Effective in the fall of 2013, the Yuba Community College District including Yuba College and Woodland Community College, will suspend the Federal Student Loan Program. The U.S. Department of Educa-tion’s policy would be to revoke a college’s ability to participate in any Federal Financial Aid program, including Pell Grants, FSEOG, and Federal Work Study, because of excessive default rates. The decision by the College and its Board of Trustees to suspend the Federal Student Loan Program was made in an effort to protect the availability of future Federal Financial Aid. The Board of Trustees has formed a Committee to assess its decision through data analysis for future years.
The Board’s action to suspend Federal Student Loans will protect all Federal student aid, including Pell Grant, meaning that eligible students will still be able to receive all Federal Grants as well as State Cal Grants.
Only 236 Yuba College students and 39 Woodland Community College students participated in the Federal Student Loan program in 2012-2013, whereas 5,270 Yuba College students and 1,560 Woodland Community College students received other forms of Federal and State Financial Aid, totaling more than $33,000,000. Yuba College’s draft default rate for former students currently exceeds Federal lim-its. Should YCCD’s colleges lose eligibility to participate in Federal Financial Aid programs, thousands of students would be turned away.
College Administrators will assist students who rely on the Federal Student Loan Program to identify alternative financial aid solutions.
The Yuba Community College District spans eight counties and nearly 4,200 square miles of territory in rural, north-central California. Colleges in Yuba and Yolo Counties and campuses in Colusa, Lake and Sutter Counties and outreach services at Beale Air Force Base provide degrees, certificates and trans-fer curricula to 15,000 students annually. P