The Secretary invites institutions of higher education that are not currently participating in the Quality Assurance (QA) Program under section 487A of the Higher Education Act to submit applications to participate beginning with the 1995-1996 award year

[Federal Register: August 8, 1995 (Volume 60, Number 152)]

[Notices ]               

[Page 40445-40447]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]

[DOCID:fr08au95-104]




[[Page 40445]]


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Part IV






Department of Education






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Federal Student Assistance Programs Under Title IV of the Higher 

Education Act of 1965, as Amended; Notice



[[Page 40446]]



DEPARTMENT OF EDUCATION



Federal Student Assistance Programs Under Title IV of the Higher 

Education Act of 1965, as Amended


AGENCY: Department of Education.


ACTION: Notice inviting applications for participation in the Quality 

Assurance Program.


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SUMMARY: The Secretary invites institutions of higher education that 

are not currently participating in the Quality Assurance (QA) Program 

under section 487A of the Higher Education Act to submit applications 

to participate beginning with the 1995-1996 award year.


DATES: Applications may be submitted any time after August 8, 1995.


ADDRESSES: Barbara Mroz, U.S. Department of Education, 600 Independence 

Avenue, SW., (Room 3925, ROB-3), Washington, DC 20202-5232.


FOR FURTHER INFORMATION CONTACT: Jacqulyn Bannister, telephone: (202) 

260-4788. Individuals who use a telecommunications device for the deaf 

(TDD) may call the Federal Information Relay Service (FIRS) at 1-800-

877-8339 between 8 a.m. and 8 p.m., Eastern time, Monday through 

Friday.


SUPPLEMENTARY INFORMATION:


Background


    The Department of Education is undertaking a series of initiatives 

to simplify regulations and administrative processes for the Federal 

student assistance programs authorized by Title IV of the Higher 

Education Act (HEA). By notice published on April 25, 1995, 60 FR 

20326, the Secretary invited QA Program participants and other 

institutions to submit proposals to reinvent the administration of 

those programs through the use of the experimental sites authority in 

section 487A(d) of the HEA. At the direction of the President, the 

Secretary has conducted a page-by-page review of all student financial 

assistance regulations to identify those that should be eliminated or 

improved. The Secretary will also consider developing proposals for 

statutory amendments to eliminate unnecessary administrative burden.

    As a part of this student aid reform effort, the Secretary intends 

to expand the QA Program. Begun on a pilot basis in 1985, the QA 

Program currently permits participating institutions to develop and 

implement their own comprehensive systems to verify student financial 

aid application data. Participation in the program is entirely 

voluntary. The Secretary is authorized to exempt participating 

institutions from the reporting and verification requirements that 

would otherwise apply and to substitute other necessary quality 

assurance reporting.

    Presently, ninety schools participate in the program, and the 

Secretary has exempted these schools from several provisions of the 

Student Assistance General Provisions regulations relating to 

verification.

    Beginning with the upcoming award year, the Secretary intends to 

expand the QA Program by increasing the number of schools that 

participate in the program and by employing the experimental sites 

authority in section 487A(d) of the HEA to facilitate the development 

of innovative management approaches on a broader scale. If 

participating QA schools, acting alone or together, develop an 

innovative approach to the management of student aid programs and the 

Secretary approves the approach, the Secretary is authorized to exempt 

the schools from any Title IV statutory or regulatory requirement that 

would bias the results of their experiments.


Invitation for Applications


    The Secretary invites institutions of higher education that 

administer one or more Title IV programs to submit applications to 

participate in the QA Program beginning with the 1995-1996 award year. 

Institutions that currently participate in the program may continue to 

do so without submitting new applications. Because training workshops 

will be scheduled for early fall, institutions are encouraged to apply 

as soon as possible. The Secretary anticipates that the review of 

applications will begin within 45 days of the date of this notice; 

however, applications that are received later will also be considered.

    An institution that wishes to apply may do so by mailing a letter 

of application to Barbara Mroz at the address provided at the beginning 

of this notice or by faxing it to her at (202) 708-9485. The Secretary 

will review applications on the basis of demonstrated institutional 

performance, as indicated by information currently on file that 

pertains to the institution and information in the letter of 

application that addresses the institution's commitment to the 

Secretary's current quality assurance goals. Those goals are the 

following:

    (1) To improve the accuracy of Title IV student aid awards;

    (2) To increase institutional flexibility in managing student aid 

funds while maintaining accountability for the proper use of those 

funds;

    (3) To encourage the development of innovative management 

approaches;

    (4) To emphasize results rather than process, up-front correction 

rather than after-the-fact inspection; and

    (5) To place responsibility for quality control and quality 

improvement at the point where funds and services are delivered--the 

institution.


Features of the Program


    The Secretary encourages institutions participating in the QA 

Program to employ a continuous cycle of assessment and improvement as 

they develop and implement their systems to verify student aid 

application data. Institutions evaluate their verification procedures, 

adopt improvements in those procedures, test the effects of those 

improvements, and adopt further improvements.

    The Secretary will adopt no regulations for the QA Program. 

Institutions that participate in the program will be free to develop 

and implement their own comprehensive verification systems and to 

request exemptions from reporting and verification requirements that 

would otherwise apply. It is the Secretary's intention to exempt all 

participating institutions from the requirements in the following 

provisions of 34 CFR part 668, subpart E--Verification of Student Aid 

Application Information:

    <bullet> Section 668.53(a) (1)-(4);

    <bullet> Section 668.54(a) (1), (2), and (4);

    <bullet> Section 668.56;

    <bullet> Section 668.57; and

    <bullet> Section 668.60(a).

    In addition, a participating institution may request an exemption 

from any other student financial assistance program reporting or 

verification requirement. As provided by section 487A(b) of the HEA, 

the Secretary may substitute such quality assurance reporting as he 

deems necessary to ensure accountability and compliance with the 

purposes of the Title IV programs.

    Participating institutions may also take advantage of their 

improved administrative capabilities to propose their own individual or 

collective innovative approaches to the administration of Title IV 

programs under the experimental sites authority and to seek exemptions 

from Title IV requirements that stand in the way of those experiments. 

Further information on experimental sites may be found in the Federal 

Register document referred to earlier in this notice.

    The Secretary believes that the process of continuous improvement 

in 


[[Page 40447]]

verification systems fostered by the QA Program has enhanced the 

integrity of those systems at participating institutions. By expanding 

the program to include other management areas, the Secretary believes 

that it can serve to promote improvements not only in the accuracy of 

student aid awards and payments, but in the management of student aid 

offices and the delivery of services to students as well.


    Dated: August 2, 1995.

David A. Longanecker,

Assistant Secretary for Postsecondary Education.

[FR Doc. 95-19463 Filed 8-7-95; 8:45 am]

BILLING CODE 4000-01-P