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How value‑added earnings, liabilities and Pell restoration will work under proposed Workforce Pell rules
Summary
Department negotiators clarified that value‑added earnings will set award‑year eligibility, that programs found ineligible may trigger liabilities for Pell Grant amounts disbursed during that award year, and that repayment restores students' lifetime Pell eligibility units in the COD system.
Department of Education negotiators used examples to explain how value‑added earnings (VAE) and award‑year timing determine eligibility and institutional liability under the proposed Workforce Pell rules.
The Department said VAE calculations will be released and applied to the next award year; as a result, a program that fails to meet the VAE threshold would become ineligible at the beginning of that award year. Department staff stated: "The Secretary will assess a liability for amounts paid to the institution for the program during the award year…
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