WASHINGTON — Months after the streamlined form to apply for federal financial student aid faced processing delays, a government watchdog provided further explanation and recommendations for the U.S. Education Department on Tuesday.
At a U.S. House Subcommittee on Higher Education and Workforce Development hearing, frustrations over the 2024-25 FAFSA rollout were expressed. The hearing coincided with the release of two findings from the Government Accountability Office (GAO) on major issues affecting the FAFSA form.
The FAFSA Simplification Act aimed to streamline the application, yet delays arose due to the form’s failure to adjust for inflation, formula miscalculations, and tax data errors. Issues prevented parents without Social Security numbers from completing the form initially.
The department has since addressed these problems and reevaluated the 2025-26 form implementation, incorporating feedback from students, families, and stakeholders. On Monday, the department released a report reviewing the 2024-25 form’s implementation and progress in improving user experience.
A phased rollout of the 2025-26 form aims to address potential issues before fully opening by Dec. 1, making it available two months later than usual.
Subcommittee Chairman Burgess Owens criticized the rollout, stating the “FAFSA rollout was mired in delays, errors, frustration — and for some of our most vulnerable students — the loss of their dreams for a higher education.” Rep. Frederica Wilson added that the implementation “has been derailed by a series of mistakes made by the Department of Education.”
Lack of Information
GAO reports revealed about 432,000 fewer FAFSA submissions compared to last year, a 3% decrease, mostly among lower-income students. The department failed to provide timely updates on processing delays and eligibility changes, hindering students’ ability to make informed decisions about college.
Melissa Emrey-Arras from GAO highlighted that delays significantly impacted students’ financial planning, comparing it to buying a house without knowing the available aid.
Understaffing Leads to Unanswered Calls
Understaffing led to nearly three-quarters of calls to the call center going unanswered during the first five months of the 2024-25 rollout. GAO found the department failed to meet promised deadlines and provide sufficient notice to colleges.
Marisol Cruz Cain of GAO noted the Office of Federal Student Aid did not fully test the system, resulting in numerous performance problems, with 55 defects identified post-deployment.
Improvement Plan
In a letter to college presidents, Education Secretary Miguel Cardona outlined the department’s efforts to overhaul the FAFSA system, which included adding over 700 call center agents and addressing issues for families without Social Security numbers.
The department also strengthened its leadership and increased outreach and support for those needing help with the form. A spokesperson mentioned that over 500,000 more students are now eligible for Pell Grants compared to last year, with the FAFSA completion gap reduced to 2% from 40% in March.
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