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today’s news for Monday, August 29, 2022

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NEWS FROM NASFAA

This article has been updated to note that the relief includes current students and borrowers who have federally-held undergraduate, graduate, and Parent PLUS loans where the first disbursement was on or before June 30, 2022. A previous version of the article indicated loans would need to be fully disbursed.

This week on a special episode of “Off the Cuff,” Justin is joined by Karen and Megan to discuss the Biden administration’s “Fresh Start” initiative that aims to provide a pathway for delinquent and defaulted borrowers to reenter repayment in good standing. The team digs into specific questions they’ve posed to the Department of Education concerning the program’s implementation and provides updates highlighting where things stand today and what details are expected to be clarified in the weeks and months ahead.

On Friday, NASFAA submitted comments to the Department of Education (ED) on its proposed rule on Prison Education Programs, the 90/10 rule, and changes of ownership. NASFAA generally supported the proposed changes, but asked a number of clarifying questions. NASFAA also reminded ED that the success of the restored Pell Grant eligibility for Prison Education Programs depends not only on the implementing regulations, but also on the application itself, which ED is in the process of finalizing now.

NASFAA UPDATES AND ANNOUNCEMENTS

The Family Educational Rights and Privacy Act (FERPA) does not define "school official" or "legitimate educational interest," so that is left to the institution. That said, according to guidance NASFAA has received from the U.S. Department of Education's Student Privacy Policy Office: "Although 'school official' is not defined in the statute or regulations, this office has interpreted the term broadly to include a teacher [or professor]; school principal; president; chancellor; board member; trustee; registrar; counselor; admissions officer; attorney; accountant; human resources professional; information systems specialist; and support or clerical personnel. Typically, a school official has a legitimate educational interest if the official needs to review an education record in order to fulfill his or her professional responsibility." View the full answer to this question to learn more.

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