The purpose and direction of the Office of Student Financial Aid (OSFA) quality improvement program are described. The background and context for the Pell Grant quality control (QC) design study and the meaning of QC are reviewed. The general approach to quality improvement consists of the following elements: a strategic approach that enables OSFA to target technical assistance on high error-prone areas, while proceeding with an overall design strategy; an emphasis on both manual and automated QC measurement, enhancing existing databases and procedures; and an emphasis during the first year of the quality improvement program on the development of the measurement component of the program. The design for the OSFA quality improvement program is discussed, with attention to opportunities for quality improvement in the current delivery system. Also considered is the overall strategy for the improvement program that concentrates on institutional QC, external QC, internal OSFA QC, and a QC management information system. The critical targets for internal quality improvement are identified and measures are proposed. Finally, an implementation plan for the improvement program emphasizes the role of the corrective action component, implementing corrective action using the critical activities, and priorities for ongoing quality improvement. (SW)