Colorado sees decline in FAFSA applications after series of delays and errors

DENVER — After a series of system errors caused a backlog of financial aid applications, the Department of Education is delaying the FAFSA's enrollment date to December 1 for the second year in a row.

In 2023, a new FAFSA application was rolled out for high school students. The new "simplified" FAFSA form was rolled out on December 31 instead of the expected October 1 date. The form was rife with issues that caused additional delays and the U.S. Department of Education said that a calculation error nearly cost students $1.8 billion in student aid.

Data from the National College Attainment Network shows that more than 14.4 million FAFSA forms were submitted in the United States this year, down from around 14.8 million in the previous year. There were 2,700 fewer successful FAFSA applications in Colorado, and the state was 45th in total applications nationwide.

"It had an impact on both enrollment and on college-going," said Dr. Angie Paccione, the executive director of the Colorado Department of Higher Education.

Paccione fears the delays could have long-term consequences for the state. They could reduce the number of college students, which in turn could worsen workforce shortages. Additionally, the lower number of applicants could cost the state between $30-50 million in federal education grants.

“We're leaving between $30 million in Washington, DC, that could come to Colorado students," said Dr. Paccione.

In August, the U.S. Department of Education said it would test the 2025-26 FAFSA application form before its release. The decision was made after last year's errors, and the department said in a news release that it would help them avoid future problems. The beta test starts on October 1; it's unknown at this time if Colorado students will participate.

"Hopefully, they have had some time to work through the glitches to make it a better experience," said Emily Carlson, a program coordinator for the Denver Scholarship Foundation.

The beta test will take in feedback from a few hundred students. Carlson hopes the sample size will cover students' issues with the new process but lamented the late start date.

"Students are discouraged, and they feel like they're not wanted or they don't belong in college," said Carlson.

The state is assisting students who are trying to file a FAFSA application. The Colorado Department of Higher Education offers sessions on Thursdays between 2 and 4 p.m. You can register here .

Colorado sees decline in federal financial aid applications after series of delays and errors