It’s a mandate at the federal level. It’s a done deal that will happen. Although Congress gave some flexibility in the FAFSA Simplification Act of 2021, allowing some changes to be put off (universally, not per school) until 2024 due to implementation challenges, the number in college change is not difficult; therefore, there is no reason to believe it won’t happen as scheduled in 2023. I don’t know what the financial aid people meant, but it’s possible that they were talking about how their schools might handle the change for their own institutional aid. They definitely don’t get to opt out of federal rules for federal aid.
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