[Federal Register Volume 90, Number 43 (Thursday, March 6, 2025)]
[Notices]
[Pages 11408-11411]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-03573]


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DEPARTMENT OF EDUCATION


Eligibility Designations and Applications for Waiving Eligibility 
Requirements; Programs Under Parts A and F of Title III and Programs 
Under Title V of the Higher Education Act of 1965, as Amended (HEA)

AGENCY: Office of Postsecondary Education, Department of Education.

ACTION: Notice.

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SUMMARY: The Department of Education (Department) announces the process 
for the designation of eligible institutions and invites applications 
for waivers of eligibility requirements for fiscal year (FY) 2025, for 
the programs listed in the SUPPLEMENTARY INFORMATION section of this 
notice.

DATES: 
    Applications Available: March 6, 2025.
    Deadline for Transmittal of Applications: April 7, 2025.

FOR FURTHER INFORMATION CONTACT: Nemeka Mason-Clercin, Institutional 
Service, U.S. Department of Education, 400 Maryland Avenue SW, 5th 
Floor, Washington, DC 20202. Telephone: (202) 987-1340. Email: 
[email protected].
    If you are deaf, hard of hearing, or have a speech disability and 
wish to access telecommunications relay services, please dial 7-1-1.

SUPPLEMENTARY INFORMATION: The Department announces the process for the 
designation of eligible institutions and invites applications for 
waivers of eligibility requirements for FY 2025 for the following 
programs:
    1. Programs authorized under title III, part A of the HEA: 
Strengthening Institutions Program (Part A SIP), Alaska Native and 
Native Hawaiian-Serving Institutions (Part A ANNH), Predominantly Black 
Institutions (Part A PBI), Native American-Serving Nontribal 
Institutions (Part A NASNTI), and Asian American and Native American 
Pacific Islander-Serving Institutions (Part A AANAPISI).
    2. Programs authorized under title III, part F of the HEA: 
Hispanic-Serving Institutions STEM and Articulation (Part F HSI STEM 
and Articulation), Predominantly Black Institutions (Part F PBI), 
Alaska Native and Native Hawaiian-Serving Institutions (Part F ANNH), 
Native American-Serving Nontribal Institutions (Part F NASNTI), and 
Asian American and Native American Pacific Islander-Serving 
Institutions (Part F AANAPISI).
    3. The program authorized under title V part A of the HEA: 
Developing Hispanic-Serving Institutions (Part A HSI).
    4. The program authorized under title V part B of the HEA: 
Promoting Postbaccalaureate Opportunities for Hispanic Americans (Part 
B PPOHA).

Full Text of Announcement

I. Funding Opportunity Description

    Purpose of Programs: The Part A SIP, Part A ANNH, Part A PBI, Part 
A NASNTI, and Part A AANAPISI programs are authorized under title III, 
part A of the HEA. The Part F HSI STEM and Articulation, Part F PBI, 
Part F ANNH, Part F NASNTI, and Part F AANAPISI programs are authorized 
under title III, part F of the HEA. The HSI and PPOHA programs are 
authorized under title V of the HEA. Please note that certain programs 
addressed in this notice have the same or similar names as other 
programs that are authorized under a different statutory authority. For 
this reason, we include the statutory authority within the acronym for 
certain programs.
    Under the programs discussed above, institutions are eligible to 
apply for grants if they meet specific statutory and regulatory 
eligibility requirements. An institution of higher education that is 
designated as an eligible institution may also receive a waiver of 
certain non-Federal cost-sharing requirements for one year under the 
Federal Supplemental Educational Opportunity Grant (FSEOG) program 
authorized by title IV, part A of the HEA and the Federal Work-Study 
(FWS) program authorized by section 443 of the HEA. Qualified 
(eligible) institutions may receive the FSEOG and FWS waivers for one 
year even if they do not receive a grant under a title III or V grant 
program. An applicant that receives a grant from the Student Support 
Services (SSS) program that is authorized under section 402D of the 
HEA, 20 U.S.C. 1070a-14, may receive a waiver of the required non-
Federal cost share for institutions for the duration of the grant. An 
applicant that receives a grant from the Undergraduate International 
Studies and Foreign Language (UISFL) program that is authorized under 
section 604 of the HEA, 20 U.S.C. 1124, may receive a waiver or 
reduction of the required non-Federal cost share for institutions for 
the duration of the grant.
    Sections 312, 502, and 512 of the HEA, 34 CFR 607.2-607.5, and 34 
CFR 606.2-606.5 include many of the basic eligibility requirements for 
grant programs authorized under titles III and V of the HEA. Sections 
312(b)(1)(B) and 502(a)(2)(A) of the HEA provide that, to be eligible 
for these programs, an institution of higher education's average 
``educational and general expenditures'' (E&G) per full-time equivalent 
(FTE) undergraduate student must be less than the average E&G 
expenditures per FTE undergraduate student of institutions that offer 
similar instruction (public 2-year, public 4-year, private 2-year, and 
private 4-year) in that year.
    The National Center for Education Statistics (NCES) calculates Core 
Expenses per FTE of institutions, a statistic like E&G per FTE. Both 
E&G per FTE and Core Expenses per FTE are based on regular operational 
expenditures of institutions (excluding auxiliary enterprises, 
independent operations, and hospital expenses). They differ only in 
that E&G per FTE is based on fall undergraduate enrollment,

