FY 2021 AGENCY FINANCIAL REPORT | U.S. DEPARTMENT OF EDUCATION 5

MANAGEMENT’S DISCUSSION AND ANALYSIS

The Department’s Approach to Performance

PERFORMANCE MANAGEMENT FRAMEWORK

In accordance with the GPRA Modernization Act of 20101, the Department’s framework for performance management 

starts with the four-year Strategic Plan, including its two-year Agency Priority Goals (APG), which serve as the foundation 

for establishing and implementing long-term priorities and performance goals, objectives, and measures by which the 

Department can gauge achievement of its stated outcomes. Progress towards the Department’s strategic goals and its APGs 

is measured using data-driven review and analysis. Additional information on performance management is available in the 

Annual Performance Plans and Annual Performance Reports.

The FY 2018–22 Strategic Plan is comprised of four strategic goals and five FY 2020 and FY 2021 APGs. The Strategic 

Plan aims to align the administration’s yearly budget requests and the Department’s legislative agenda, supported by the 

considerable experience and resources available from its staff. The Department will implement a new Strategic Plan for 

FY 2022–26 that will include new strategic goals and strategic objectives. Additionally, new APGs will be implemented for 

FY 2022 and FY 2023. Questions or comments about the Strategic Plan should be emailed to PIO@ed.gov.

FY 2018–22 Strategic Goals and Strategic Objectives

1 GPRA Modernization Act of 2010 amends the Government Performance and Results Act of 1993 (GPRA).

Strategic Goal 1: Support state and local efforts to improve learning outcomes for all prekindergarten–grade 12 students in every community.

Strategic Objective 1.1 Increase high-quality educational options and empower students and parents to choose an education that meets their needs.

Strategic Objective 1.2 Provide all prekindergarten–grade 12 students with equal access to high-quality educational opportunities.

Strategic Objective 1.3 Prepare all students for successful transitions to college and careers by supporting access to dual enrollment, job skills 

development and high-quality science, technology, engineering and mathematics (STEM).

Strategic Objective 1.4 Support agencies and institutions in the implementation of evidence-based strategies and practices that build the capacity 

of school staff and families to support students’ academic performance.

Strategic Goal 2: Expand postsecondary educational opportunities, improve outcomes to foster economic opportunity and promote an informed, 

thoughtful and productive citizenry.

Strategic Objective 2.1 Support educational institutions, students, parents and communities to increase access and completion of college, lifelong 

learning and career, technical and adult education.

Strategic Objective 2.2 Support agencies and educational institutions in identifying and using evidence-based strategies or other promising 

practices to improve educational opportunities and successfully prepare individuals to compete in the global economy.

Strategic Objective 2.3 Support agencies and educational institutions as they create or expand innovative and affordable paths to relevant careers 

by providing postsecondary credentials or job-ready skills.

Strategic Objective 2.4 Improve quality of service for customers across the entire student aid life cycle.

Strategic Objective 2.5 Enhance students’ and parents’ ability to repay their federal student loans by providing accurate and timely information, 

relevant tools and manageable repayment options.

Strategic Goal 3: Strengthen the quality, accessibility and use of education data through better management, increased privacy protections

and transparency.

Strategic Objective 3.1 Improve the Department’s data governance, data life cycle management and the capacity to support education data.

Strategic Objective 3.2 Improve privacy protections for, and transparency of, education data both at the Department and in the 

education community.

Strategic Objective 3.3 Increase access to, and use of, education data to make informed decisions both at the Department and in the 

education community.

Strategic Goal 4: Reform the effectiveness, efficiency and accountability of the Department.

Strategic Objective 4.1* Improve regulatory processes. 

Strategic Objective 4.2 Identify, assess, monitor and manage enterprise risks.

Strategic Objective 4.3 Strengthen the Department’s cybersecurity by enhancing protections for its information technology infrastructure, systems 

and data.

Strategic Objective 4.4 Improve the engagement and preparation of the Department’s workforce using professional development and 

accountability measures.

* Strategic Objective 4.1 was revised due to Executive Order 13992, Revocation of Certain Executive Orders Concerning Federal Regulation
6 FY 2021 AGENCY FINANCIAL REPORT | U.S. DEPARTMENT OF EDUCATION

MANAGEMENT’S DISCUSSION AND ANALYSIS

THE DEPARTMENT’S AGENCY PRIORITY GOALS

The Department identified five APGs for FY 2020–2021. These goals aimed to increase education choices, enhance 

multiple pathways for student success in career and job ready skills, improve the Department’s Federal Student Aid (FSA) 

customer service, improve student privacy protection and cybersecurity at institutions of higher education (IHE), and 

provide regulatory relief and burden reduction to stakeholders. The Department discontinued reporting on the APGs 

with the change of administration in January 2021. GPRA requires agencies to report quarterly updates of progress 

APG Education Freedom: Improve awareness of and access to high-quality K-12 education opportunities for students 

and families. By September 30, 2021, the Department will increase both the number and percentage of total charter 

school students and total scholarship students nationwide. 

