Restricted Program to Scholarship

Restricted program guidelines sometimes allow the director/committee of the program to designate an amount of the program funds for scholarships. Program directors need to follow the guidelines in place for the program and for the scholarship.

If program funds are to be used for scholarships, then the director needs to do two things:

1) Prepare and submit for approval a budget revision for the fiscal year in which the program funds are to be transferred and the scholarships are to be awarded. See the example.

2) Inform the Director of Financial Aid Services of the recipients and the amounts for the year (or semester).

The Director will wait for the approved budget revision before releasing the student names and amounts to the advisors for inclusion into the student’s financial aid package.

Also, after the budget revision is approved, the Accountant will make the actual entry to transfer program funds to the scholarship fund, as outlined by the budget revision.

If funds already reside in the scholarship fund, and no transfer of additional program funds is necessary, then a budget revision for use of the funds is not necessary. The Director of Financial Aid Services can see the available funds for the awards.

If the program budget already allows for the transfer of funds for scholarships, then a budget revision is still necessary for the scholarship fund side, and to trigger the actual transfer. Use the example, but eliminate the two lines for the program accounts.