Approximately 17 million students complete the FAFSA each year, and it serves as a gateway to billions of dollars in grants and scholarships from the federal government, states, foundations, and universities. A new version of the form was announced in late December, but its launch has been plagued by technical glitches, formula errors and delays that have made it difficult for students to understand how much they will have to pay for college. It's becoming difficult.
Universities are in a bind as they wait for departments to submit data from their FAFSA applications. The Department of Education had originally promised that the information would begin in January, but it will now take two months longer, in part due to updates to the formula used to determine whether a student is eligible for aid. Stated. University leaders complain that financial aid offices are being asked to churn out aid offers quickly while meeting numerous regulatory requirements from the department.
Cardona said the department will reduce FAFSA verification to ease the burden. The audits are widely considered to be an unnecessary hurdle for low-income students and a time-consuming task for aid offices. Currently, the department receives most of its income data directly from the Internal Revenue Service, so it expects there will be less need to verify student information.
The department also suspended new reviews through June to ensure colleges meet the requirements to receive federal student aid, except those related to suspected fraud or material breaches of fiduciary duty. Stop. Additionally, the federal agency said it will provide flexibility in the process for some universities to receive recertification. Eligibility to participate in federal student aid programs.
“These steps are designed to help financial aid administrators and college presidents communicate with us where they feel there are challenges in implementing the Better FAFSA and specific ways we can help them process this information more easily and simply.” This is a direct response to the feedback we received,” Cardona said. he said in a call with reporters on Monday.
The move is part of a broader effort Cardona calls the FAFSA University Support Strategy. Last week, he announced the department would spend $50 million to create a college helpline and send experts to some campuses to support financial aid offices. The federal agency also plans to release a test version of the FAFSA data within the next two weeks, which will help schools prepare their systems for generating aid offers.
“We applaud the department for these initial steps,” said Justin Drager, president of the National Association of Student Financial Aid Administrators. said in a statement. “Making this work will require continued efforts by higher education stakeholders, including additional administrative relief and compliance with the Department's upcoming FAFSA processing schedule.”
Pressure is mounting on the Biden administration to quickly clean up the chaotic FAFSA launch. A group of more than 100 Democratic politicians sent a letter saying: Cardona on Monday urged the secretary to address operational issues. Lawmakers want clarity on how the agency will communicate if FAFSA processing is further delayed and how it intends to minimize the potential impact on students.
“The recent announcement from the Department was a welcome first step toward addressing the many challenges facing students, counselors, aid administrators, and stakeholders,” the lawmakers wrote. “But now it is imperative that we all work together to ensure that no student falls through the cracks or faces unnecessary hardship when accessing the aid they deserve.”
The department has taken steps to help colleges, but has not yet resolved more than a dozen technical errors that are preventing some families from completing the FAFSA. The main ones among them are; Prevent defects Parents without a social security number What I can contribute information Report FAFSA and prevent children who are U.S. citizens from applying for assistance. The department said Monday that officials were meeting daily to try to resolve the issue, but could not provide a clear timeline. For now, families can submit a paper version of the FAFSA.
Ongoing issues FAFSA developments continue to be under scrutiny from Republican lawmakers, who are calling for an investigation by the Government Accountability Office.
“The reason students, parents, and schools are scrambling to deal with financial aid uncertainty is due to gross mismanagement at the department. End of story,” said House Education Committee Chairwoman Virginia Foxx. said the Member of Parliament (R.N.C.).
