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REVISED NSFAS POLICY 07 JANUARY 2014

REVISED NSFAS POLICY 07 JANUARY 2014. Revised NSFAS Policy. Purpose To provide rules and guidelines for the administration, management and awarding of bursaries to our students Policy and Legal Context

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REVISED NSFAS POLICY 07 JANUARY 2014

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  1. REVISED NSFAS POLICY 07 JANUARY 2014

  2. Revised NSFAS Policy • Purpose • To provide rules and guidelines for the administration, management and awarding of bursaries to our students • Policy and Legal Context - Guidelines have been developed in line with the relevant Acts e.g. FET Act ,2006 ( as amended), National Student Aid Scheme Act,1999 ( as amended) etc.

  3. Continued • 20% of the total programme cost must be recovered from the students and 80% is subsidised by the State • Academic deserving and financially needy students may be given bursary to cover the 20%. The rest of the students will have to pay the 20% • Student attendance and punctuality policy 2013 is a compulsory part of the criteria for awarding bursaries

  4. Continued • In 2007, it was legislated that bursaries be provided to deserving students for NC(V) programmes and was later extended to the R191 programmes • programmes costs for the following year will be sent separately to Colleges before the end of September of each year.

  5. 3. Bursary Funds Allocation Criteria to Colleges • The Department allocates bursary funds to Colleges on an annual basis taking the following into consideration: • Programme costs in accordance with the NSF- FET Colleges; • DHET approved actual NC(V) and R191 enrolments; • NC(V) and R191 programmes students’ academic performance and retention rates; • College fees; and • Available funding.

  6. Continued • Accurate and fair distribution of the bursary funds is paramount importance and of the bursary allocation 80% should cover for tuition of eligible students and 20% of the bursary allocation should cover for travel and accommodation allowances.

  7. 4. Student Eligibility Criteria for the DHET College Bursary - In applying for the FET College bursary, a student must meet the following eligibility criteria: • Only South African citizens are eligible for this bursary scheme; • A student must be registered or intending to register on an NC(V) or Report 191 programme at any of 50 public FET College in SA. • In need of financial assistance ( a Means Test is administered to determine whether or not a student meets the criterion; and • Able to demonstrate potential for academic success

  8. 5. Minimum Required Documentation • Student’s bursary application form must include the following supporting documents: • Registration documents ( academic record; proof of registration) • Identity documents for both parents in case of a single parent an affidavit must be written • Employment document • Marital status documents • Travelling and accommodation documents

  9. 6. Criteria for Awarding of Bursaries to Students • Criteria to be used when awarding bursaries to students: • The FAC must consider the bursary application and Means Test; • Students MUST provide details on the employment status of both of their parents or guardian as these impact on the eligibility for bursaries ( a copy of the Means Test results must be attached to each bursary application form); • The academic merit of the student must be assessed using an academic record or statements of results when awarding bursaries to students. To this end, students must be given priority in terms of their academic performance in a sequential manner from academic rating 1(80%- 100%), 2(70%- 79%), 3 (60%- 69%) and 4 (50% -59%);

  10. continued • Both the criteria for financial need and the academic merit must be applied. Students should be categorised and prioritised in terms of their weightings, students who have the greatest financial need ( EFC rating A) and the highest academic rating ( academic rating 1) must be in the top category and they must be given first priority accordingly;

  11. Continued • It is important to note that only the students who have been awarded bursaries are required to sign the SoP; • All documents should be verified and scrutinise; • Student progression policy should be taken into account and priority should be given to those who were on the College electronic system;

  12. Continued • The granting of a bursary in the current academic year ( for students who were granted bursaries in the previous academic year) is subject to the student’s financial situation not having improved. The student will have to provide evidence thereof( all income - related supporting documents) and complete all required documents;

  13. Continued • Students may be awarded bursaries up to a maximum of four years for NC(V) programme. The forth year bursary should be awarded only in the forth year of study ( after Level 4) to allow students to complete any outstanding subjects. This provision is only applicable to continuous study. No bursaries should be awarded in the fifth year of study;

  14. Continued • Report 191 students may also be awarded bursaries if they have successfully completed N3 and N6 and have outstanding subjects for full certification. This provision is made for a period of six months and it is applicable to continuous study which will be paid at pro -rata , i.e proportional to 6 months;

  15. Continued • where bursaries are awarded for outstanding subjects only, the cost per subject should be calculated as follows: • NC(V) cost per subject: Programme cost (20% which is the student College fee) divide by 7. Refer paragraph 15 and the programme cost of the current academic year. • Report 191 cost per subject: Programme cost (20% which is the student College fee) divide by 4. Refer paragraph 15 and the programme cost of the current academic year.

