GAO Warns of Future FAFSA Failures After Botched Launch


GAO Report Uncovers Flaws in FAFSA Rollout | Source: The College Investor

Supply: The School Investor

  • Delayed Launch Regardless of Warnings: The Division of Training knew as early as August 2022 that the FAFSA kind wouldn’t be prepared for its October 2023 launch however waited seven months to announce the delay.
  • Insufficient Buyer Assist: Of the 5.4 million calls acquired by the Division’s name heart, 75% went unanswered, contributing to confusion and frustration amongst college students and households.
  • Untested Processing Methods: Important FAFSA processing parts had been left unfinished on the time of the shape’s launch, resulting in widespread calculation errors in scholar support estimates.

In a pair of scathing experiences, the U.S. Authorities Accountability Workplace (GAO) has revealed the vital missteps taken by the Division of Training throughout final yr’s Free Software for Federal Scholar Help (FAFSA) rollout. 

The experiences, launched right this moment (you will discover them right here and right here), particulars how systemic failures within the Division’s planning, communication, and testing led to a disastrous implementation of the brand new FAFSA kind, which has left tens of millions of scholars and households struggling to entry important monetary support. One report focuses on the technical implementation of the simplified FAFSA kind and the opposite on the monetary support facet of the FAFSA rollout.

The findings additionally elevate alarms concerning the upcoming FAFSA cycle for the 2025-2026 educational yr, with GAO officers warning that except important reforms are made, related points might come up. Officers from the GAO will likely be testifying right this moment earlier than the Home Subcommittee on Greater Training to debate the suggestions specified by their report.

Missed Warnings And Delayed Motion

The GAO report describes a sample of warning indicators that had been ignored by the Division of Training and the Workplace of Federal Scholar Help (FSA), the company tasked with managing FAFSA.

Based on the report, by August 2022, FSA officers had already adjusted their schedules for the 2024–2025 FAFSA cycle, pushing contractor deadlines from October to December 2023. But it wasn’t till March 2023 that they publicly admitted to the delay, a transfer that disrupted faculty planning timelines for college kids throughout the nation.

Regardless of these warning indicators, FSA launched the brand new FAFSA kind in December 2023 with out adequately addressing main system deficiencies.The consequence to households was that even when the shape launched on December 28, many households could not file the shape till as late as March 2024.

The GAO revealed that 18 out of 25 key system necessities, together with the power to finalize support eligibility and distribute outcomes to varsities, had not been met earlier than launch. These delays in processing led to prolonged wait occasions and created important obstacles for college kids and households attempting to use for monetary support.

Buyer Service Points

The GAO report additionally highlighted the extent that households struggled to get assist.

In the course of the first 5 months of the applying interval, the Division of Training’s name heart acquired greater than 5 million calls—4 million of which went unanswered (that is 74% of calls went unanswered).

With fewer name heart employees than in earlier years and 200,000 fewer calls answered in comparison with the prior FAFSA cycle, the system buckled below the amount of inquiries.

The GAO report highlights this customer support failure as a vital challenge, stating that many households had been left with out steering on resolving technical issues. The FAFSA web site typically left college students to “attempt once more later” when confronted with errors, including confusion and additional delaying their capability to finish functions.

Probably the most important communication breakdowns concerned the failure to tell over 500,000 college students that their federal support estimates had modified on account of corrections in calculation errors.

Technical Failures

The Division of Training’s failure to correctly check the brand new FAFSA processing system compounded the difficulties. A number of technical errors continued nicely after the shape’s launch, with many households counting on incorrect monetary support estimates to make essential faculty choices. These “unresolved defects” had been categorized by the GAO as among the many most damaging facets of the failed rollout, eroding public belief within the FAFSA system and federal monetary support.

In a single vital defect found post-launch, the system overestimated some college students’ support eligibility by failing to think about household belongings, an error that left many college students scrambling to regulate their faculty plans on the final minute.

The report additionally factors to extreme management deficiencies inside the Division of Training, notably in its Workplace of the Chief Info Officer (CIO). The workplace, which is answerable for overseeing IT tasks like FAFSA, had six completely different CIOs because the FAFSA overhaul started in 2021. Based on the GAO, this lack of constant management hindered efficient oversight and contributed to the mismanagement of the venture.

Suggestions For The Future

The GAO has made six suggestions to the Division of Training on the expertise entrance to keep away from a repeat of this yr’s errors. Additionally they made seven suggestions to the Division of Training to enhance the precise FAFSA course of based mostly on this yr’s issues. These suggestions embody:

  1. Establish and join with college students who didn’t submit a FAFSA utility this cycle (2024-25) on account of delays and technical points, and to supply them with the knowledge they should apply in the course of the upcoming cycle (2025-26).
  2. The Chief Working Officer of the Workplace of Federal Scholar Help ought to evaluation the FAFSA utility course of to establish methods to scale back the burden on college students and households by addressing the remaining technical points and streamlining the method for dad or mum or partner contributors to scale back the full time it takes to finish the FAFSA kind.
  3. The Chief Working Officer of the Workplace of Federal Scholar Help ought to overhaul its submission course of for college kids whose dad or mum or partner contributors wouldn’t have Social Safety numbers to handle extra
    utility obstacles.
  4. The Chief Working Officer of the Workplace of Federal Scholar Help ought to enhance translation companies by offering a transparent path to assist for languages aside from English and Spanish by means of the decision heart menu
    and progress towards making the FAFSA utility out there in languages aside from English and Spanish.
  5. The Workplace of Federal Scholar Help ought to plan for and guarantee hiring of enough employees to extend capability on the Federal Scholar Help Info Middle name heart to have the ability to meet name demand and enhance customer support.
  6. The Chief Working Officer of the Workplace of Federal Scholar Help ought to develop a complete plan for offering FAFSA candidates with well timed updates on the standing of their utility and options to technical
    obstacles.
  7. The Chief Working Officer of the Workplace of Federal Scholar Help ought to develop insurance policies to speak key milestones of the 2025-26 FAFSA and future cycles to high schools and stakeholders in a well timed and dependable
    method.

With out addressing these systemic points, the report warns, the 2025-2026 FAFSA cycle is more likely to face related delays and technical challenges.

Richard Cordray, former Chief Working Officer of the FSA, resigned in April following backlash over the troubled rollout. The Division has since introduced a December 2024 launch for the following FAFSA kind, pushing again the timeline to permit for additional testing and enhancements. Nonetheless, as college students and schools put together for the following utility cycle, the GAO’s report casts doubt on whether or not sufficient has been carried out to stop one other chaotic yr for monetary support candidates.

The Division of Training is predicted to answer the GAO’s suggestions within the coming weeks as scrutiny from Congress intensifies. With tens of millions of scholars relying on FAFSA to afford faculty, it is essential that the Division of Training resolves these points shortly.

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