Section 2700.20  Definitions

 

"Academic Level" – The classification of a student as a freshman, sophomore, junior, senior, or graduate student.

 

"Academic Year" – In relation to scholarship and grant programs, a 12 month period of time, normally from August or September of any year through August or September of the ensuing year.  In relation to the Federal Family Education Loan Program, academic year is defined at section 481(d)(2) of the Higher Education Act of 1965, as amended (HEA), and at 34 CFR 668.3.

 

"Alternative Application for Illinois Financial Aid" or "Alternative Application" – The FAFSA substitute application for State student aid and benefits under the Retention of Illinois Students and Equity (RISE) Act that may be used only as an alternative to the FAFSA, when appropriate, and shall be substituted accordingly for the FAFSA when FAFSA is referenced in ISAC rules.  This application is appropriate for use by an applicant who is an Illinois resident and who is not otherwise eligible for federal financial aid, including, but not limited to, an eligible noncitizen applicant as defined in this Section.

 

"Alternative Application for Illinois Financial Aid Receipt Date" – The date upon which ISAC receives an applicant's initial Alternative Application for an academic year.  For a paper Alternative Application sent through the U.S. Postal Service, the receipt date will be the postmark date.

 

"Alternative Loan" – Any educational loan made or purchased by ISAC other than a loan made pursuant to Title IV of the Higher Education Act of 1965, as amended (20 U.S.C. 1071), or any other federal statute providing for federal insurance of education loans to borrowers.

 

"Applicant" – Any individual who requests ISAC consideration for a scholarship, grant, tuition waiver, or guaranteed or alternative loan.

 

"Approved High School" – Any public high school located in this State; and any high school, located in this State or elsewhere (whether designated as a high school, secondary school, academy, preparatory school, or otherwise) which in the judgment of the State Superintendent of Education provides a course of instruction at the secondary level and maintains standards of instruction substantially the equivalent of those public high schools located in this State. (Section 10 of the Higher Education Student Assistance Act [110 ILCS 947/10])

 

"Armed Forces" – The United States Army, Air Force, Navy, Marines and Coast Guard.

 

"Blanket Certificate of Loan Guaranty" – A process that permits an eligible lender to make loans without receiving prior approval from ISAC for individual loans to eligible borrowers enrolled in eligible programs at eligible institutions, as authorized by section 428(n) of the HEA.

 

"Chargeback" – Payment of tuition by the community college district of a student's residence to the community college district of a student's attendance.  (See 110 ILCS 805/6-2.)

 

"Citizen" – One who, under the Constitution and laws of the United States, is a native-born or naturalized citizen of the United States of America.

 

"College Savings Bond" – A State of Illinois general obligation, zero coupon bond, issued pursuant to the Baccalaureate Savings Act [110 ILCS 920] as a long-term education savings instrument.

 

"Co-maker" – One of the 2 individuals who are joint borrowers either on a Federal PLUS Loan (parent borrowers) that was certified prior to January 1, 1995 or on any Federal Consolidation loan (married borrowers) and who are equally liable for repayment of the loan.  (See 34 CFR 682.200.)

 

"Commission" – The 10 member Illinois Student Assistance Commission created by Section 15 of the Higher Education Student Assistance Act [110 ILCS 947].

 

"Compound Accreted Value" – An amount equal to the original amount plus an investment return accrued to the date of determination at a semiannual compounding rate that is necessary to produce the yield at maturity indicated on the Official Statement that was issued when the college savings bonds were sold.  The "Compound Accreted Value at Maturity" will be equal to $5000 or an integral multiple thereof.

 

"Concurrent Registration" – The simultaneous enrollment at 2 or more higher education institutions.

 

"Consolidation" – A federal program under which a borrower may receive a single new loan that refinances one or more outstanding qualified education loans under new terms and conditions, as authorized by section 428C of the HEA.

 

"Consortium Agreement" – The written agreement between two or more ISAC-eligible institutions whereby the host institution provides part of the education program of students enrolled at the home institution, as codified in Section 2700.80.

 

"Consumer" – Any person who purchases or contracts for the purchase of educational planning services.  [815 ILCS 616/15]

 

"Contractual Agreement" – The written agreement between an eligible institution and a school or organization that is not eligible for participation in ISAC-administered programs whereby the non-eligible institution serving as the host institution provides part of the education program of students enrolled at the ISAC-eligible home institution, as codified in Section 2700.80. 

 

"Correctional Officer" – An employee of the Illinois Department of Corrections (DOC) who is assigned to a security position with the Department, and who has responsibility for inmates of any correctional institution under the jurisdiction of the Department.

