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03.400 Scholarships, Fellowships, and Monetary Awards to Students

The purpose of this policy is to establish a policy and procedure governing scholarships, fellowships, and other monetary awards paid to students in order to comply with federal requirements and ensure effective management.

Authority:

Provost and Vice Chancellor for Academic Affairs

History

Updated March 20, 2026; Updated and Reformatted December 17, 2009; revised March 27, 2003; Effective: September 6, 2001; supersedes former Policy No. FIN1.10

Source of Authority:

UNC Policy Manual 800.5.1[R]

Related Links:

Scholarships & Financial Aid Forms

Responsible Office:

UNCW Office of Scholarships & Financial Aid

Policy Details:

  1. PURPOSE

    The purpose of this policy is to establish a policy and procedure governing scholarships, fellowships, and other monetary awards paid to student in order to comply with federal requirements and ensure effective management.

  2. POLICY

    1. Definitions

      1. Financial Aid - Any amount paid or benefit provided toward a student's educationally related expenses. Educationally related expenses include: tuition and fees, room and board, books, travel expenses, dependent care, study abroad, expenses related to a student's disability, personal expenses, and miscellaneous expenses. If payment is made as a result of the individual's employment in a job (e.g., Outstanding Student Employee Award), that payment is not considered financial aid.

      2. Scholarship – Generally an amount of $500 or more paid for the benefit of an undergraduate student to aid in the pursuit of studies. UNCW scholarships generally fall under either of the following groups:

        1. Grant/contract supported scholarships that are: part of a larger grant/contract, are awarded specifically for financial aid, and are subject to review and approval by the Office of Sponsored Programs.

        2. All other scholarships are generally established through University Advancement, are supported through a signed donor agreement and are assigned a Banner Finance Fund.

      3. Fellowship – Generally an amount of $500 or more paid for the benefit of a graduate student to aid in the pursuit of study or research. UNCW fellowships generally fall under either of the following groups:

        1. Grant/contract supported fellowships that are: part of a larger grant/contract, are awarded specifically for financial aid, and are subject to review and approval by the Office of Sponsored Programs.

        2. All other fellowships are generally established through University Advancement, are supported through a signed donor agreement and are assigned a Banner Finance Fund.

      4. Monetary Award/Prizes – Generally an amount less than $500 paid for the benefit of a student. Awards generally have not been established through written donor agreements with University Advancement and often do not have a separate Banner Finance Fund. Awards are often funded by departments through trust funds and include prizes (e.g., First Place Poetry Prize).

      5. Need-Based Scholarship – A scholarship awarded primarily on the basis of the student's financial need.

      6. Merit-Based Scholarship - A scholarship awarded primarily on the basis of the student's academic achievement, special talent, and/or community service.

      7. Athletic Scholarship - A scholarship based on any degree on athletic ability.

      8. Scholarships Awarded by Off-Campus Agencies – These scholarships are awarded by off-campus agencies that have designated funding for UNCW students. Generally, these agencies select the recipient(s) and the funds are not university controlled. These are reported to the OSFA and listed as an outside scholarship.

      9. Outside Scholarship - A scholarship awarded by an outside agency that selects the recipient. The agency does not specifically set aside funding for UNCW students. These are reported to the OSFA and listed as an outside scholarship.

      10. Award Year - A financial aid term consisting of fall semester, spring semester, or summer. The award year crosses two fiscal years and two calendar years.

      11. Award Authority - The university department or program responsible for selecting the recipient of the scholarship, fellowship, or monetary award.

      12. Award Period - The period for which an award is to be given. Although, this is typically fall and spring, some award periods may be for one semester.

    2. Establishing Institutional Scholarships, Fellowships and Monetary Awards

      1. University Advancement oversees the establishment of all named scholarships/ fellowships and solicitation of gifts for such purposes. (See UNCW Policy 09.100.) University departments and off-campus donors who wish to establish scholarships or fellowships at UNCW must work through University Advancement. In this process, University Advancement determines whether the scholarship is awarded primarily on the basis of need, merit, or athletic ability as specified in the donor agreement.

      2. University departments may establish monetary awards/prizes, provided the awards/prizes do not create a perception of being viewed or valued at the scholarship/fellowship level. All awards or prizes named after a donor require coordination through University Advancement.

