Democrats demand answers from federal contractor on tumultuous FAFSA rollout

Senate Democrats sent a letter to a federal contractor on Wednesday demanding answers about the tumultuous rollout of the new Free Application for the Federal Student Aid (FAFSA). 

Sen. Elizabeth Warren (D-Mass.) and Senate Finance Committee Chair Ron Wyden (D-Ore.) sent a letter to the CEO of General Dynamics asking about its role in the “bungled launch.” 

The blame for the rocky FAFSA rollout has largely been placed on the Department of Education, but the Democrats say General Dynamics also has a role in the problems and accountability is needed.  

“Your company has had the contract to develop the FAFSA online portal since 2015, and in June 2022, GDIT received a $121.8 million contract to modernize the FAFSA system following the changes made in the FAFSA Simplification Act,” the letter reads. “According to a company press release — which now appears to have been removed from your website — this was a ‘10-year contract [with] an 18-month base period with eight one-year and one six-month option periods.’” 

The company promised the changes to FAFSA would “improve the overall customer experience” and “allow students to more efficiently receive federal aid to help pay for college or career school.” 

“These promises were not kept; indeed, it now appears that your efforts to date have been a near-total failure and that the FAFSA problems caused by this failure are harming millions of students and hundreds of colleges,” the two Democrats said in the letter.  

General Dynamics has until April 23 to answer questions in the letter, including what payments they have received from the federal government and what warnings the company received about complications with the FAFSA rollout. 

The senators sent the letter ahead of a House hearing on Wednesday examining the FAFSA rollout and the problems during it.  

Many students have still not received their financial aid packages from colleges because universities have received wrong FAFSA information from the Department of Education.  

Some schools have delayed their decision deadlines because it is unclear if all students will be able to get their financial aid offers before May 1.  

The Hill has reached out to General Dynamics for comment.