(Iowa Capital Dispatch) – U.S. Sen. Joni Ernst says she’s seeing increased support for a bill she introduced last year to reverse the inclusion of family farms and businesses as assets in the new federal student aid application. Ernst said the legislation is picking up steam in the wake of a Government Accountability Office report detailing decreases in completions of the Free Application for Federal Student Aid (FAFSA) this year. The FAFSA was released to the public three months later than usual last year. After its launch, students, families and universities experienced technical issues and other problems that led many universities to push back their financial aid timelines by months.

According to the Government Accountability Office report, FAFSA submissions from first-time applicants decreased by 9% this past cycle, as of late August, and the total number of applicants dropped by 3%. About 1.6 million students started but did not complete a FAFSA application this past cycle, according to the report. Data from the National College Attainment Network states that Iowa has seen an almost 10% decrease in FAFSA submissions from last year, as of mid-September. Lower-income students were impacted the most, according to the report. There was an 11% drop from dependent applicants in the $30,001-$48,000 income range and a 6% decrease from independent applicants with $30,000 or less in income.

U.S. Sen. Joni Ernst, left, spoke with higher education leaders and students March 25, 2024 at Graceland University in Lamoni. (Photo by Brooklyn Draisey/Iowa Capital Dispatch)

In a news release addressing the report, Ernst said the Family Farm and Small Business Exemption Act has received the endorsement of 24 education and agriculture groups. The bill would once again make family farms and businesses exempt from the assets definition in the FAFSA.