 

"Correspondence Course" – A home study course provided by an institution under which the institution provides instructional materials, including examinations on the materials, to students who are not physically attending classes at the institution, as defined at 34 CFR 600.2.

 

"Co-signer" – A person who is secondarily liable for the repayment of an Alternative Loan.

 

"Cost of Attendance" – For the purposes of ISAC's rules, this term is defined at section 472 of the HEA (20 U.S.C. 1087ll).

 

"Cumulative Grade Point Average" – The average grade earned throughout a student's applicable secondary or postsecondary educational program.  The calculation shall be consistent with the institution's established policy or practice and shall be the same as that completed for admission, placement or other similar purposes.

 

"Default Status" – The failure of a borrower or endorser (if any) to make an installment payment when due or to meet other terms of the promissory note as defined at 34 CFR 682.200.

 

"Delinquency" – For the purposes of ISAC's rules, this term is defined at 34 CFR 682.411(b).

 

"Dependent Student" – A scholarship, loan, tuition waiver or grant applicant or recipient who is not classified as an independent student.

 

"Disbursement" – In relation to scholarship and grant programs, a disbursement occurs on the payment voucher date.  In relation to the Federal Family Education Loan Program, disbursement is the process of transferring loan proceeds as defined at 34 CFR 682.200.

 

"Displaced Energy Worker" – An energy worker who has lost employment due to the reduced operation or closure of a fossil fuel power plant or coal mine.  [20 ILCS 735-10/30]

 

"Distance Education" – A type of education that meets the definition of distance education found at 34 CFR 600.2 that uses one or more technologies to deliver instruction to students who are separated from the instructors and that provides substantive interaction between the students and the instructors.

 

"ED" – The acronym for the United States Department of Education.

 

"Educational Institution" – Unless otherwise qualified, any secondary or postsecondary educational organization that enrolls students who participate in ISAC programs.

 

"Educational Lender" – An institution that meets the lender eligibility criteria outlined in 23 Ill. Adm. Code 2720.25 for FFELP Loans and 2721.40 for alternative loans.

 

"Educational Planning Service Provider" – Any person or entity engaging in or holding itself out as engaging in the business of providing educational planning services in exchange for any fee or compensation or any person who solicits or acts on behalf of any person or entity engaging in or holding itself out as engaging in the business of providing educational planning services in exchange for any fee or compensation.  "Educational Planning Service Provider" does not include any of the following:

 

An institution of higher learning, as defined in the Higher Education Student Assistance Act, and the individuals employed by that institution where educational planning services are provided as part of the financial aid or career counseling services offered by the institution,

 

Public entities and their officers while acting in their official capacities, or

 

Persons acting on behalf of a consumer under court order or as a legal representative.  [815 ILCS 616/15]

 

"Educational Planning Services" – College and career preparatory planning services, including, but not limited to, advice regarding and assistance with college and career searches; college application preparation or submission; financial aid application planning, preparation, or submission; and scholarship searches and applications.  [815 ILCS 616/15]

 

"EFT" – The acronym for electronic funds transfer.

 

"Eligible Noncitizen" – A noncitizen who is eligible for federal student assistance pursuant to section 484 of the HEA (20 U.S.C. 1091); or a noncitizen or person who is not a permanent resident of the United States, who does not meet the eligibility criteria for federal student assistance pursuant to section 484 of the HEA but who meets all of the following criteria:

 

the individual resided with a parent or guardian while attending a public or private high school in this State;

 

the individual graduated from a public or private high school or received the equivalent of a high school diploma in this State;

 

the individual attended school in this State for at least 3 years as of the date the individual graduated from high school or received the equivalent of a high school diploma in this State;

 

the individual provides an affidavit stating that the individual will file an application to become a permanent resident of the United States at the earliest opportunity the individual is eligible to do so; and

 

the individual has not established a residence outside of this State.

 

"Endorser" – A person fitting the definitions found at 34 CFR 682.200 or 34 CFR 685.102(b) who is secondarily liable for the repayment of a federal student loan.

 

"Enrolled" – The status of a student who has completed the institution's registration requirements and is attending classes.

 

"Executive Director" – The chief executive officer of ISAC.

 

"FAFSA" – The acronym for the Free Application for Federal Student Aid (FAFSA®).

 

"FAFSA Receipt Date" – The date reported by ED's processor as the date upon which it receives an applicant's initial FAFSA for an academic year.  For paper FAFSA's sent through the U.S. Postal Service, this is the date of physical receipt at the processor, not the postmark date.

