| PublicationDate: 3/6/96 Summary: Secretary Riley's "Dear President" letter re: the delay in the processing of the 1996-97 Free Application for Federal Student Aid (FAFSA). Author: CSB - SFA Customer Support Branch March 6, 1996 Dear President: I am writing to alert you to a delay in the processing of the 1996-97 Free Application for Federal Student Aid (FAFSA). As you know, the FAFSA is used by students to apply for federal student aid; in addition, many states and institutions use the FAFSA for their aid programs. I take the processing delay as a very serious problem requiring my direct attention. I request your cooperation to ensure that this processing delay does not present a barrier for any student planning to attend a postsecondary education institution this fall. Please be assured that processing the 1996-97 FAFSA is a very high priority for the Department and that we are committing the necessary resources to remedy the problem. The Department has already taken a number of steps to ensure that FAFSAs are processed on a timely basis. As a result, we expect that all paper applications submitted to our private contractors prior to March 1 will be processed, on a rolling basis, no later than March 31. Paper FAFSAs received after March 1 will also be processed on a rolling basis. We expect that our contractors will return to the normal 14-day processing cycle by March 31. As a result, we expect that the last batch of paper applications received in March will be processed no later than April 15. There are a variety of reasons for the delay in the 1996-97 processing. As you will recall, most of the Department of Education was shut down twice as a result of government furloughs during the last three months and once due to the January blizzard, for a total of 21 work days. In addition, our private contractors have experienced difficulties in processing the paper FAFSAs due to technical problems with the newly-designed computer system. I have taken the following steps to ensure that this problem is solved. The contractors have implemented plans to correct technical problems and increase production. They have set up supplemental worksites, hired additional employees, and are currently processing applications 24 hours a day, 7 days a week. The Department is taking additional steps to increase processing capacity to have more than enough capability to process the paper FAFSAs. To respond to concerned families, last week we substantially increased our customer support services by extending hours and increasing the number of operators on our hotline. Where practicable, we are encouraging institutions to submit applications electronically, and we are encouraging students and parents who have not yet filed for 1996-97 to use an electronic option, FAFSA Express, to reduce delays. We are mailing a copy of the FAFSA Express software to all high schools on our distribution list this week. Despite these efforts, there will be delays until the contractors are operating on the normal FAFSA processing schedule. As a result, I am requesting that colleges and universities do their utmost to ensure that no individual or institution is further disadvantaged by this processing delay. I am also requesting states to be flexible in applying their deadlines for state scholarships. We are posting daily updates of the situation on the Department's Bulletin Board System so that your financial aid director will be informed of the current status of our processing. Moreover, if your institution is an electronic participant in our student assistance processing system, you will be able to draw down records electronically several days before students and parents receive the printed processing results. I recognize the inconvenience your institution is experiencing, especially your admissions and financial aid offices, which have no control over this matter. Please be assured that we are doing everything we can and will keep you informed of our progress. Yours sincerely, Richard W. Riley cc: Admissions Director Financial Aid Director |