[[Page 11409]]

while Core Expenses per FTE is based on 12-month undergraduate 
enrollment for the academic year.
    To avoid inconsistency in the data submitted to, and produced by, 
the Department, for the purpose of sections 312(b)(1)(B) and 
502(a)(2)(A) of the HEA, E&G per FTE is calculated using the same 
methodology as Core Expenses per FTE. Accordingly, the Department will 
apply the NCES methodology for calculating Core Expenses per FTE. 
Institutions requesting an eligibility exemption determination must use 
the Core Expenses per FTE data reported to NCES's Integrated 
Postsecondary Education Data System (IPEDS) for the most currently 
available academic year, in this case academic year 2022-2023.
    Special Note: To qualify as an eligible institution under the grant 
programs listed in this notice, your institution must satisfy several 
criteria. For most of these programs, these criteria include those that 
relate to the enrollment of needy students and to the Core Expenses per 
FTE for a specified base year. The most recent data available in IPEDS 
for Core Expenses per FTE are for base year 2022-2023. To award FY 2025 
grants in a timely manner, we will use these data to evaluate 
eligibility.
    Each institution interested in either applying for a new grant 
under the titles III or V programs addressed in this notice, or 
requesting a waiver of the title IV non-Federal cost share, must be 
designated as an eligible institution in FY 2025. See 34 CFR 606.5 and 
607.5.
    Note: Please be advised that final eligibility is program specific. 
Applicants should refer to the program in question for programmatic 
requirements. Further information regarding eligibility is set forth 
below.
    Eligible Applicants: The eligibility requirements for the programs 
authorized under part A of title III of the HEA are in sections 312 and 
317-320 of the HEA (20 U.S.C. 1058, 1059d-1059g) and in 34 CFR 607.2-
607.5. The regulations may be accessed at www.ecfr.gov/cgi-bin/text-idx?SID=bc12bf5d685021e069cd1a15352b381a&mc=true&node=pt34.3.607&rgn=div5. The eligibility requirements for the programs authorized by part F 
of title III of the HEA are in section 371 of the HEA (20 U.S.C. 
1067q). There are currently no specific regulations for these programs.
    The eligibility requirements for the title V HSI program are in 
part A of title V of the HEA, sections 502 of the HEA (20 U.S.C. 1101a) 
and in 34 CFR 606.2-606.5. The regulations may be accessed at 
www.ecfr.gov/cgi-bin/text-idx?SID=bc12bf5d685021e069cd1a15352b381a&mc=true&node=pt34.3.606&rgn=div5l.
    The requirements for the PPOHA program are in part B of title V of 
the HEA, sections 513-514 (20 U.S.C. 1102-1102c), in the notice of 
final requirements published in the Federal Register on July 27, 2010 
(75 FR 44056), and in 34 CFR 606.2(a) and (b) and 606.3-606.5.
    The Department has instituted a process known as the Eligibility 
Matrix (EM), under which we use information institutions submitted to 
IPEDS to determine which institutions meet the basic eligibility 
requirements for the programs authorized by title III or V of the HEA 
listed above. The data are utilized in the Department's eligibility 
system to calculate and determine which institutions meet the 
eligibility requirements. To make eligibility determinations for FY 
2025, we use an institution's 2022-2023 enrollment and fiscal data. 
Beginning March 6, 2025, an institution will be able to review the 
Department's eligibility decision by checking the eligibility system 
linked through the Department's Institutional Service Eligibility 
website: https://www.ed.gov/grants-and-programs/grants-higher-education/eligibility-designations-higher-education-programs. The 
direct link is https://HEPIS.ed.gov/.
    During the application period, the EM can be reviewed within the 