 

"Federal Regulations" – Refers to regulations promulgated by ED and codified at 34 CFR 600.

 

"FFELP" – The acronym for the Federal Family Education Loan Program, as authorized by section 421 of the HEA, including subsidized and unsubsidized Federal Stafford Loans, Federal PLUS Loans, Federal SLS Loans and Federal Consolidation Loans.

 

"Fire Officer" – For the purposes of ISAC's rules, this term means a firefighter who is employed by, or in the voluntary service of, this State or any public entity in this State.

 

"Foreign Missionary" – An individual who is assigned duty outside of the United States by an organization that engages in educational, philanthropic, humanitarian or altruistic works.  The missionary organization must be exempt from the payment of federal taxes and must have been engaged in placing foreign missionaries for at least 5 years. Examples of such missionary organizations include, but are not limited to, the following:  Peace Corps, Evangelical Alliance Mission, etc.

 

"Full-time Student" – In relation to scholarship and grant programs, an individual enrolled for 12 or more credit hours, for either a semester or quarter term.  In relation to the Federal Family Educational Loan Program, full-time student is defined at 34 CFR 668.2(b).

 

"Gift Assistance" – Student assistance funds in the form of a scholarship, grant or tuition waiver, including, but not limited to, federal, State, institutional and private aid.

 

"Golden Apple Scholars of Illinois" – A private, not-for-profit program under the auspices of the Golden Apple Foundation that recruits, prepares and provides financial assistance to high school graduates to pursue postsecondary education for careers as teachers for particular Illinois schools.

 

"Good Moral Character" – An applicant is of good moral character if the applicant will benefit from postsecondary instruction and is allowed to enroll at an approved postsecondary institution.

 

"Graduating Class" – The students who will complete the high school's program of instruction and graduate within an academic year.

 

"Guaranteed Loan" – Loan assistance through the Federal Family Education Loan Program (FFELP) that includes the subsidized and unsubsidized Federal Stafford Loan, the Federal PLUS Loan, the Federal Supplemental Loans for Students (SLS), and the Federal Consolidation Loan programs.

 

"Half-time Student" – In relation to scholarship and grant programs, an individual enrolled for 6 or more credit hours (but fewer than 12 credit hours) for either a semester or quarter term.  In relation to the Federal Family Education Loan Program, half-time student is defined at 34 CFR 668.2(b).

 

"HEA" – The acronym for the Higher Education Act of 1965, as amended (20 U.S.C. 1070).

 

"Holder" – An organization authorized by ED and ISAC to purchase or retain possession of guaranteed loans.  These organizations operate as commercial and educational lenders or secondary markets and may purchase ISAC-guaranteed loans from approved lenders.

 

"Home Institution" – The institution of higher learning where the student is enrolled in a degree or certificate program and is the institution of record in a consortium or contractual agreement.

 

"Host Institution" – The institution where part of a student's program requirements is being taken through either a consortium or contractual agreement with a home institution. 

 

"IBHE" – The acronym for the Illinois Board of Higher Education, the administrative agency created by the Board of Higher Education Act [110 ILCS 947/205].

 

"IDAPP" – The acronym for ISAC's Illinois Designated Account Purchase Program as authorized by the Education Loan Purchase Program Law [110 ILCS 947/125 through 170].

 

"Independent Student" – For the purposes of ISAC's rules, this term is defined at 34 CFR 668.2(b).

 

"Institution" – Unless otherwise qualified, any secondary or postsecondary educational organization that enrolls students who participate in ISAC programs.

 

"Institution of Higher Learning" – An educational organization whose main campus is physically located in Illinois that provides:

 

at least a 2-year program of collegiate study in liberal arts or sciences directly applicable toward the attainment of a baccalaureate degree;

 

an associate degree directly applicable toward the attainment of a baccalaureate degree;

 

a program that is directly applicable toward the attainment of a certificate or other credential; or

 

a program in health education directly applicable toward the attainment of a certificate, diploma, or an associate degree; and

 

is operated:

 

by the State;

 

publicly or privately, not for profit; or

 

for profit, provided it:

 

offers degree programs that have been approved by the IBHE for a minimum of 3 years under the Academic Degree Act [110 ILCS 1010];

 

enrolls a majority of its students in these degree programs; and

 

maintains accredited status with the Higher Learning Commission of the North Central Association of Colleges and Schools.

