Louisiana immediately halts TOPS payments to colleges, universities in face of budget crisis
The Louisiana Office of Student Financial Assistance alerted colleges and universities Thursday that they were stopping TOPS payments immediately because of uncertainty related to the state budget.
“Due to the possibility of state budget cuts, all TOPS payments are being suspended until further notice,” said an email that went out to all TOPS eligible institutions at 3 p.m. “More details will be provided as information becomes available.”
What that means for students and parents is that every student who is currently receiving a TOPS scholarship could end up owing the remainder of the semester’s tuition that’s not already paid.
“In other words, if nothing changes, TOPS awardees will owe tuition to their schools for the current semester,” said Jason Droddy, executive director of policy and external affairs for LSU.
Gus Wales, a spokesman for LOSFA, said the email was sent out as a “precautionary measure, until we learn more about the implications of the potential budget cuts.”
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Advocate staff photo by PATRICK DENNIS --Governor John Bel Edwards speaks during a forum hosted by Louisiana Association of Educators -- teachers and other public school employees sounding off on their education needs. Live video: Watch Gov. John Bel Edwards' statewide address on Louisiana budget problems; 6:30 p.m. Thursday
Special report: Once geared toward poor, black students, now major shift in TOPS beneficiaries
TOPS, short for the Taylor Opportunity Program for Students, is Louisiana’s popular college scholarship program which generally covers tuition for in state students who meet mid-level academic benchmarks.
Students don’t receive reimbursements for their TOPS scholarships directly. Rather, schools will bill LOSFA for payments of those who are TOPS eligible.
Wales said schools start to bill their office anytime after the 14th day of the semester.
“You’re just now starting to see the billing for the spring semester,” Wales said.
The Louisiana Legislature is preparing to meet in special session to try to close what Gov. John Bel Edwards said is the largest mid=year budget shortfall in state history. The shortfall is being estimated at updwards of $850 mill ion for the four months left in the fiscal year.
Of that shortfall, $28.3 million is from TOPS cost to the state coming in over budget.
http://theadvocate.com/news/education/14849227-123/state-halts-tops-payments-to-colleges-universities-in-face-of-budget-crisis