• Charter school enrollment will increase from 3.29 million to 3.51 million (6.90 percent of all students in public schools). 

• The number of scholarship students, including participants in state-based vouchers, tax-credit scholarship, and education 

savings account program, will increase from 482,000 to 579,250 (1.10 percent of the total school age population). 

• The number of parents who receive support and engagement through technical assistance and other resources will 

increase by 5 percent per year.

Related Strategic 

Objective

Strategic Objective 1.1: Increase high-quality educational options and empower students and parents to choose an 

education that meets their needs.

APG Multiple Pathways to Success: Improve nationwide awareness of and access to career pathways that support 

job skills development and career readiness. By September 30, 2021, the Department will, through programs such as 

the Career and Technical Education and Adult Education State Grants:

• Support the creation and expansion of integrated education and training (IET) programs in all 50 states, Puerto Rico, 

and the District of Columbia. 

• Increase enrollment of participants in IET programs to 56,000.

• Support the enrollment of Career and Technical Education concentrators in science, technology, engineering, and 

mathematics (STEM) fields. 

• Increase by 25,000 the number of federal financial aid recipients who earn a postsecondary credential in STEM.

Related Strategic 

Objective

Strategic Objective 1.3: Prepare all students for successful transitions to college and careers by supporting access to 

dual enrollment, job skills development and high-quality science, technology, engineering and mathematics (STEM).

Related Strategic 

Objective

Strategic Objective 2.3: Support agencies and educational institutions as they create or expand innovative and 

affordable paths to relevant careers by providing postsecondary credentials or job-ready skills.

APG FSA Customer Service: Leverage the Next Generation Financial Services Environment (Next Gen FSA) to 

improve and personalize customers’ experience with Federal Student Aid (FSA). By September 30, 2021, FSA will 

transform its relationship with prospective and current customers through deployment of significant components of the 

Next Gen FSA that result in a personalized experience:

• The number of individuals submitting a Free Application for Federal Student Aid® (FAFSA®) through a mobile device 

will increase to 2.6 million. 

• The overall customer satisfaction level throughout the student aid life cycle, as measured by the FSA Customer 

Satisfaction score*, will increase.

Related Strategic 

Objective

Strategic Objective 2.4: Improve quality of service for customers across the entire student aid life cycle.

APG Student Privacy and Cybersecurity: Improve student privacy and cybersecurity at institutions of higher 

education (IHEs) through outreach and compliance efforts. By September 30, 2021, the Department will participate 

in 12 engagements with sector-related non-governmental organizations to inform the development of five best practice 

programmatic improvements.

Related Strategic 

Objective

Strategic Objective 3.2: Improve privacy protections for, and transparency of, education data both at the Department 

and in the education community.

APG Regulatory Reform: Provide regulatory relief to education stakeholders as necessary and appropriate**. 

(Related Strategic Objective: 4.1) By September 30, 2021, the Department will provide regulatory relief for education 

stakeholders by taking no fewer than eight deregulatory actions, which includes reduction in paperwork burden.

Related Strategic 

Objective

Strategic Objective 4.1: Improve regulatory processes.

* The Federal Student Aid Customer Satisfaction Score is an annual composite metric that measures the overall customer satisfaction level throughout the student aid life 

cycle for FAFSA® applicants (mobile and FAFSA.gov), Title IV aid recipients in school, and borrowers in repayment. The score is based on the American Customer Satisfaction Index surveys.

** The APG was discontinued due to Executive Order 13992, Revocation of Certain Executive Orders Concerning Federal Regulation
FY 2021 AGENCY FINANCIAL REPORT | U.S. DEPARTMENT OF EDUCATION 7

MANAGEMENT’S DISCUSSION AND ANALYSIS

made towards achieving APGs to a centralized website: 

Performance.gov. These APGs are intended to focus 

efforts toward achieving the priorities of the Administration 

leadership under which they were established. Consistent 

with this intention, when a Presidential election leads 

to a change in Administration, reporting on the APGs 

established by a different Administration to Performance.

gov is discontinued in a transition year (e.g., 2021) for the 

remainder of that APG cycle’s performance period (e.g., FYs 

2020–2021 APG cycle).

Goal 1. Support state and local efforts to 

improve learning outcomes for all P–12 

students in every community.

