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For the Academic Year 2025–26, important policy changes to State aid programs address repeat coursework, mandatory fees, and consortium agreements. These updates are designed to simplify the administration of aid and ensure consistent practices across all institutions. The revised policies will be included in the 2025–26 edition of the State Programs Procedures Manual.
Acceptable Courses and Repeat Coursework
Repeating coursework to achieve a passing grade
- Allows for a previously passed course to be repeated a maximum once per course. In cases where institutional or program-specific polices require a higher qualitative grade or measure to be recognized as a passing mark, a student may continue to be awarded State financial aid.
Mandatory Fees
For all State financial aid programs, “Mandatory fees” must be fees specified in the institution’s course catalog as a condition of enrollment and/or required for the student’s completion of an eligible certificate or degree (such as online fees and lab fees required for course enrollment). Allowable fees covered by State financial aid programs must not include any fees that a student or students may opt-out of.
Consortium Agreements
Consortium agreements offer students the opportunity to take courses at a different institution (called a “host” institution) while earning credits that can count towards the student’s degree at their home institution. A consortium agreement can be a blanket agreement between two or more eligible institutions, or it can be written for a specific student. Such an agreement is often used when a student takes related courses at neighboring institutions or when a student is enrolled in an exchange program with another eligible institution for a semester/term or more. An institution could have one agreement for each student, a separate agreement with each host institution, or a blanket agreement with a group of institutions.
Under a consortium agreement, a student may take courses at another institution and have them count toward the degree or certificate at the home institution. If a home institution has a signed consortium agreement with the host institution (either as a blanket or individual) the courses taken at the host institution should be treated as though the student is taking them at their home institution – both for enrollment purposes and award amounts. For the purposes of administering State financial aid, the home institution must maintain information on the student’s eligibility, how the award is calculated, disburse the aid, and any other documentation associated with the award, even if the documentation comes from other institutions.
For the following programs that cover a community college’s “in-district” tuition rate, the scholarship must be awarded at the home institution’s in-district rate minus gift aid for credit hours taken as part of a consortium:
- Futures for Frontliners/Path II
- Michigan Achievement Scholarship Community College Guarantee
- Michigan Reconnect/Expansion
- Tuition Incentive Program
Notes:
- If the host institution’s tuition rate is less than the home institution’s in-district tuition rate, the lesser of the two rates must be used when calculating the award.
- A ‘TIP Phase I’ home institution may award TIP Phase I at the home institution’s out-of-district rate for approved out-of-district students.
- A ‘TIP Phase II Only’ institution may not submit a Phase I reimbursement request.
- A ‘TIP Phase I and Phase II’ institution may only submit a Phase I reimbursement request for a consortium student if the student meets the requirements for Phase I at the home institution.
- Students enrolling in courses offered through Michigan Colleges Online (MCO) must be treated the same as consortium tuition charges.
The Michigan Department of Lifelong Education, Advancement, and Potential is not affiliated with National Merit Scholarship Corporation or its registered trademarks National Achievement®, Achievement Scholarship®, or Achievement Scholar®.
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