CARES Act Covid-19 Emergency Funds


BHDI’s Implementation of the Coronavirus Aid, Relief, and Economic Security (CARES) Act Higher Education Emergency Relief Fund (HEERF) Student Emergency Grant

 

Brief Description

The CARES Act establishes a $30.75 billion Education Stabilization Fund that is composed of the Governor’s Emergency Relief Fund, the Elementary and Secondary School Emergency Relief Fund, and the Higher Education Emergency Relief Fund (HEERF).

The CARES Act provides several different methods for distributing roughly $14 billion in funds to institutions of higher education. The most significant portion of that funding allocation provides that $12.56 billion will be distributed to institutions using a formula based on student enrollment. Of the amount allocated to each institution under this formula, at least fifty (50) percent must be reserved to provide students with emergency financial aid grants to help cover expenses related to the disruption of campus operations due to the coronavirus pandemic.  Colleges should not assess any institutional charges, and must make these funds available to students to cover student expenses related to the disruption of campus operations due to coronavirus, such as food, housing, course materials, technology, health care, and child-care expenses.

The remaining fifty (50) percent can be used for institutional expenses due to the disruption of the coronavirus pandemic, to facilitate distance education, and to award additional grants to students.  Institutions will be able to use the institutional Grant funds to cover costs associated with significant changes to the delivery of instruction due to the coronavirus.  The institutional Grant funds must be spent only on those costs for which the institution has a reasoned basis for concluding such costs have a clear nexus to significant changes to the delivery of instruction due to the coronavirus pandemic.  It is permissible for the institution to use the funds for Institutional Costs to reimburse itself for costs related to refunds made to students for housing, food, or other services that the institution could no longer provide, or for hardware, software, or internet connectivity that the institution may have purchased on behalf of students or provided to students.

 

Recipient’s Funding Certification and Agreement

 

In order to access these funds, institutions must sign and return the Recipient’s Funding Certification and Agreement via grants.gov.

BHDI was allocated $20,598.00, half for students and half for the institution.

BHDI completed the Certification and Agreement.  The $10,299.00 funds for the Student Emergency Grant portion were deposited into the BHDI’s bank account on 06/29/2020.  The BHDI also submitted the Certification and  Agreement for the Institutional portion of the Grant and received $10,299.00 funds on 7/29/2020.

At this date, BHDI has distributed $10,299 equally to the 5 students who are participating in the Federal student financial aid programs.

The method used by BHDI to determine which students receive Emergency Financial Aid Grants and how much they would receive was to choose only students who are participating in the Federal student financial aid programs. Therefore 5 were selected. It was decided to distribute equally the funds.

BHDI received these funds from the U.S. Department of Education to provide emergency grants for undergraduate students currently eligible for federal financial aid benefits. The grants are to support students experiencing “unexpected expenses and unmet financial need” due to the coronavirus emergency. The funds may be used for “expenses related to the disruption of campus operations due to the COVID-19 pandemic (including eligible expenses under a student’s cost of attendance, such as food, housing, course materials, technology, health care, or childcare).