With little to no fanfare, Under Secretary Ted Mitchell released a Dear Colleague letter on behalf of Secretary of Education John King, recognizing institutions for their role in the delivery of postsecondary education, delivery of federal student financial aid resources, information and services, and the commitment of the financial aid staff to comply with the statute and regulations.  As part of the March 25, 2016 DCL, the Under Secretary goes on to highlight six key "statutory and regulatory requirements that have increased the administrative responsibilities of institutions" and two "significant financial aid processing changes" introduced by the Obama Administration this past fall. 

 

The six key increases in responsibility, noted below, suggest that institutions should pay particular attention to their compliance with these new responsibilities, so we are highlighting them for your in this edition of the WINK. They include:

1.       Ensuring that students do not exceed the statutory lifetime limit on receipt of Federal Pell Grants;

2.       Ensuring that students do not exceed the academic program lifetime limits for Direct Subsidized Loans;

3.       Increased requirements for student enrollment reporting to the National Student Loan Data System;

4.       Implementing the Gainful Employment regulations, especially the requirements to report additional student-level data and to disclose to current and prospective students detailed information about the institution's Gainful Employment academic program;

5.       Increased campus safety reporting and disclosures, as required by the Violence Against Women Act; and

6.       Ensuring the successful implementation of the recently revised Federal student aid cash management regulations, especially the provisions related to institutional relationships with financial institutions, disclosures to students about their federal aid credit balance options, and related reporting requirements.

AACS members are encouraged to review the full letter (attached) and are also reminded to frequently check the Department's Information for Financial Aid Professionals (IFAP) website for the latest FSA information.