 

For otherwise eligible educational organizations that provide academic programs for incarcerated students, the term "institution of higher learning" shall specifically exclude academic programs for incarcerated students (Section 10 of the Higher Education Student Assistance Act).  For eligible institutions with campuses in multiple states, the term "institution of higher learning" shall include only those campuses located in Illinois.

 

"Institution of Record" – The postsecondary institution at which a student is enrolled and seeking a degree or certificate.  This institution assumes primary responsibility for certification of eligibility for ISAC-administered programs and for requesting payment from ISAC.

 

"ISAC" – The acronym for the Illinois Student Assistance Commission, the administrative agency created by Section 15 of the Higher Education Student Assistance Act [110 ILCS 947] to administer student assistance programs.

 

"ISBE" – The acronym for the Illinois State Board of Education, the administrative agency created by the School Code [105 ILCS 5].

 

"Lender" – An organization authorized by ISAC to make educational loans to students.

 

"Mandatory Fees" – The charges assessed by an institution that are required to deliver educational services to students for each term, regardless if a student is attending either on campus or through distance education.  Application, graduation, laboratory, breakage, and add/drop fees, as well as program administrative fees for out-of-state or foreign study are specifically excluded.  For the purposes of ISAC's rules, tuition is not a mandatory fee.

 

"MAP" – The acronym for the Monetary Award Program administered by ISAC, as authorized by Section 35 of the Higher Education Student Assistance Act and codified at 23 Ill. Adm. Code 2735.

 

"Master Check" – A single check representing the loan proceeds for more than one borrower.

 

"Minority Student" – A student who is either Black (a person having origins in any of the black racial groups in Africa); Hispanic (a person of Spanish or Portuguese culture with origins in Mexico, South or Central America, or the Caribbean Islands, regardless of race); Asian American (a person with origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, including Pakistan, and the Pacific Islands, including, among others, Hawaii, Melanesia, Micronesia and Polynesia); or Native American (a person who is a member of a federally or state recognized Indian tribe, or whose parents or grandparents have such membership) and to include the native people of Alaska (Section 50(a) of the Higher Education Student Assistance Act).

 

"Occupational or Career and Technical Certificate" – A credit award for satisfactory completion of a prescribed curriculum intended to prepare an individual for employment in a specific field.

 

"Parent" – For the purposes of ISAC's rules, this term is defined at 34 CFR 668.2(b).

 

"Pell Grant" – A federal gift assistance program administered by ED in accordance with section 401 of the HEA (20 U.S.C. 1070a).

 

"PLUS" – The federal program that provides loans to graduate students or parents of certain undergraduate students, as authorized by section 428B of the HEA (20 U.S.C. 1078-2) and Sections 80 through 175 of the Higher Education Student Assistance Act [110 ILCS 947].

 

"Police Officer" – For the purposes of ISAC's rules, this term means a law enforcement officer who is employed by, or in the voluntary service of, this State or any public entity in this State.

 

"Qualified Applicant" – An individual who meets the eligibility requirements of the gift assistance program for which the applicant is applying.

 

"Qualified Bilingual Minority Applicant" – A qualified student who demonstrates proficiency in a language other than English by:

 

receiving a State Seal of Biliteracy from the State Board of Education or

 

receiving a passing score on an educator licensure target language proficiency test (Section 50(a) of the Higher Education Student Assistance Act).

 

"Regular School Year" – An 8 to 9 month period of time that includes 2 semester terms or 3 quarter terms. The regular school year excludes summer terms.  Terms that begin after April 15 and end before September 16 are considered summer terms.

 

"Remedial Courses" – The course work that prepares a student for study at the postsecondary level and is necessary for the student to pursue the eligible postsecondary program.

 

"Resident of Illinois" –

 

A dependent student is a resident of Illinois if the parent of the dependent-applicant who is required by the instructions to complete the FAFSA or the Alternative Application for Illinois Financial Aid, physically resides within the State of Illinois, and Illinois is the parent's true, fixed and permanent home.

 

An independent student is a resident of Illinois if the applicant physically resides within the State of Illinois (at the time of application), and has so resided for a period of 12 continuous, full months immediately prior to the start of the academic year for which assistance is requested and Illinois is their true, fixed and permanent home.

 

When an applicant does not qualify as a resident of Illinois under the preceding 2 paragraphs and the applicant is a member of the U.S. Armed Forces or a foreign missionary, or is the dependent or the spouse of an individual who is a member of the U.S. Armed Forces or a foreign missionary, or is a dependent student required to list an out-of-state parent contributor on the FAFSA form, then the applicant's residency shall be determined in accordance with the following:

 

An applicant who is a member of the U.S. Armed Forces will be a resident of Illinois if the applicant physically resided in Illinois immediately prior to entering the U.S. Armed Forces, returned (or plans to return) to Illinois within 6 months after and including the date of separation and can demonstrate (pursuant to Section 2700.50(f) and (g)) that the applicant's domicile was the State of Illinois throughout such enlistment.

