Kentucky colleges learn how much of coronavirus relief millions goes to students
Kentucky students are set to get some financial relief as part of the federal coronavirus relief bill, but which students get it and how much they get will be up to colleges and universities.
The CARES Act, which is a $4.4 trillion stimulus package, allocated $156 million to Kentucky colleges and universities for help with institutional and student financial issues, according to Kentucky Sen. Mitch McConnell’s office. The act provided nearly $14 billion to support U.S. postsecondary education students and institutions, according to the U.S. Department of Education.
In total, the University of Kentucky will receive the most money — $17.8 million — of any school in the state. The University of Louisville was second with $12.5 million. Western Kentucky University will get $10.6 million, Eastern Kentucky University will get $10.5 million, and Galen Health Institutes rounded out the top five with $9.2 million. Galen offers nursing education in Louisville and Hazard.
At least half of the money given to each school has to go to students, according to the U.S. Department of Education.
“Colleges and universities made the tough decisions to cancel in-person classes to protect the health of their communities, causing substantial disruption in the lives of students,” McConnell said in a statement. “Many of these students needed our help, and this urgent grant funding can provide vital support to help them make it through this crisis.”
Money must be used on certain expenses
The money can be used by students to cover “course materials and technology as well as food, housing, health care, and childcare,” the Department of Education said.
“I gave my team a charge as soon as the CARES Act was signed into law: get support to those most in need as quickly as possible,” U.S. Secretary of Education Betsy DeVos said in a letter sent to college and university presidents Thursday.
“That starts with college students whose lives have been disrupted, many of whom are facing financial challenges and struggling to make ends meet.”
How students get paid is up to schools
The CARES Act leaves a lot of the decision-making for distribution to the institutions.
“Each institution may develop its own system and process for determining how to allocate these funds, which may include distributing the funds to all students or only to students who demonstrate significant need,” DeVos said.
The only stipulation is that the money has to be used to cover expenses related to educational disruption, DeVos said.
“I would like to encourage the leadership of each institution to prioritize your students with the greatest need, but at the same time consider establishing a maximum funding threshold for each student to ensure that these funds are distributed as widely as possible,” DeVos said.
DeVos recommended that schools use the maximum Federal Pell Grant payout – $6,195 – as a maximum threshold for students.
Institutions must certify they will distribute the funds as required before they can access the money. It’s then up to them to determine distribution.
UK will have about $8.9 million to disburse to students.
“We are engaging in our budget process now for the next fiscal year,” UK spokesman Jay Blanton said in a statement. “President Capilouto has directed us to think strategically about how we can leverage even more resources toward the unmet financial need of our students. Our students always come first.”
He pointed to the UK LEADS program as an example of the university’s past efforts to help provide for students’ financial needs.
At the University of Louisville, about $6.23 million will be allocated to emergency financial aid grants for students, but the criteria for students to receive the money is still being worked out, said UofL Chief Financial Officer Dan Durbin.
“These general guidelines were just made available late yesterday, and we are seeking additional clarification on their use from both the Department of Education and Council on Postsecondary Education in addition to attempting to access the dollars themselves,” Durbin said in an email. “More definitive plans will be made available to our students once we gain this additional insight and secure the funds.”
EKU Interim President Dr. David McFaddin issued a statement saying that the university “recognizes the great financial need many of our students face, and we know the COVID-19 epidemic has stretched resources even further both for our students and our institution.
“We have established processes in place to evaluate student need and to quickly distribute funds to assist our students with critical expenses. We are greatly appreciative of the additional funding to support our ongoing efforts to provide relief to students in any way we can.”
Total allocations for all Kentucky colleges and universities can be found at https://www2.ed.gov/about/offices/list/ope/allocationsforsection18004a1ofcaresact.pdf.
Schools have also begun to take their own measures to help students. Morehead State University announced a tuition rate freeze for next academic year, as well as a waiver of standardized test requirements to be admitted to the school for the fall 2020 semester.
MSU also said it would offer online summer courses, fall courses in a “variety of formats,” and reduce graduate tuition in the college of education by nearly $200 per credit hour for the next five years.
This story was originally published April 10, 2020 at 3:21 PM.