McClellan Calls for Immediate Resolution to FAFSA Decision and Disbursement Delays

Washington, D.C. – Today, Congresswoman Jennifer McClellan (VA-04) sent a letter to Secretary of Education Miguel Cardona, urging the Department to take immediate steps to address delays in award decisions and disbursements for the Free Application for Federal Student Aid (FAFSA). 

Widespread glitches and other issues impacted at least 30% of 2024-2025 FAFSA applications, delaying award decisions for millions of students who rely on this information to make thoughtful college attendance decisions. 

“I write to express concerns about the profound effects the six-month delay in delivering the 2024-2025 Free Application for Federal Student Aid (FAFSA) had on undergraduate students, particularly first-generation students,” said McClellan. “While I commend the Department's commitment to improving FAFSA for students, families, borrowers, and schools, I worry about the long-term impact on the incoming class of students, continuing students, and the overall health of institutions should there be any further delays.” 

McClellan urged the Department of Education to address the following issues to avoid further delays and ensure students can count on reliable FAFSA service: 

1. Clarify that institutions that calculated financial aid based on initial Institutional Student Information Records (ISIRs) reports will not be required to to pay back funds to the Department if their aid eligibility later reduces due to ongoing FAFSA corrections. 
    
2. Delay implementation of the Financial Value Transparency and Gainful Employment Final Rule and IHE reporting deadlines. 
    
3. Allow institutions to convert unused Federal Work-Study (FSW) funds to Federal Supplemental Educational Opportunity Grant (FSEOG) funds for students with high financial need.

In Congress, McClellan works to lower the cost of higher education, dismantle barriers to entry, and provide alternative post-secondary education options to students. She is a member of the Historically Black Colleges and Universities (HBCU) Caucus. McClellan has introduced several pieces of legislation to address issues surrounding higher education, including H.R. 4176, the Growing Reputable Academic Departments (GRAD) Act, H.R. 9134, the Relieving Economic Strain to Enhance American Resilience and Competitiveness in Higher Education and Research (RESEARCHER) Act, and H.R. 9134, the Improving Mentorship in STEM Higher Education Act. 

Read McClellan’s full letter to Secretary Cardona here.