eligibility system (https://HEPIS.ed.gov). The eligibility system 
maintains a record of all postsecondary institutions that are 
potentially eligible to apply for funding in the titles III or V grant 
programs mentioned above. If the eligibility system's entry for your 
institution indicates your institution is eligible, you will not need 
to apply for eligibility or submit a waiver request as described in 
this notice. Rather, if you choose to apply for the grant, you may 
print out the eligibility letter directly. If your institution is not 
shown as eligible, you must submit the application discussed in this 
notice before the application deadline of [30 days after the date of 
publication].
    To check your institution's eligibility, go to https://HEPIS.ed.gov/, and log into the system using a Login.gov account. If 
you are not sure whether you have an account in the system, click the 
``Request Account'' button. If you do not have an account, the system 
will walk you through setup. Note that it may take up to five business 
days to verify user identity and to complete new account setup, so 
please allow enough time to complete the application. If the Grant 
Eligibility Application system is open for new applications, you may 
check your institution's eligibility status by clicking the ``View pre-
Eligibility Information'' button. Your institution's eligibility 
information will display.
    If the system does not show that your institution is eligible for a 
program, you can apply for a waiver or reconsideration using the 
process described in this notice. The application process mirrors that 
used in previous years. You will first complete an application on the 
website at https://HEPIS.ed.gov/. If you remain ineligible based on 
your application, you will choose the waiver option(s) on the website 
to submit the required information and supporting documentation.
    Once all waiver decisions are made, the data from the eligibility 
system will be used to build a final EM that will be published on the 
Department's eligibility website https://www.ed.gov/grants-and-programs/grants-higher-education/eligibility-designations-higher-education-programs.
    Please note that through this process, the Department does not 
certify, nor designate, an institution as a Minority-Serving 
Institution or Hispanic-Serving Institution. This eligibility 
determination relates only to the institution's ability to apply for 
grants under certain titles III and V grant programs, as discussed in 
this notice.
    Enrollment of Needy Students: As noted above, to qualify as an 
eligible institution under the grant programs listed in this notice, 
your institution must satisfy several criteria, including those that 
relate to the enrollment of needy students and to the Core Expenses per 
FTE student count for the specified base year.
    For programs under titles III and V (excluding the PBI programs), 
an institution is considered to have an enrollment of needy students if 
it meets either of the following two criteria: (1) at least 50 percent 
of its degree-seeking students received financial assistance under the 
Federal Pell Grant, FSEOG, or FWS programs; or (2) the percentage of 
its undergraduate degree-seeking students who were enrolled on at least 
a half-time basis and received Federal Pell Grants exceeded the median 
percentage of undergraduate degree students who were enrolled on at 
least a half-time basis and received Federal Pell Grants at comparable 
institutions that offer similar instruction.
    To qualify under the second criterion, an institution's Federal 
Pell Grant percentage for base year 2022-2023 must be more than the 
median for its category of comparable institutions provided in the 
2022-2023 Median Pell Grant and Average Core Expenses per FTE Student 
Table in this notice. If your institution qualifies only under the 
first

