The Coming REVOLUTION (??) in Student Aid Delivery November 2, 1998 Sponsored by NASFAA, AACRAO, HEWI Washington, D.C. “Modernization of Student Loans” Dr. Keith Jepsen ( Director of Financial Aid New York University Project EASI Core Teamwww.nyu.edu/classes/jepsen

Evolution not Revolution, but... Let’s keep going “Revolution”---just a trick to get you here Change (modernization) is usually incremental Carly wasn’t yet 1 year old when Secretary Riley charged us to: “design, integrate, and develop a world-class comprehensive student financial aid delivery system using state-of- the-art information technology” (Project EASI). Last week we celebrated Carly’s 4th birthday. Per current ED discussions, Carly will be 9 years old when EASI/ED is “implemented.” There’s lots for all of us, not just ED, to do to implement Project EASI (more later).

Past, Present, and Future of Loans, etc. (using NYU for example) Two Reauthorizations ago: # Lenders serving NYU clients:200 + $ Borrowed:$30 million FFELP $5 Private Delivery:Many forms No standards “Stovepipe” systems

Past, Present, and Future of Loans, etc. (using NYU for example) Now: # Lenders serving NYU clients:  95% in 4 $ Borrowed:  $300 mil Federal (DL?)  $50 mil Private (incl. International loans)International Delivery:Project EASIProject EASI -- including EASI/ED -- including SSGSSSGS FAFSA on the WebFAFSA on the Web (no other forms) Standards CouncilStandards Council -- with ANSI FastWEB.com Multi-Year Note Access America for Students NY Mentor “NYU On-line, Inc.” (See Chronicle 10/8/98) Clearinghouse * * * Schools “connected” by 2000 * * * Performance-Based Organization

Past, Present, and Future of Loans, etc. (using NYU for example) # Lenders serving NYU clients: The Future (before the next Reauthorization):  3 (maybe NYU as lender FFELP) [caution re: DL] $ Borrowed:? Most students --- private loans too --- especially international Delivery: (“point and click” generation) Access America = student account Line of credit “Web-centric” student services 24 x 7 Open, common, integrated (per Carly) All providers delivering and being “graded” (SSGS)SSGS Electronic signatures Personal assistance/assistants Simulations by clients before “purchase” NY MentorNY Mentor--- “choose lender” from the School’s preferred lender list One-stop shopping More distance learning (Stock in “NYU On-line, Inc.”)

What should we do to prepare? How will we get there? Support ED to deliver EASI/ED “on time” or sooner Schools plan systems with software vendors to do non- ED portion of Project EASI vision Get web-enabled Think from client’s (Carly’s) perspective Think global Support the Clearinghouse -- for all students’ enrollment verificationClearinghouse Support Standards CouncilStandards Council Support ELMELM Support Access America for Students -- expand pilots Work with your state to bring Mentor to your state Push for distance learning financial aid EASI Corp.??