 

An applicant who is a foreign missionary will be a resident of Illinois if the applicant physically resided in Illinois for 6 continuous months immediately prior to entering missionary service, returned (or plans to return) to Illinois within 6 months after the conclusion of missionary service, and can demonstrate (pursuant to Section 2700.50(f) and (g)) that the applicant's domicile was the State of Illinois throughout the missionary service.

 

The dependent-applicant shall be a resident of Illinois notwithstanding the parents' temporary physical absence from Illinois provided the parents would be a resident of Illinois under the preceding 2 paragraphs.

 

The spouse-applicant shall be a resident of Illinois immediately upon physically occupying a dwelling within the State of Illinois provided it can be demonstrated that the applicant's absence from the State was the result of residing with the spouse during enlistment or missionary service outside of Illinois and that the spouse-applicant's domicile continues to be the State of Illinois.

 

An applicant who is a dependent student and physically resides in the State of Illinois with a parent but is required to list an out-of-state parent contributor on the FAFSA form will be considered a Resident of Illinois for the purpose of ISAC gift assistance in accordance with Section 2700.50(e)(3).

 

"Rules" – The rules of ISAC codified at 23 Ill. Adm. Code:  Subtitle A, Chapter XIX.

 

"Satisfactory Academic Progress" – An institutional policy that establishes minimum standards of academic performance.  For purposes of ISAC-administered programs, the standards must be at least as stringent as those required by ED pursuant to section 484 of the HEA (20 U.S.C. 1091).

 

"Service Academy" – The U.S. Air Force Academy, the U.S. Coast Guard Academy, the U.S. Military Academy or the U.S. Naval Academy (Section 30(a) of the Higher Education Student Assistance Act).

 

"SLS" – The acronym for the federal Supplemental Loans for Students Program, as authorized by section 428A of the HEA (20 U.S.C. 1078-1).  No SLS loans have been made for periods of enrollment beginning on or after July 1, 1994.

 

"Special Education" – A postsecondary educational program designed to teach persons how to meet the needs of all children designated as physically disabled, with specific learning disabilities, or requiring extraordinary special education services and facilities.  (See 105 ILCS 5/14-1.02 and 7.20a.)  These programs prepare persons for meeting the needs of children who exhibit disabilities or exceptional characteristics ranging from very mild to very severe.  (See 23 Ill. Adm. Code 226, Special Education.)  Such a program prepares a student to teach children with disabilities or children with learning disabilities. (See 105 ILCS 5/14-1.02 and 1.03a.)

 

"Stafford" – The federal subsidized and unsubsidized loan programs as authorized by sections 427, 428 and 428H of the HEA (20 U.S.C. 1078).

 

"State of Illinois High School Diploma" – A diploma received after successfully completing high school equivalency testing or an alternative method of credentialing as defined in Section 3-15.12 of the School Code [105 ILCS 5].

 

"Student Aid Index" – An eligibility index number used to determine a student's eligibility for some financial aid programs.  Student Aid Index, as described at Section 474 of the HEA (20 U.S.C. 1087oo), is used to determine a student's eligibility for ISAC programs that have a need component.

 

"Student Beneficiary" – An individual designated as the recipient of a College Savings Bond Bonus Incentive Grant.

 

"Teacher Education Program" – An undergraduate postsecondary course of study that, upon completion, qualifies a student to be certified as a pre-school, elementary or secondary teacher by a state board of education or its equivalent (including the Illinois State Board of Education).  For a student who has completed less than 4 semesters/6 quarters of postsecondary study, this includes a postsecondary course of study that leads to a teacher education program.

 

"Teacher Shortage Discipline" – An academic discipline in which a shortage of teachers exists in Illinois, as designated by the Illinois State Board of Education.

 

"Term" – A unit of time for student attendance, including, but not limited to, a quarter or semester.

 

"Tuition" – The charge for instruction assessed by an institution.

 

"Verification" – Procedures implemented by postsecondary institutions to verify the eligibility of applicants.  The procedures are established by subpart E of 34 CFR 668 and by ISAC's rules.

 

(Source:  Amended at 48 Ill. Reg. 12551, effective August 1, 2024)