This report presents an assessment of the U.S. Department of Education's Federal Family Education Loan Program (FFELP) and the new Ford Federal Direct Loan Program (FDLP) by the Advisory Committee on Student Financial Assistance (ACSFA), along with recommendations to help improve FFELP and FDLP. It found that congressional priorities and the positions of the education community contrast dramatically with the Department's overriding interest to move quickly to full scale implementation of FDLP. The report asserts that although the Department has the capacity to manage these student aid programs effectively, it is primarily focusing its resources on the implementation of FDLP, ignoring necessary reforms to FFELP and failing to address program integrity issues in Title IV programs. It concludes that FFELP remains flawed and that FDLP systems and policies cannot ensure program integrity and institutional accountability, and that certain features require modification to support smooth operations as the program expands. Specific recommendations are provided to improve the management, delivery, and operations of FFELP and FDLP. An appendix lists ACSFA members and staff. (MDM)