Self-report gives Federal Student Aid office high marks, but Education Dept. Inspector General says problems persist.(dateline Washington)

WASHINGTON -- The annual self-evaluation by Federal Student Aid said the sprawling agency met most of its strategic goals in fiscal year 2007.

The office said it met 21 of its key goals, failed to meet just three, dropped two and is still reviewing one. The evaluation is based on criteria established by the office as part of its five-year plan.

In the office's 2007 Annual Report, the agency noted that it has an annual budget of $644 million and employs 1,000 people working in Washington and 10 regional offices.

The highly-technical report acknowledges the difficulties that have drawn scrutiny from Congress and the media over the past year in monitoring lenders, guaranty agencies and other financial partners. The report states that a corrective plan will be in place by December 2008.

The FSA office is the focus of a second recent …