      3. UNCW does not establish institutional scholarships, fellowships or monetary awards that are awarded in a manner inconsistent with UNC System or UNCW polices or state and federal laws, including the UNC  System Equity Policy 300.8.5.  UNCW does not discriminate against applicants, students or employees based on race, color, national origin, religion, gender, sexual orientation, age, disability, political affiliation, or relationship to other university constituents.

      4. All financial aid is administered and awarded by the Office of Scholarships and Financial Aid (OSFA).

    3. Publicity

      1. University Advancement and the OSFA work together to establish approved descriptions of institutional scholarships and fellowships.  These appear on the University Advancement website.  University Advancement and the OSFA must approve exceptions.

      2. Monetary awards or prizes are not listed in the university catalog but may be advertised through departmental publications.

      3. In general, amounts to be awarded are not publicized, as available income may fluctuate annually.

      4. Office of University Relations and the OSFA must approve press releases and other publications announcing recipients.

    4. Departmental Compliance with Donor Agreements/Criteria

      The award authority is responsible for complying with the donor agreement or criteria to determine eligible recipients. If scholarship funds have been committed to an ineligible student, the department is required to fund the commitment from trust funds or other appropriate source of funds. Scholarships are typically awarded for an academic year.

      Students who are selected on scholarship criteria based at the time of the selection are allowed to continue receiving the funds through the award period. However, if there are changes to the award, eligibility should be checked before future awards are applied.

    5. Establishing Financial Accounts (Banner Finance Funds)

      1. Financial accounts (Banner Finance Funds) are established in accordance with UNCW policy 05.102.

      2. If a financial account should be established for a grant or contract, Sponsored Programs and Research Compliance is responsible for initiating the establishment of the account and is responsible for the account in general.  When a portion of the grant or contract includes funding for grant/contract supported financial aid, all of the financial aid actions are coordinated through the Director of the OSFA.

      3. The Director of the OFSA is responsible for initiating the establishment of all other financial accounts that support an institutional scholarship or fellowship or that provide funding for students that meets the definition of "financial aid" as contained in this policy.

      4. To comply with federal regulations that require an institution to designate one individual to coordinate all financial assistance to students, the university has designated the Director of the OFSA as the responsible person for coordinating all financial aid transactions. As such, the Director of the OFSA is the responsible person and only individual with requisition access for all financial accounts specifically established to support financial aid transactions.

    6. Establishing Award Amounts

      1. Grant/contract supported financial aid amounts are coordinated with the Director of Sponsored Programs.

      2. University Advancement and the OFSA jointly determine maximum award amounts for each established fund annually (approximately February 15) for the next award year. These amounts may be lower than specified by the donor agreement in cases where the university does not expect sufficient revenue to fully fund the amount specified by the donor. The OSFA notifies University Advancement of such instances and notifies the department responsible for selecting recipients of the available award amounts by March 1 for the following award year. Award amounts may be adjusted throughout the year with the approval of the OSFA and Controller to account for additional revenues, etc.

      3. In the event a department commits funds in excess of available funding, the department must fund the overage from an appropriate source.

    7. Selecting Recipients

      Students apply for scholarships using the University Scholarship Application housed within the Next Gen scholarship software which is managed by the OSFA. The OSFA usually selects recipients of all scholarships, fellowships, and awards that are primarily need-based. When not primarily need-based, the donor agreement or scholarship criteria designates a responsible university department or program as the award authority. Selection of recipients for scholarships, fellowships, and awards that are primarily merit based or based on athletic ability are made in accordance with the donor agreement or criteria.

    8. Coordination of Awards

      Departments selecting recipients do so via Next Gen. Next Gen is set up by the OSFA to ensure that only eligible students can be considered for each scholarship to ensure compliance with federal regulations. Departments initiating financial aid transactions from accounts not under the control of the OSFA must coordinate such transactions with the OSFA. Federal regulations require such coordination because a scholarship or other financial award may require a revision to other types of financial aid the student has received or will receive.

    9. Notifying Recipients

      The award authority may send a letter notifying the student of the award. However, since the OSFA sends the official award letter (showing all financial aid awarded to the student), the letter should be coordinated with the OSFA.

    10. Disbursement of Funds

      The OSFA will authorize disbursement of all financial aid funds to student accounts. The Student Accounts Office is responsible for delivery of funds in accordance with university policies and procedures.

       

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