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today’s news for Friday, March 2, 2018

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NEWS FROM NASFAA

The NASFAA headquarters are closed today along with federal agencies due to a snow storm impacting the Washington, D.C. area. NASFAA staff who can telework are working to the extent they are able, but phone and email responses may be delayed. Online services should continue uninterrupted.

 Off the Cuff

This week on "Off The Cuff," Justin and Allie discuss some highlights from NASFAA's recent 2018 Leadership & Legislative Conference & Expo, and answer a listener question regarding the status of borrower defense claim processing. They also dig into the details of an expected piece of guidance from the Department of Education (ED) regarding the oversight of student loan servicing companies. Reports have suggested ED will issue guidance stating federal law preempts state law—an idea that has upset many consumer advocates. Justin brings up a recent Pew survey on the favorability of various federal agencies and where ED stacks up in the rankings, as well as new research on who exactly uses income-driven repayment plans.

Lawmakers and higher education experts are doubling down on efforts to better serve nontraditional students; reports have been surfacing about the unique needs of this rising population, and both President Donald Trump and members of Congress have expressed their dedication to developing and funding programs that cater to this demographic of learners. A new report from the National Student Clearinghouse Research Center, however, found that these students are completing degrees at a much lower rate than their more-traditional counterparts.

Puerto Rico was devastated by Hurricane Maria and is still rebuilding. In an effort to help the Puerto Rico Association of Student Financial Aid Administrators (PRASFAA), the Eastern Association of Student Financial Aid Administrators (EASFAA) is embarking on a fundraising mission. EASFAA will match donations received up to $3,000 (with a minimum commitment of $1,000) and we are pleased to announce NASFAA’s Board of Directors has voted and approved a measure to match EASFAA’s donation to PRASFAA. Please consider making a donation to help our colleagues in Puerto Rico.

NASFAA U

We saved the best for last. The final course of the season blends these two topics to provide financial aid administrators with the skills and insight into making the best decisions in the interests of their students. NASFAA U faculty are joined by Brad Barnett, director of financial aid at James Madison University, to teach the concepts—and application of those concepts—in a practical setting. Participants in the course will learn from each other, from NASFAA U materials and course videos, and from live interactive sessions. Don't miss out on this excellent opportunity. Register now.

NASFAA's Advocacy Pipeline is an ongoing advocacy effort designed to bring NASFAA members to D.C. to share on-the-ground perspectives with policymakers on Capitol Hill. Throughout the year, small groups of NASFAA members come to Washington to participate in direct advocacy with congressional offices. If you are interested in participating, please complete this form. For more information about NASFAA's congressional outreach efforts, check out the NASFAA Advocacy page.

x - FEDERAL REGISTER

In order to support and strengthen the work that educators do every day in collaboration with parents, advocates, and community members, the Secretary issues 11 priorities and related definitions for use in currently authorized discretionary grant programs or programs that may be authorized in the future. 

x - HEADLINES

National News

"In higher education and nationally, support for Dreamers remains strong, despite the tenuous status of the Deferred Action for Childhood Arrivals programs," Inside Higher Ed reports. "That support is evident in a new $20 million initiative announced today by Southern New Hampshire University, the Shapiro Foundation and TheDream.US to provide free college educations for 1,000 DACA recipients over the next five years."

"Donald Trump would like to kill the immigrant protection program known as DACA—but it's the states that voted for him that will pay the bill," according to Quartz

"The new chairman of the Federal Reserve questioned why struggling borrowers can't discharge their student loans in bankruptcy," MarketWatch reports. "'Alone among all kinds of debt, we don't allow student loan debt to be discharged in bankruptcy,' Jerome Powell told members of the Senate Banking Committee Thursday. 'I'd be at a loss to explain why that should be the case.'"

State News

"Many students no longer enjoy summers off, and some colleges are seeing this months-long break as key to promoting on-time graduation. But the cost of attending classes may discourage students from enrolling in the summer," Inside Higher Ed reports. "The University of North Carolina at Asheville has come up with a remedy: free summer courses."

"Massachusetts' attorney general may move forward with a lawsuit claiming that one of the largest student loan servicers in the United States has engaged in practices that have undermined a federal debt forgiveness program, a state court judge has ruled," Reuters reports.

Opinions

"Most of us know a good thing when we see it. That's true for higher education, which despite some differences of opinion remains highly regarded as a gateway to job and life success. Now if we could just figure out a better way to pay for it," Zakiya Smith writes on Medium.

"As Congress turns its attention to the problems facing higher education, the Department of Education announced last week that it will seek public comment on possible relief for students with outstanding student loan debt. One proposed option is discharging student loans in bankruptcy court, as is done with other types of loans when borrowers are unable to pay," Mary Clare Amselem writes for The Daily Signal. "...While allowing people to discharge student loan debt through bankruptcy may seem like an attractive option, student loans are fundamentally different than other types of loans, and policy must reflect the uniqueness of this transaction."

Blogs & Think Tanks

"American policymakers have been toying for decades with the idea of income-driven repayment of student loans—a system in which a student's monthly payments are tied to his or her after-school income. It's time to make this promise a reality—time to put aside half measures and enact workable reform," Kevin James writes in his book, "This Way Up."

x - INDUSTRY NEWS

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