The 2014-2015 Legislative Issues Committee for the Illinois Association of Financial Aid Administrators is underway and has had its first conference call!
The goal for this award is to provide resources that allow members to be engaged in the legislative process. The top three objectives for this award year are to:
- Explore ways to create and grow relationships with State and Federal legislators and their staff.
- Encourage discussion, educate the membership, and provide tools that will enable members to be engaged in the legislative process.
- Provide resources detailing necessary steps to respond to proposed regulations and negotiated rule making.
The ILASFAA Legislative Issues Committee wants to energize its members and possibly recruit new members with monthly blogs of briefings from the Federal and State levels. We aim for conversation, so for all of you subscribed to this Blog let us hear your thoughts!
- Student loan servicers, which have been criticized by consumer advocate and federal regulators alike, are facing scrutiny from a new group: Financial Aid Administrators. The National Association of Student Financial Aid Administrators or NASFAA and the National Direct Student Loan Coalition formed a task force on servicing issues. The 10-member task force will focus on improving the Department of Education’s servicing contracts and ensuring consistency in servicing practices. For updates on task force, visit the NASFAA website.
- There are three changes in Student Financial Aid programs that Democrats and Republicans agree on as part of the reauthorization of the Higher Education Act:
- Making the Federal Pell Grant Year-Round – Again?
- One option for Federal Student Loan repayment: income based – Democrats go a step further and would automatically enroll severely delinquent borrowers. In early 2014, the student loan debt balance stood at $1 trillion, compared to $250 billion in 2003, making it the second largest debt category for household debt after mortgages.
- Making the Integrated Postsecondary Education Data System or IPEDs more effective and useful for both the Department and institutions.
- Oh, let’s not forget: Shrinking the FAFSA – Senator Lamar Alexander, Republican of Tennessee described his plan at the NASFAA Conference to replace the FAFSA with a two question postcard. The two questions: family size and income.
If you had an opportunity to meet today with your legislator, what would be your feedback to the above mentioned items?