  16. Continued • With effect from 2013 bursary recipients who switch from one programme to another ( i.e. from NC(V) to Report 191 programme N1 – N3 or vice-versa) or change programmes within a NC(V) or Report 191 programme during the course of their studies are not eligible for financial assistance

  17. Continued Furthermore, bursary recipients who complete NC(V) Level 4 are not eligible for financial assistance should they want to enroll for Report 191 N1 – N3, similarly bursary recipients who complete Report 191 N4 –N6 are not eligible for financial assistance should they want to enroll for a NC(V) programme. However, bursary recipients who complete NC(V) Level 4 are eligible for financial assistance should they want to enroll for Report 191 N4 – N6;

  18. Continued • The table below indicates items that may be claimed from the bursary. All costs listed in the Table below are MAXIMUM amounts costs that may be awarded to students. The awarding of the items will be based on the recommended amount as per the NSFAS Means Test ( unless otherwise recommended by the Financial Aid Committee and approved by the College principal ) and subject to the availability of funds. All costs are per annum.

  19. Continued

  20. Continued • All above amounts are MAXIMUM amounts that may be awarded and may not be exceeded. The FAC may recommend alternate amounts without compromising on the quality of access and provision of comprehensive bursaries in some instances.

  21. 7. Travel and Accommodation Allowances • Students who reside within a radius of ten (10) kilometres from the College should not be considered for an award for travel allowance or accommodation allowance. However, students who reside further than ten (10) kilometres from the College may be considered for an award for travel allowance, subject to the availability of funds.

  22. Continued • Students whose home address is within a radius of forty (40) kilometers from the College should not be considered for an award for accommodation allowance ( this cohort of students may be considered for an award for travel allowance, provided they do not reside within a radius of ten (10) kilometers from the College). However, students whose home address is further than forty (40) kilometres from the College may be considered for an award for accommodation allowance, subject to the availability of funds.

  23. Continued • The first tranche should be paid to eligible students in advance and, based on student adherence to the 80% minimum class attendance, the subsequent tranche should then be paid.

  24. Continued • College may not disburse travel and accommodation allowances to a beneficiary who fails to meet the minimum of 80% class attendance requirement for a particular month in accordance with DHET student attendance and punctuality policy,2013. The monitoring of class attendance by the responsible lecturer for each scheduled class is critical. Principals of colleges must monitor and keep accurate records of student attendance for each scheduled class

  25. Continued • The Principal must submit, on a monthly basis, a consolidated report on the NSFAS travel and accommodation beneficiaries who failed to comply with the requirement of 80% minimum class attendance. The report must be sent to the DDG: VCET and CEO of NSFAS. Whatever funds that will be accumulated at the end of the academic year from the travel and accommodation allowances as a result of failing to comply with the requirement of 80% minimum class attendance or dropping out from the College must be returned to NSFAS at the end of the academic year.

  26. Continued • College employees are not allowed to provide travel and accommodation services to beneficiaries of the DHET FET College Bursary Scheme. This practice constitutes a conflict of interest and it is imperative that the College, through its Council, formulate a policy barring this practice.

  27. 8. Verification of Residential Address of the Recipients of Allowances • Debt collecting agencies may be utilised to conduct physical address verification of preferably a sample of 10 – 25% randomly selected students receiving travel and accommodation allowances.

  28. Continued • The Principal must submit bi- annual reports on verification of residential addresses of beneficiaries of travel and accommodation allowances to the DDG: VCET. On the basis of analysis of these reports, the Principal should decide whether or not it is necessary to institute a forensic investigation into the administration of these allowances. Students and College officials who will be found to have defrauded the DHET FET College Bursary Scheme should be subjected to internal disciplinary hearing and should also have criminal charges laid against them. In the event that these suspects are found guilty, the relevant sanctions should apply – withdrawal of the bursary, cancellation of allowances, disqualification from ever applying for an NSFAS bursary, re – payment, expulsion/ dismissal and so forth.

  29. 9. Exemption from Paying Registration Fees • Students who meet all the bursary conditions, satisfy the eligibility criteria, qualify for the bursary on the basis of the outcome of the Means Test, and cannot afford to pay a registration fee; should be exempted from paying registration fees. Colleges may not exclude students on the basis of an inability to pay registration fees. The advance payment ( 10% of each College’s bursary allocation) is specifically for the purpose of exempting qualifying and deserving students from paying a registration fee.

  30. 10. Bursary Administration Processes • The NSFAS manages and administers the DHET FET College Bursary Scheme on behalf of the DHET. NSFAS has adapted the Means Test tool for the College sector. • A student must complete the bursary application form and submit all supporting documents ( certified copy of pay slips, ID documents, affidavits, etc.

