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On November 26, 2025, the U.S. Department of Education released an electronic announcement that describes planned enhancements to the electronic application for approval to participate in the Federal Student Financial Assistance Programs (E-App) on December 7, 2025. The E-App is part of the Department's Federal Student Aid Partner Connect platform utilized by institutions participating in Title IV, Higher Education Act, programs to update or report eligibility information.
In addition to general improvements to the user experience throughout the E-App, the Department noted two significant platform changes that will require attention from institutions of higher education. The Department stated that it will provide guidance in early December to help its users better understand the changes.
Officials' Personal Information
First, the E-App will no longer require personal information from all officials listed therein, including board members and officials at the institution and its parent entities.Instead, only the institution's president and one additional official will be required to provide personal contact information as a precaution in the event of a natural disaster, major security breach, school closure or other emergency. Prior to this change, the E-App required all institutional board members as well as the CEO, CFO and COO of the institution and its owner entities to provide business and personal contact information. This change is likely welcomed by institutions, both from an administrative burden perspective as well as a data privacy perspective.
Compliance Self-Certification
Second, in several areas that formerly required an active review by the Department prior to E-App approval, the Department has indicated a shift to having institutions self-certify compliance in the following areas:
Policies and Procedures
Institutions are no longer required to submit the following policies and procedures during the recertification process for Department review and approval:
- Satisfactory academic progress
- Return ofTitle IVfunds
- Refunds
- Admissions
Institutions will instead self-certify that these policies and procedures comply with federal regulations and statutes.
Debarment Check for Institution Officials
Institutions will self-certify that officials listed on the Eligibility Certification Approval Report are not listed on the U.S. government's debarment list.
Gainful Employment (GE)
Institutions will self-certify that each GE program meets the requirements of 34 C.F.R § 668.604(d).
Prison Education Programs (PEP)
Institutions will self-certify the accuracy and compliance with PEP requirements for each PEP program.
What This Means for Institutions
This streamlined review is beneficial but may pose new risks for institutions. Without the Department's periodic review of policies and procedures, there is an increased likelihood that institutions may operate with a policy or procedure that is not compliant with federal regulations and statutes.
Self-certification in these areas is now covered by the certification statement that the institution's president signs at the end of the E-App. If the Department determines that the self-certification in any of the above areas is "false or misleading," the Department may deny the institution's eligibility for participation in Title IV programs and find the institution liable for financial aid funds that its students received. The Department's shift to rely upon institutions' self-certification also comes with potentially significant False Claims Act risks. The False Claims Act is the government's principal enforcement tool when federal funding recipients use self-certification. Where a certification material to the government's payment decision is false and is made knowingly (including with reckless indifference to its truth), the False Claims Act provides for treble damages and significant penalties.
Even if the self-certification of a deficient policy or procedure is not deemed by the Department to be false, institutions that provide misleading statements or violate the program participation agreement terms may be found liable for improper disbursement or retention of funds made under these policies through the annual compliance audit or in a Department program review.
Institutions are advised to work with experienced counsel to set up internal controls to demonstrate compliant policies and procedures in self-certification, and especially during recertification, through documentation and other methods. The importance of contemporaneous documentation of adherence to such controls, the accuracy of certifications and the bases for any judgment calls cannot be overstated in mitigating potential False Claims Act risks. The False Claims Act affords the government particularly expansive investigative powers and also permits "whistleblowers" to raise claims on the government's behalf. Questions about the inaccuracy of certifications (and the institutional knowledge or recklessness of that inaccuracy) can trigger broad, fact-intensive and costly investigations. Understanding these risks—and the types of compliance artifacts that may be useful to mitigate them—is essential.
About Duane Morris
The Duane Morris Higher Education Group has experience guiding associations, institutions and other interested parties in identifying key issues at stake in rulemaking proceedings, preparing substantive input for consideration by negotiating committees, framing and drafting public comments and holding constructive meetings with government officials during the rulemaking process. Our lawyers regularly represent clients in False Claims Act investigations and enforcement actions and advise clients on mitigating those risks.
For More Information
If you have any questions about this Alert, please contact Katherine D. Brodie, Daniel R. Walworth, Matthew Steinway, any of the attorneys in our Higher Education Group or the attorney in the firm with whom you are regularly in contact.
Disclaimer: This Alert has been prepared and published for informational purposes only and is not offered, nor should be construed, as legal advice. For more information, please see the firm's full disclaimer.
