Assurance Program
Fiscal Management

This assessment outlines the financial standards schools must maintain to participate in the Federal Student Aid programs. If you identify areas requiring corrective action, we recommend that you complete an Action Plan.

Fiscal Management Worksheets:
Federal Pell Grant Monthly Reconciliation 
ACG/National SMART Monthly Reconciliation 
TEACH Grant Monthly Reconciliation 
FWS Monthly Reconciliation
Federal Perkins Monthly Reconciliation
FSEOG Monthly Reconciliation
Direct Loan Monthly Reconciliation
FFEL Monthly Reconciliation (For schools receiving funds via EFT and Master Check)
FFEL Monthly Reconciliation (For schools receiving funds via individual checks for each borrower) 

Activity Bar: 
Fiscal Management Activity 1: Reconciliation Worksheets
Fiscal Management Activity 2: General Fiscal Requirements
Fiscal Management Activity 3: Excess Cash
Fiscal Management Activity 4: Disbursing Aid File Review Worksheet
Fiscal Management Activity 5: Financial Ratios
Fiscal Management Activity 6: Administrative Cost Allowance 

Additional Links: 
2011-12 FSA Handbook, School Eligibility & Operations, Chapter 4; 2011-12 FSA Handbook, Processing Aid & Managing Federal Student Aid Funds, Chapter 1 and 2011-12 FSA Handbook, Processing Aid & Managing Federal Student Aid Funds, Chapter 2 

Please note the regulatory citations are referenced in the first column of the assessment. To link to any of the regulatory references, click on the link in the regulatory link column and scroll down to the applicable section.


Fiscal Management Regulatory Link(s) Activity

Standards of Administrative Capability 34 CFR 668.16

34 CFR Part 668, Subpart L, 668.171 through 668.175

34 CFR 668.16

34 CFR 668.24

34 CFR 668.55

34 CFR 668.162

34 CFR 668.163

34 CFR 668.164

34 CFR 668.165

34 CFR 668.166

34 CFR 668.167

34 CFR 668.171

34 CFR 668.172

34 CFR 668.173

34 CFR 668.175

34 CFR 690.14

34 CFR 690.80

 Fiscal Management Activity 2: General Fiscal Requirements
Financial Responsibility 34 CFR 668, Subpart L, 668.171 through 668.175  

Record Retention and Examinations 34 CFR 668.24

  

Maintaining & Accounting For Funds 34 CFR 668.163

  
Interest-bearing or investment account 34 CFR 668.163  

Accounting and financial requirements 34 CFR 668.24

  

Excess Cash 34 CFR 668.166

 Fiscal Management Activity 3: Excess Cash
Disbursing Funds 34 CFR 668.164 Fiscal Management Activity 4: Disbursement Worksheet
Consumer Information 34 CFR 668.22(k)  

Timeframe to Disburse loan funds or return them 34 CFR 668.167

  

Disbursement by Payment Period 34 CFR 668.164(b)

  

Disbursing FSA funds directly 34 CFR 668.164(c)

  

Early Disbursement 34 CFR 668.164(f) & Late Disbursements 34 CFR 668.164(g)

  

FSA Credit Balances 34 CFR 668.164(e) & Prior-year Charges 34 CFR 668.164(d)

  

Required School Notifications & Required Student Authorizations 34 CFR 668.165

  

Composite Score 34 CFR 668.171(b)(1); 34 CFR 668.172

 Fiscal Management Activity 5: Financial Ratios

Refund reserve standards 34 CFR 668.173

  

Current in debt payments 34 CFR 668.171(b)(3)

  

Past Performance and Affiliation Standards 34 CFR 668.175

  

Alternatives to the General Standards 34 CFR 668.175

  

Cash Management


  • The advance payment method 34 CFR 668.162(b)
  • Reimbursement payment method 34 CFR 668.162(d)
  • Cash monitoring payment method 34 CFR 668.162(e)
  • Just-in-time payment method 34 CFR 668.162(c).

Fiscal Management Activity 1: Reconciliation Worksheets


Fiscal Management Activity 6: Administrative Cost Allowance

Timeframe to disburse loan funds or return them 34 CFR 668.167

  

GAPS 34 CFR 668.162(a)(2), GAPS Web Page: http://e-grants.ed.gov

  

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