Are Transportation Costs Limited To Between Campus, Residences, and Place Of Work?

Award Year: 2023-24 KA-36446 Helpfulness Rating 550 page views

This guidance is specific to the 2023-24 award year and later.

No. Effective with the 2023-24 award year, transportation is a separate cost component of the cost of attendance (COA). However, in Dear Colleague Letter GEN-22-15, the U.S. Department of Education (ED) stated that its previous guidance has not been modified or restricted. See the following from COA-Q3 in the Dear Colleague Letter:

"Is the transportation cost allowance limited to transportation between campus, residences, and place of work?

No. The language in the [FAFSA Simplification] Act indicates that institutions “may” include costs associated with transportation between campus, residences, and places of work, but this should not be considered an exhaustive list. Nothing in the Act restricts or modifies previous Department guidance on including transportation costs associated with trips, conferences, or medical residency interviews, if the components are a required part of a student’s program of study. Institutions should develop reasonable costs for transportation based upon measured outcomes that can be demonstrated to the Department upon request. A school can also adjust COA components based upon individual circumstances under their professional judgment policy."

See Section 472(a) of the Higher Education Act of 1965 (HEA), as amended, [20 USC 1087LL(a)].

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