Department of Education implements financial aid origination and disbursement system changes

By Marlene Seeklander

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The Department of Education took another step forward in the 2026-27 award year processing cycle with the implementation of changes this past weekend – some of which were required due to the changes under budget reconciliation.

In an April 23 Electronic Announcement, the Department of Education announced that it would implement changes to the Common Origination and Disbursement (COD) system for the 2026-27 award year on April 26.

Since rulemaking is currently in process for many of the new provisions from the Budget Reconciliation Bill, any changes from the forthcoming regulations would be provided at a later date.

Two attachments to the Electronic Announcement provide information on the 2026-27 COD System Implementation:

Reminders and 2026–27 Funding Authorization and Disbursement Information – This document provides reminders for the 2026–27 award year as well as 2026–27 funding authorization and disbursement information.

COD System Changes for 2026–27 – This document highlights the system changes implemented on April 26, 2026.

Questions should be directed to the FSA Partner and School Relations Center at 1-800-848-0978 or via email to CODSupport@ed.gov.

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