Federal Student Aid’s Transition to the Next Generation Loan Servicing Environment

The objective of our audit was to determine the extent to which Federal Student Aid (FSA) had processes for planning and managing the transition to the Next Generation (Next Gen) loan servicing environment to achieve the project’s intended outcomes. Although FSA had processes in place for planning and managing the transition to the Next Gen loan servicing environment, FSA did not perform key steps within those processes or follow best practices for acquisition planning that could have better ensured the proper planning and managing of the transition.