The Institute's Accomplishments
Since our creation in 2004 and launch of the Project on Student Debt in 2005, the Institute has become a widely known and highly respected source of research and policy expertise on financial aid, college affordability, and related issues. Our research and analysis has shaped public understanding of financial aid and influenced policy and practice at the federal, state, and college levels. For example:
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The College Cost Reduction and Access Act of 2007 (CCRAA) established the new Income-Based Repayment program (IBR), which is modeled directly on our Plan for Fair Loan Payments. By capping student loan payments at a reasonable percentage of income, IBR assures that repayment will be affordable for borrowers who hit hard times.
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We created www.IBRinfo.org to tell consumers about IBR and Public Service Loan Forgiveness, another program established by the CCRAA. The site drew more than 20,000 registered users and over 100,000 visitors in its first year alone, and borrowers regularly thank us for providing critical information and updates not available anywhere else.
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Our annual state-by-state analysis of student debt has become an important source of information for the media, other researchers, policymakers, and the public. Student Debt and the Class of 2007 appeared in more than 300 news stories during the three months after its release.
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Our detailed comments and analyses have shaped the U.S. Department of Education's regulations for IBR, Public Service Loan Forgiveness, and other student loan issues; improved specific elements of the 2009-10 FAFSA; and helped make important information about federal student aid easier to find online.
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By developing practical solutions for simplifying the financial aid application process, we have renewed public interest in the issue. Both 2008 presidential candidates called for FAFSA simplification in their campaigns, and the Higher Education Opportunity Act of 2008 (HEOA) authorizes the Secretary of Education to pre-populate the FAFSA with tax data, as proposed in our well-received 2007 report, Going to the Source.
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We have formed effective coalitions with dozens of other national and regional organizations representing students, colleges, administrators, counselors, parents, professionals, and other stakeholders. Our work with other groups has focused on issues such ensuring access to fair loan payments, improving consumer protections for private-loan borrowers, and increasing the value of need-based aid.
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Our first California-focused report, Green Lights and Red Tape, found wide variations in community colleges' financial aid policies and practices that affect student access to aid. The response has been enthusiastic and ongoing: the system chancellor publicly praised the report and encouraged schools to re-evaluate their practices; many campuses have made changes based on our recommendations; and administrators have requested detailed follow-up such as trainings and technical assistance. Our findings have also led colleges in other states to examine their practices.
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Denied, our report on students' lack of access to federal loans at many community colleges, spurred constructive debate about schools' participation in the federal loan programs and was the subject of more than 100 news articles.
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Our Economic Diversity of Colleges database (www.economicdiversity.org) is the only publicly available, comprehensive source of campus-level data on student income, race, ethnicity, and loan usage. It is widely used by researchers, reporters, policymakers, and college administrators around the country.
Ongoing objectives:
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Increase funding for and access to need-based grant aid
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Strengthen consumer protections for private student loan borrowers
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Ensure that eligible borrowers learn about and take advantage of Income-Based Repayment and Public Service Loan Forgiveness
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Simplify the financial aid application process
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Maximize community college students' use of financial aid, especially in California
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Improve the availability and usefulness of higher education data
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Increase colleges' commitment to and accountability for affordability for low- and middle-income students
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Promote college practices and communications that lead to student access and success