Strategic Goal 1 focused on outcomes related to 

the transition from the No Child Left Behind Act to 

implementation of the Every Student Succeeds Act (ESSA), 

which reauthorized the Elementary and Secondary 

Education Act in December 2015. The hallmark of the 

ESSA is the flexibility it provides for states to do what is 

best for children while preserving important protections 

for economically disadvantaged students, children 

with disabilities, English learners, and other vulnerable 

students. The law requires that states take steps to ensure 

all students have access to excellent teachers and positive, 

safe learning environments that equip them for college and 

career success. In FY 2021, $41.8 billion was appropriated to 

the Department in support of Strategic Goal 1.

The Department encourages families to be aware of 

educational opportunities and options so that they can 

make the best choice for their student’s needs. Access to 

high-quality educational opportunities should be afforded 

to all students. In FY 2021, the Department continued 

to support greater state and local flexibility in elementary 

and secondary education and encouraged providing school 

choice options to families. The Institute of Education 

Sciences’ (IES)-funded Research on Education Access 

and Choice (REACH) Center continued to study all 

forms of school choice and provide evidence-based 

resources through its What Works Clearinghouse

to inform and improve choice policy design and 

implementation to increase opportunities and outcomes 

for disadvantaged students.

Due to the COVID-19 pandemic, the modes and quality 

of educational instruction varied across the nation. The 

Department provided support and assistance to state 

education agencies (SEA), local educational agencies 

(LEA), families, and other stakeholders in the education 

community through various resources such as grants, 

technical assistance, and outreach activities. Resources 

included three volumes of the Department’s COVID-19 

Handbook, which focused on strategies for safely 

reopening elementary and secondary schools, roadmap 

to reopening safely and meeting all students’ needs, 

and addressing the impact of COVID-19 on higher 

education students, faculty, and staff. The Department 

published websites that shared best practices and lessons 

learned as schools reopened for in-person learning. 

Additionally, the Department provided guidance on 

the use of American Rescue Plan Act of 2021 (ARP) 

funding to include the Summer Learning & Enrichment 

Collaborative which called on states to use ARP funding 

to build effective summer programs to help address the 

lost instructional and extracurricular time students may 

have experienced as a result of the COVID-19 pandemic, 

particularly for underserved communities.

Goal 2. Expand postsecondary educational 

opportunities, improve outcomes to foster 

economic opportunity and promote an 

informed, thoughtful and productive citizenry.

Strategic Goal 2 focused on expanding the Department’s 

efforts to support innovative and accessible paths to 

postsecondary credentials and job-ready skills training. 

In addition to supporting expanded postsecondary 

opportunities, the Department has multiple initiatives 

focused on affordability. These initiatives ensure borrowers 

have the best information available to make postsecondary 

program selection and associated borrowing decisions. The 

Department also continues to help students understand 

their financial aid options and repayment obligations. 

In FY 2021, $31.9 billion was appropriated to the 

Department in support of this Strategic Goal 2. The 

Department awarded more than 6,000 discretionary 

grants designed to strengthen the capacity of colleges 

and universities to promote reform, innovation, and 

improvement in postsecondary education; promote and 

expand access to postsecondary education; and increase 

college completion rates for the nation’s students. In 

addition, funding for Strategic Goal 2 also supports the 

Department’s enhancements to FSA customer service. 

The Department continues efforts to help prepare the 

nation’s workforce of tomorrow with the right skills and 

credentials of today. In FY 2021, the Department continued 
8 FY 2021 AGENCY FINANCIAL REPORT | U.S. DEPARTMENT OF EDUCATION

MANAGEMENT’S DISCUSSION AND ANALYSIS

the reTHINK Adult Ed Challenge, which targeted the 

design of 100 or more new preapprenticeship programs 

involving partnerships between adult education providers, 

sponsoring apprenticeship organizations, and employers. The 

selected finalists came from a variety of institutions including 

institutions of higher education, local education associations, 

community or faith-based organizations, and correctional 

facilities. The Department awarded one grand prize and four 

runner-up awards between $100,000 and $250,000 to fund 

model design, scale-up and program implementation. The 

Department also supported the adult education and literacy 

practitioners with online professional development to support 

them in delivering virtual instruction during the pandemic. 

FSA provides more than $120 billion annually to students 

and their families. Enhancing the service provided to 

customers and stakeholders continues to be priority. In 

FY 2021, Aidan®, the StudentAid.gov virtual assistant, 

became available to all StudentAid.gov website visitors. 

FSA will continue to improve the user experience by 

adding new content, developing new capabilities, and 

refining the artificial intelligence model.

In FY 2020, the Department successfully placed more 

than 40 million federal student loan borrowers in 

administrative forbearance status. In FY 2021, FSA has 

ensured that student loan servicers have kept borrowers in 

a suspended repayment status, without accruing interest or 

being subject to adverse credit reporting. The Department 

is preparing to successfully return federal student loan 

borrowers to repayment in February 2022.