  31. Continued • There are separate bursary application forms and SoPs for students studying NC(V) or Report 191 bursary application forms. • The College MUST not accept incomplete bursary application forms from students. To accept a form from a student implies that such a student has submitted all the required documents. • The College must issue the student with a receipt to acknowledge that the student has submitted the bursary application form with the necessary supporting document.

  32. Continued • The College must load the student information onto the electronic Means Test system within 48 hours of receiving the application. Whilst student information may be loaded on different computer points, it is important that a consolidation of College information reporting purposes take place.

  33. Continued • A covering letter on a College letterhead detailing the amount allocated to the College for then academic year, the amount being claimed in that batch, the balance, a detailed control list(this control list should also be e-mailed to NSAFS), the full set of student Schedule of Particulars and certified Identity Documents batched in alphabetical order ( as per control list) must be submitted to NSFAS.

  34. Continued • Colleges must administer bursaries according to the Bursary Administration Schedule in the Table below. The minimum percentage of the College’s allocation has to be claimed by the specified due dates. The Department will, as at 30 September of each year, regard the balance in a College’s bursary allocation as unspent bursary funds for that particular year. These unspent bursary funds will be re distributed to Colleges that requested additional bursary funds and had claimed their full bursary allocation as at 30September of that particular year.

  35. Continued: bursary administration schedule

  36. Continued

  37. Continued

  38. Continued

  39. Continued

  40. Continued • A claim is regarded as successful when NSFAS has accepted and paid to the College the claimed amount. Colleges must take note of the 30 days NSFAS turnaround time for processing claims. • The Financial Aid Committee must convene, at a minimum, one meeting per month to review and make recommendations on applications received. Detailed minutes of the FAC meetings must be kept.

  41. Continued • The Financial Aid Committee should be a stakeholder – inclusive committee that includes representation from: • Student Support Services; • Finance; • Administration; • Student Representative Council; • Marketing; and • Management

  42. continued • The College Principal may use his/her discretion to add other representatives to the FAC. The College must submit a schedule of meetings as well as the letter reflecting the names and contact details of all members of the FAC and the Bursary Appeals Committee to the DHET before the end of January of each year( letter must be signed by the College Principal)

  43. Continued • The Financial Aid Committee must keep a record of all its meetings( minutes), which may be required for audit purposes, especially in respect of decisions which impact on the bursary awards to students. • The total claim submitted by Colleges to NSFAS must not exceed the College’s final bursary allocation.

  44. Continued • It is important for the Principal, as the College’s Accounting Officer, to validate the process through his/her signature. An imprint of his/her name and the date on which the signature was appended to the report/claim should accompany the Principal’s signature. If the Principal has delegated the responsibility, the letter of delegation must be enclosed.

  45. Continued 41.Lists of names of successful and unsuccessful bursary applicants must be sent to the College FAC for student notification. All successful students should be notified in writing of the outcome of their bursary application within two weeks of the College having received bursary funds from NSFAS.

  46. Continued 42. The Financial Aid Officer should inform both successful and unsuccessful applicants in writing of the outcome of their applications, and these letters must be signed by the College Principal or as indicated in paragraph 40. A record of the letter must be filed. 43. Colleges are required to keep an Appeals Register of students who have contested the decisions made on their bursary applications.

  47. Continued • Colleges should set up a Bursary Appeals Committee which should be constituted as follows: • Representation of the College Council; • College Principal; • Vice Principal: Academic; • Chief Financial Officer; • SSS Manager ( Financial Aid Officer(; and • President of the SRC ( or the Deputy President of the SRC if the appeal is lodged by the President). The College Principal may use his/her discretion to add other representatives to the Bursary Appeals Committee.

  48. Continued • The SoPs is an acknowledgement of the acceptance of a bursary by the student. Therefore, only successful students MUST sign SoPs once their bursary application has been approved, as this is the only document that the College is expected to submit to NSFAS in support of its claim. The SoP should be accompanied by a certified copy of the student Identity Document( stamp of certification must be on the same page as the image of the ID document). Colleges must keep copies of the SoP which will be required by the auditors during audit.

  49. 11. Additional College Responsibilities • Colleges must take responsibility for and take note of the following: • Informing students of the criteria that are applicable for the awarding of bursaries, i.e financial need, academic performance, class attendance and so forth; • Informing students of all important documents to be submitted with their bursary applications; • developing a document checklist to ensure that all relevant document are received;

  50. Continued • applications forms with incomplete documents should not be accepted. If there are queries on submitted documents, the student must be notified immediately; • Furnishing students with proof of submission of application forms and supporting documents; • Bursary agreements( SoPs) should be signed by the student and the College, and • Students should be made aware of their rights, roles and responsibilities, e.g. notification of other bursaries or change of address etc.

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