FSA System Access Overhaul Highlights Need for Proactive User Management

Federal Student Aid (FSA) has issued an important update that impacts all institutions and partners accessing systems via the Access and Identity Management System (AIMS). Starting May 18, 2025, the inactivity threshold for user access will be significantly reduced, and new self-service tools will be rolled out. These changes not only emphasize data security, but they also appear to align with recent staffing changes at FSA, potentially as a response to the current administration's federal workforce reduction efforts, including the departure of numerous FSA personnel.

Key Changes to Know

1. Inactivity Threshold Reduced from 90 to 30 Days
Users who do not access FSA systems, such as the COD website, FAFSA Partner Portals, NSLDS Professional Access, and SAIG Enrollment within 30 days will have their access disabled. This is a sharp reduction from the previous 90-day window and will require institutions to remain vigilant in maintaining user activity.

2. New Self-Service Tools for Re-Activation
FSA has added more user-friendly features to minimize downtime:

• Reactivate Access: Users can now re-enable access themselves if disabled due to inactivity.

• Multi-System Access Management: From a single screen, users can re-enable access to multiple systems and roles.

• Failed Log-In Recovery: After three failed attempts, users can trigger a recovery workflow that includes challenge questions and token verification.

3. Permanent Deactivation After One Year
If access remains inactive for 365 days, it is permanently revoked. Re-enrollment must then be handled by the institution's Primary DPA via the SAIG Enrollment system.

Implications for Institutions

While these updates promote system security, they also carry operational risks. Institutions must now manage user activity with more urgency and precision to avoid disruptions in financial aid processing and compliance workflows. The addition of self-service tools is a welcome improvement, but it assumes users are trained and aware of these features in real time.

How JH Strategic Group Can Help

JH Strategic Group offers targeted compliance and operational support services to institutions navigating federal Title IV changes. Here’s how we can assist in response to this update:

• Training and SOP Development: We help institutions develop internal policies that align with FSA’s new 30-day access requirement, including staff training on using the new self-service tools effectively.

• Outsourced DPA Support: For institutions with high staff turnover or limited IT capacity, we provide DPA level guidance and oversight to ensure timely re-enrollment of users.

• Policy Advisory Services: We assist in interpreting the policy rationale behind federal changes, such as those related to the current administration’s workforce restructuring, and help institutions adapt proactively.

Final Thoughts

FSA's latest system access policy is a clear move toward tightening data security and aligning federal systems with private sector IT standards. Institutions that prepare now by updating internal controls and user management practices will be in the best position to stay compliant, and avoid access disruptions moving forward.

If your institution needs support navigating these changes, JH Strategic Group is here to help.