[[Page 11410]]

criterion, you must submit an application containing the data necessary 
to satisfy the first criterion (showing at least 50 percent of your 
degree-seeking students received financial assistance under one of 
several Federal student aid programs (the Federal Pell Grant, FSEOG, or 
FWS programs)), since these data are not available in IPEDS.
    ``Enrollment of Needy Students'' for purposes of the Part A PBI 
program is separately defined in section 318(b)(2) of the HEA, and for 
purposes of the Part F PBI program is defined in section 371(c)(3) of 
the HEA.
    Core Expenses per FTE Student: For each of the following programs, 
an institution should compare its base year 2022-2023 Core Expenses per 
FTE student to the average Core Expenses per FTE student for its 
category of comparable institutions using the 2022-2023 Median Pell 
Grant and Average Core Expenses per FTE Student Table in this notice: 
title III, Part A SIP; Part A ANNH; Part A PBI; Part A NASNTI; Part A 
AANAPISI; title III, Part F HSI STEM and Articulation; Part F PBI; Part 
F ANNH; Part F NASNTI; Part F AANAPISI; title V, Part A HSI; and title 
V, Part B PPOHA. An institution satisfies this program eligibility 
requirement if its Core Expenses for the 2022-2023 base year are less 
than the average Core Expenses of its comparable institutional 
category.
    The IPEDS definition of Core Expenses is used for eligibility 
purposes. ``Core Expenses'' are defined as the total expenses for the 
essential education activities of the institution. Core Expenses for 
public institutions reporting under the Governmental Accounting 
Standards Board (GASB) requirements include expenses for instruction, 
research, public service, academic support, student services, 
institutional support, operation and maintenance of plant, 
depreciation, scholarships and fellowships, interest, and other 
operating and non-operating expenses. Core Expenses for institutions 
reporting under the Financial Accounting Standards Board (FASB) 
standards (primarily private, not-for-profit, and for-profit 
institutions) include expenses for instruction, research, public 
service, academic support, student services, institutional support, net 
grant aid to students, and other expenses. Core Expenses do not include 
Federal student aid for the purposes of eligibility. For both FASB and 
GASB institutions, Core Expenses do not include expenses for auxiliary 
enterprises (e.g., bookstores, dormitories), hospitals, and independent 
operations.
    Institutions that submit a waiver request for either the Core 
Expenses per FTE or the Needy Student requirement must submit the 
required documents and supporting data and evidence by the deadline.
    Note: All reviews and decisions will be made approximately two 
weeks after the deadline.
    The following table identifies base year 2022-2023 median Federal 
Pell Grant percentages and average Core Expenses per FTE student for 
the four categories of comparable institutions:

------------------------------------------------------------------------
                                                          Base year 2022-
                                     Base year 2022-2023   2023 average
        Type of institution           Median Pell Grant    Core Expenses
                                          percentage          per FTE
                                                              student
------------------------------------------------------------------------
2-year Public Institutions.........                   44         $19,020
2-year Nonprofit Private                              48          17,453
 Institutions......................
4-year Public Institutions.........                   37          39,396
4-year Nonprofit Private                              36          49,867
 Institutions......................
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    Waiver Information: Institutions that do not meet the needy student 
enrollment requirement or the Core Expenses per FTE requirement may 
apply to the Secretary for a waiver of these requirements, as described 
in sections 392 and 522 of the HEA, and in the implementing regulations 
at 34 CFR 606.3(b), 606.4(c) and (d), 607.3(b), and 607.4(c) and (d).
    Institutions requesting a waiver of the needy student enrollment 
requirement, or the Core Expenses per FTE requirement, must include in 
their application detailed evidence supporting the waiver request, as 
described in the instructions for completing the application.
    The regulations governing the Secretary's authority to grant a 
waiver of the needy student requirement refer to ``low-income'' 
students or families, at 34 CFR 606.3(b)(2) and (3) and 607.3(b)(2) and 
(3). The regulations at 34 CFR 606.3(c) and 607.3(c) define ``low-
income'' as an amount that does not exceed 150 percent of the amount 
equal to the poverty level, as established by the U.S. Census Bureau.
    For purposes of this waiver provision, the following table sets 
forth the low-income levels (at 150 percent) for various family sizes:

