ARC 9388C

ARC 9388C

Proposing rulemaking related to Iowa work-study program
and providing an opportunity for public comment

The Administrative Rules Coordinator provided preclearance for the publication of this Notice of Intended Action on April 11, 2025.

A Regulatory Analysis for this rulemaking was published in the Iowa Administrative Bulletin on March 19, 2025. A public hearing was held on the following date(s):

●April 8, 2025

No public comments on the Regulatory Analysis were received at the public hearing or in writing.

Any persons who intend to attend a public hearing and have special requirements, such as those related to hearing or mobility impairments, should contact the Commission and advise of specific needs.

ITEM 1.Rescind 283—Chapter 18 and adopt the following new chapter in lieu thereof:

CHAPTER 18

IOWA WORK-STUDY PROGRAM

283—18.1(256) Basis of aid. Assistance available under the Iowa work-study program is based on the financial need of Iowa residents enrolled at eligible postsecondary education institutions.

283—18.2(256) Definitions.

“Eligible postsecondary education institution” means the same as defined in Iowa Code section 256.207 and described in rule 283—18.6(256).

“Financial metric” means the same as defined in 283—Chapter 10.

“Financial need” means the same as defined in 283—Chapter 10.

“Full-time” means the same as defined in 283—Chapter 10.

“Iowa resident” means the same as defined in 283—Chapter 10.

“Part-time” means enrollment in at least 6 but fewer than 12 hours per semester or the equivalent.

“Program of study” means the same as defined in 283—Chapter 10.

“Satisfactory academic progress” means the same as defined in 283—Chapter 10.

283—18.3(256) Administrative procedures.

18.3(1) Alignment with federal work-study regulations. To facilitate efficient administration, the commission hereby adopts the federal work-study regulations found at 34 CFR Part 675, Subpart A, as of July 1, 2024. Provisions of the federal regulations adopted include:

a.Selection of students for employment (34 CFR §675.10),

b.Payments to students (34 CFR §675.16),

c.Fiscal procedures and records (34 CFR §675.19),

d.General employment conditions for institutional employment, including civil rights requirements, state worker compensation laws, and social security requirements (34 CFR §675.20(c) and (d)),

e.Institutional employment (34 CFR §675.21), and

f.Wage administration (34 CFR §675.24).

18.3(2) No transfer of funds. An eligible postsecondary education institution must administer state-funded work-study funds for Iowa residents in the same manner as the institution administers its federal work-study program, except that state funds cannot be transferred to other student aid programs or across state fiscal years.

18.3(3) Employment restrictions. The creation of work-study opportunities will not result in the displacement of employed workers or impair or affect existing contracts for services, and the funding used by an eligible postsecondary education institution will supplement and not supplant jobs and existing financial aid programs provided to students.

283—18.4(256) Eligible applicant. An eligible applicant is an Iowa resident who is enrolled full-time or part-time in a program of study at an eligible postsecondary education institution, is employed at an eligible postsecondary education institution, and meets the program eligibility criteria in Iowa Code section 256.208 and the following provisions:

18.4(1) Completes the Free Application for Federal Student Aid and any other application the eligible postsecondary education institution deems necessary on or before the date established by the eligible postsecondary education institution.

18.4(2) Establishes financial need, has an eligible financial metric, meets satisfactory academic progress standards, and does not meet a condition in 283—subrule 10.3(1).

283—18.5(256) Awarding of funds.

18.5(1) Selection criteria. Eligible postsecondary education institutions will document the consistent processes by which they select eligible applicants to receive awards.

18.5(2) Maximum award. The maximum award for full-time students will not exceed the student’s financial need.

18.5(3) Awarding process.

a.The commission will provide notice of the eligibility criteria, distribute funding allocations, and request acceptance of the funding allocation from each eligible postsecondary education institution annually. Eligible postsecondary education institutions will accept or decline the funding allocation by the deadline established by the commission.

b.Funding allocations that are declined or unspent by the date the commission deems necessary will be reallocated to participating eligible postsecondary education institutions.

c.Eligible postsecondary education institutions will notify recipients of the awards, clearly indicating the award amount and the state program from which funding is being provided and stating that the award is contingent on the availability of state funds.

d.Eligible postsecondary education institutions will distribute awards as eligible applicants complete their employment obligations.

e.Eligible postsecondary education institutions will provide information about the awards earned by eligible applicants to the commission in a format specified by the commission at the end of each semester or the equivalent. If all allocated funds are not spent by an eligible postsecondary education institution by the end of the year, those unspent funds may be deducted from the eligible postsecondary education institution’s subsequent allocation.

f.Eligible postsecondary education institutions are responsible for completing necessary verification and for coordinating other aid to ensure compliance with student eligibility criteria and allowable award amounts. Eligible postsecondary education institutions will report changes in student eligibility to the commission.

283—18.6(256) Eligible postsecondary education institution eligibility.

18.6(1) Application. A nonparticipating eligible postsecondary education institution will request participation using the commission’s designated application. The institution will meet the eligibility criteria in Iowa Code section 256.207 at the time the application is submitted.

18.6(2) Deadline to apply. Nonparticipating eligible postsecondary education institutions seeking to participate in the Iowa work-study program will submit applications on or before October 1 of the year prior to the beginning of the academic year for which the nonparticipating eligible postsecondary education institutions are applying for participation.

18.6(3) Compliance audits. The commission will periodically investigate and review compliance of eligible postsecondary education institutions participating in this program with the criteria established in Iowa Code chapter 256 and this rule. If the commission finds that an eligible postsecondary education institution fails to comply with the provisions of Iowa Code sections 256.206 through 256.209 or this rule, participation in the Iowa work-study program may be suspended.

These rules are intended to implement Iowa Code sections 256.206 through 256.209.