Watchdog blames Education Department leaders for chaotic FAFSA rollout

Applying for college financial aid has proven to be a significant challenge for many American families this year, a situation that became starkly evident during recent congressional hearings.

For instance, a student born in 2000 was unable to complete the Free Application for Federal Student Aid (FAFSA) until March, resulting in a considerable delay. Furthermore, individuals seeking assistance from the federal Education Department’s help line faced serious hurdles, as about four million calls went unanswered from January through May. This means that three out of every four calls made by concerned families went unreturned.

The Government Accountability Office (GAO), an independent federal watchdog, released two critical reports highlighting the magnitude of the problems surrounding this year’s FAFSA rollout. The findings outlined the failures experienced by the Education Department and the adverse effects on families relying on financial aid.

These reports revealed a federal agency that, despite being well aware of impending challenges, proceeded with the process due to pressures from Congress. Much of the blame centered on the Federal Student Aid office, responsible for overseeing FAFSA and student loan protocols. The GAO identified a lack of “consistent and effective leadership” within the agency as a key factor contributing to the complications faced by families this year.

In essence, both the Education Department and its contracted partners made numerous missteps in managing the FAFSA process. Criticism during the congressional hearing was intense, with GAO investigator Melissa Emrey-Arras labeling the shortcomings of the Education Department as “unconscionable.”

“College is expensive,” she noted, emphasizing that inaccurate financial estimations could leave students unprepared for their educational expenses.

In response to the adversity, the Education Department reported that more than 500,000 additional students now qualify for Pell Grants due to FAFSA modifications. Miguel Cardona, the Education Secretary, informed college presidents that the agency has also taken significant measures to minimize the FAFSA submission gap. According to Cardona, over 700 new agents have been added to the call center since January, and most of the technical issues encountered earlier this year have been addressed.

However, the GAO pointed out critical failures in contractor oversight as a significant contributor to the FAFSA rollout’s delays. Typically, the FAFSA becomes accessible to students and families on October 1 each year. This year, the date was postponed by several months, with the application finally opening briefly after Christmas.

The GAO reports indicated that inadequate management of an external contractor hired by the Education Department to assist with FAFSA overhauls was a major cause of the delays. Investigators observed that significant development issues emerged within months, leading to postponed milestones for 25 essential contract requirements.

The contractor, although unnamed in the report, is known to be General Dynamics Information Technology, a company enlisted in March 2022 for a multimillion-dollar endeavor to modernize the federal student aid system. A spokesperson for General Dynamics declined to comment on the GAO’s assessment, redirecting inquiries to the Education Department.

GAO investigator Marisol Cruz Cain informed Congress that both the contractor and the Education Department share responsibility for the complications. Leadership turnover within the Education Department was another notable issue, particularly concerning the position of chief information officer, which has witnessed six changes since 2021. Just days prior to the findings’ release, a new chief information officer was appointed.

This high turnover reflects the chaotic environment that has permeated this process, according to Rep. Bob Good from Virginia.

Furthermore, during the rollout, the government miscalculated essential numbers, estimating that only 3,500 individuals from mixed-status families would need identity verification. The actual figure exceeded 219,000, with immigrant families facing some of the most significant challenges stemming from the disorganized rollout.

Looking ahead, concerns are already mounting about the next financial aid cycle, which is slightly delayed but not as severe as last spring. The Education Department plans a phased opening of FAFSA this fall, aiming for a complete rollout by December 1. This approach is intended to test processes and mitigate glitches.

Regarding whether the added call center staffing will ease burdens for families this year, Emrey-Arras remains cautious, stating, “We’ll see what happens when the new FAFSA rolls out.”

Source: USA TODAY