COTOP

Overview & Training

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INTRODUCTION:Welcome to COTOP Overview & Training

Training Team

AGENDA:

HISTORY OF COTOP:AB 2347 (Chapter 937, 1982) authorized the Chancellor’s Office to act on behalf of

community college districts to collect outstanding student financial aid obligations

through participation in the Franchise Tax Board’s Interagency Tax Offset Program.

In 1991 the program was enhanced through AB 3929, to permit offset for specific non-

financial aid obligations. Districts could now recover outstanding student debts owed

to colleges such as enrollment fee, library fines, personal checks written with in-

sufficient funds, students, and other approved debts.

COTOP SUCCESS:

In the last 10 years, the COTOP program has succeeded in offsetting and returning over $18 million

directly to participating districts. In the first half of our current 2012 year, we have already collected

and returned in excess of $2 million to the districts This includes more than 40,000 offsets.

PARTICIPATION:Participation in COTOP is voluntary. The program is self supporting with a 75/25 split of collections. The contract and informational documents are located on the CCCCO website:

http://extranet.cccco.edu/Divisions/StudentServices/COTOP.aspx

2013 COTOP Contract Packet (Tax Year 2012) District Invitation to Participate (word)COTOP Contract (word) Appendix A Data Submittal Specifications - 2 pages (word) Appendix B Transmittal Document (word) Appendix C Sample of Required Notification (word) Appendix D District Codes (word) Appendix E Debt Types (word) Appendix F Data Edit Checks (word)Sample A - Data Formatting Sample (word)COTOP Questions and Answers Document (word)COTOP 2012 Training Schedule (word)*Contract and Transmittal Document are due by October 1, 2012

Notification Requirements (Appendix C)

•Districts must attempt to notify students a minimum of 30 days prior to submitting the

student’s account for collection.

•Districts do not need to keep copies of each notification attempt; a form letter along with a

list of students will suffice.

•There are no official guidelines on how long districts must keep proof of an attempted

student notification. Districts are referred to their legal counsel for decisions on how long to

keep such proof.

COTOP FLOW

Payment

District Reject Report

COTOP DATABASE

Account Modification (add, change, delete)

Franchise Tax Board Database

District

Validate Transaction

Submit to Franchise Tax Board (every 2

days in peak season)

Reject

Accept

Chancellor’s Office

District State Controller’s Office

Offsets Offset Verify Report

30 Day Notice to Student

Important Dates:

• September 30• Districts receive new login password

• October 1 • The date by which signed contracts must be received in the Chancellor’s

Office for District participation in COTOP.• The date Districts can begin uploading accounts for the new COTOP year

• November 15• The last day of the year to add or change/delete new accounts• The last day to modify accounts in the current COTOP year

• December 1• New accounts sent to Franchise Tax Board

• January 2• FTB Loads all new accounts onto their system for new COTOP year• Districts may resume add/change/delete new accounts

• March 15• Last day to add new accounts

New Accounts:

Loading new accounts for COTOP Year 2013 begins 10/1/2012

• Modifications (adds, changes, deletes) to accounts can begin immediately.

• New accounts for COTOP Year 2013 will be sent via electronic delivery to FTB on 12/1/2012

• COTOP Database will be locked out 11/23/2012 through 1/2/2013.

• FTB will load new accounts to their database on Jan 2, 2013; COTOP Database will also re-open Jan 2, 2013.

• New account adds for COTOP Year 2013 may be made until March 15, 2013. Changes and deletes may continue until late November, 2013

COTOP Application Processes

Account modifications (add, change or delete) can be accomplished two ways:

• Account File – Batch update for multiple accounts• Individual Account – Manual update for single account

COTOP Application Reports

• District Offset Report – Contains record of offsets within any user defined period of time. Run after notification from Chancellor.

• Load Error Report – Identifies rejected accounts from all processes

COTOP Support:

Districts -• Direct phone, fax & e-mail

Terence GardnerOffice:  (916) 322-7412Fax:     (916) 324-8486Email:    tgardner@cccco.edu

• • COTOP FAQs

Student -• IVR Phone system – 1.866.810-7221• Chancellor’s website

Check Disbursement:

Monthly checks are disbursed by the State Controller’s Office approximately three to four weeks after each month-end.

COTOP Database Demonstration