Goal 3. Strengthen the quality, accessibility 

and use of education data through better 

management, increased privacy protections 

and transparency.

Strategic Goal 3 focuses on strengthening data-driven 

decision-making in education by focusing on the ways 

the Department manages and makes available education 

data, while protecting student privacy. The Department 

is committed to improving how staff and stakeholders 

access, use, and share meaningful data on education 

while protecting privacy. These improvements enable the 

Department to provide stakeholders in the education 

community with timely and accurate information that 

allows them to make informed decisions. Approximately 

$574 million in discretionary resources was appropriated 

to support Strategic Goal 3 in FY 2021.

In December 2020, the Department completed and 

published its inaugural Data Strategy. The Data 

Governance Board guided the development of four goals—

strengthen agencywide data governance; build human 

capacity to leverage data; advance the strategic use of data; 

and improve data access, transparency, and privacy—

with 19 objectives. This Data Strategy provides a road 

map for the agency to improve education outcomes and 

lead the nation through evidence-based policy and datadriven decisions.

The Department collected information necessary 

to facilitate clear and transparent reporting on the 

implementation of the Coronavirus Aid, Relief, and 

Economic Security Act (CARES Act); the Coronavirus 

Response and Relief Supplemental Appropriations Act of 2021 

(CRRSAA); and the American Rescue Plan Act of 2021. 

The Education Stabilization Fund (ESF) Transparency 

Portal was launched, which allows the Department 

to track performance, hold grantees accountable, and 

provide transparency to taxpayers and oversight bodies. 

Additionally, the Department completed its first collection 

of annual performance reports from organizations that 

received CARES Act grants, using capabilities within 

the ESF Public Transparency Portal to enable grantees to 

submit annual performance reports on funding authorized 

through the Higher Education Emergency Relief Fund 

(HEERF), the Elementary and Secondary School 

Emergency Relief (ESSER) funds, and the Governor’s 

Emergency Education Relief (GEER) funds. 

The Department is committed to protecting student’s 

education data both within the Department and at 

educational institutions. In support of this commitment, 

in FY 2021, the Department engaged with nearly 1,000 

schools to inform, collaborate, and improve the security of 

student financial and privacy data. This engagement has 

led to improvements in outcomes, reduction of risks, and 

enhanced cybersecurity and student data privacy. FSA’s 

postsecondary cybersecurity team conducted more than 

20 outreach activities, both in response to breach incidents 

and proactively to improve compliance with cybersecurity 

safeguards. Additionally, the Department conducted 

outreach initiatives to more than 500 IHEs in response to 

Microsoft Exchange vulnerability to ensure that IHEs were 

aware of the vulnerability and took appropriate actions to 

remediate or prevent potential exposure.
FY 2021 AGENCY FINANCIAL REPORT | U.S. DEPARTMENT OF EDUCATION 9

MANAGEMENT’S DISCUSSION AND ANALYSIS

In FY 2021, the ESF Public Transparency Portal, 

launched in November 2020, was updated throughout 

the year to display awards made to and expenditures 

made by states, districts, and colleges authorized through 

the CARES Act, CRRSAA, and the ARP. The portal 

is used for key data collections associated with the 

ESF—specifically, the HEERF, GEER, ESSER, and 

equivalent Outlying Area funds. The Public Transparency 

Portal allows the Department to track performance, 

hold grantees accountable, and provide transparency to 

taxpayers and oversight bodies.

Goal 4. Reform the effectiveness, efficiency 

and accountability of the Department.

Strategic Goal 4 focuses in general on protecting taxpayers 

from fraud, waste, and abuse. This involves improving 

internal decision-making and operations to provide 

better delivery of services to stakeholders. In FY 2021, 

$624 million was appropriated to support Goal 4. 

Strategic Goal 4 includes the responsibility of the 

Department to implement enterprise risk management 

(ERM). The Department uses a coordinated approach 

to identify, measure, and assess challenges related to 

mission delivery and resource management. In FY 2021, 

the Department established the Office of Enterprise 

Data Analytics and Risk Management, which formally 

integrates ERM and operational internal controls 

activities and aims to provide leadership with actionable 

insights powered by data analytics. The office supports a 

culture of continuous process improvement in which data 

and awareness of enterprise risk are used to objectively 

inform strategic and operational decisions and optimize 

the Department’s performance. 

Strategic Goal 4 also includes the responsibility to ensure 

the Department’s workforce is properly trained and 

accountable. In FY 2021, the Department established the 

Department-wide National Engagement Strategy (NES), 

focusing on four key engagement areas: Leaders Lead, 

Collaborative Management, Merit Systems Principles, and 

Training and Development. Implementation of the NES 

will formalize and streamline ideas and feedback as well as 

assist in sharing best practices across the Department.