                                          2023 Annual Low-Income Levels
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                                                              Family income for
                                                              the 48 contiguous
                    Size of family unit                        states, DC, and     Family income   Family income
                                                                   outlying         for Alaska      for Hawaii
                                                                jurisdictions
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1..........................................................              $21,870         $27,315         $25,155
2..........................................................               29,580          36,960          34,020
3..........................................................               37,290          46,605          42,885
4..........................................................               45,000          56,250          51,750
5..........................................................               52,710          65,895          60,615
6..........................................................               60,420          75,540          69,480
7..........................................................               68,130          85,185          75,345
8..........................................................               78,840          94,830          87,210
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    Note: We use the 2023 annual low-income levels because those are 
the amounts that apply to the family income reported by students 
enrolled for the fall 2022 semester. For family units with more than 
eight members, add the following amount for each additional family 
member: $7,710 for the contiguous 48 States, the District of Columbia, 
and outlying jurisdictions; $9,645 for Alaska; and $8,865 for Hawaii.
    The figures shown under family income represent amounts equal to 
150 percent of the family income levels annually established by the 
U.S. Census Bureau for determining poverty status. For 2023, the 
poverty guidelines were published in the Federal Register on January 
19, 2023, by the U.S. Department of Health and Human Services (88 FR 
3424), with an effective date of January 12, 2023.
    Information about ``metropolitan statistical areas'' referenced in 
34 CFR 606.3(b)(4) and 607.3(b)(4) may be obtained at: https://www.census.gov/programs-surveys/metro-micro/geographies/reference-maps.html.
    Electronic Submission of Waiver Applications: If your institution 
does not appear in the eligibility system as eligible for a program to 
which you seek to apply, you must apply for a waiver of the eligibility 
requirements. To request a waiver, you must upload a narrative at 
https://HEPIS.ed.gov/.
    Exception to the Electronic Submission Requirement: We discourage 
paper applications, but if electronic submission is not possible (e.g., 
you do not have access to the internet), you must provide a written 
statement that you intend to submit a paper application. This written 
statement must be postmarked no later than two weeks before the 
application deadline date (14 calendar days or, if the 14th calendar 
day before the application deadline date falls on a weekend or Federal 
holiday, the next business day following the weekend or Federal 
holiday).
    Please send this statement to the person listed in the FOR FURTHER 
INFORMATION CONTACT section of this notice.
    If you submit a paper application, you must mail your application, 
on or before the application deadline date, to the Department at the 
following address: U.S. Department of Education, Attention: Nemeka 
Mason-Clercin, Institutional Service, U.S. Department of Education, 400 
Maryland Avenue SW, 5th Floor, Washington, DC 20202.
    You must show proof of mailing consisting of one of the following:
    (1) A legibly dated U.S. Postal Service postmark.
    (2) A legible mail receipt with the date of mailing stamped by the 
U.S. Postal Service.
    (3) A dated shipping label, invoice, or receipt from a commercial 
carrier.
    (4) Any other proof of mailing acceptable to the Secretary of the 
U.S. Department of Education.
    If you mail your application through the U.S. Postal Service, we do 
not accept either of the following as proof of mailing:
    (1) A private metered postmark.
    (2) A mail receipt that is not dated by the U.S. Postal Service.
    Note: The U.S. Postal Service does not uniformly provide a dated 
postmark. Before relying on this method, you should check with your 
local post office.
    We will not consider applications postmarked after the application 
deadline date.
    Applicable Regulations: (a) The Education Department General 
Administrative Regulations (EDGAR) in 34 CFR parts 75, 77, 79, 82, 84, 
86, 97, 98, and 99. (b) The Office of Management and Budget Guidelines 
to Agencies on Governmentwide Debarment and Suspension (Nonprocurement) 
in 2 CFR 180, as adopted and amended as regulations of the Department 
in 2 CFR part 3485. (c) The Uniform Administrative Requirements, Cost 
Principles, and Audit Requirements for Federal Awards in 2 CFR part 200 
(Uniform Guidance), as adopted and amended as regulations of the 
Department in 2 CFR part 3474. (d) The regulations for certain title 
III programs in 34 CFR part 607, and for the HSI program in 34 CFR part 
606. (e) The notice of final requirements for the PPOHA program 
published in the Federal Register on July 27, 2010 (75 FR 44056).
    Note: The regulations in 34 CFR part 79 apply to all applicants 
except federally recognized Indian Tribes.
    Note: The regulations in 34 CFR part 86 apply to institutions of 
higher education only.
    Note: There are no program-specific regulations for the Part A PBI, 
Part A NASNTI, and Part A AANAPISI programs or any of the title III, 
part F programs. Also, the HEA has been amended since the Department 
last issued regulations for programs established under titles III and V 
of that statute. Accordingly, we encourage each potential applicant to 
read applicable sections of the HEA to fully understand all applicable 
program eligibility requirements.

II. Other Information

    Accessible Format: On request to the program contact person listed 
under FOR FURTHER INFORMATION CONTACT, individuals with disabilities 
can obtain this document and a copy of the application package in an 
accessible format. The Department will provide the requestor with an 
accessible format that may include Rich Text Format (RTF) or text 
format (txt), a thumb drive, an MP3 file, braille, large print, 
audiotape, compact disc, or other accessible format.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. You may 
access the official edition of the Federal Register and the Code of 
Federal Regulations at www.govinfo.gov. At this site you can view this 
document, as well as all other Department documents published in the 
Federal Register, in text or Portable Document Format (PDF). To use 
PDF, you must have Adobe Acrobat Reader, which is available free at the 
site.
    You may also access Department documents published in the Federal 
Register by using the article search feature at 
www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

Denise Carter,
Acting Secretary of Education.
[FR Doc. 2025-03573 Filed 3-5-25; 8:45 am]
BILLING CODE 4000-01-P