Heartland lawmakers seek to fix ‘fundamental’ roadblock for farm kids seeking student aid
Two bipartisan lawmakers from America’s agricultural heartland are introducing legislation to amend federal student aid provisions to assist students in farming families with accessing the financial support they need to attend college. Sens. Joni Ernst, R-Iowa, and Michael Bennet, D-Colo., along with Rep. Tracey Mann, R-Kan., are championing the Family Farm and Small Business Exemption Act.
The current household contribution formula for the Free Application for Federal Student Aid (FAFSA) is being criticized for its lack of understanding of how farming families operate and the unique nature of agricultural assets compared to more liquid assets typically held by other American families. FAFSA is a form that students can access starting on Oct. 1 each year to provide financial information ahead of state and school-specific aid deadlines.
The proposed bipartisan bill, known as the Family Farm and Small Business Exemption Act, seeks to exempt farms and small family businesses from considerations in the Higher Education Act of 1965. This exemption would provide a more accurate assessment for students in rural areas seeking federal aid.
The legislation aims to amend the FAFSA Simplification Act to reinstate the original exemption for all farmland, machinery, operational materials, and small businesses with fewer than 100 employees from being reported on the application. Sen. Joni Ernst emphasized the importance of ensuring that farming families do not have to sell their assets to afford college, highlighting the significant impact that grants and financial aid can have on rural students’ college decisions.
In a letter to Education Secretary Miguel Cardona in February 2024, Ernst and other lawmakers expressed concerns about Question 22 on the FAFSA application, which requests the net worth of a family’s business operations. They argued that this question fails to accurately assess the revenue streams of crops and livestock, which can vary annually and cannot be easily converted into cash to support a loan.
Rep. Tracey Mann, representing a significant agricultural district in Kansas, emphasized the need for clear and fair FAFSA policies for farm families facing challenges such as declining farm income and rising input costs. Mann stressed the importance of ensuring that assets tied up in family farms or small businesses do not hinder students’ eligibility for financial aid.
The lawmakers are hopeful that the Family Farm and Small Business Exemption Act will level the playing field for students from farming families while preserving the American dream for all students, regardless of their parents’ careers. The bill aims to make life easier for dedicated families and students in the agricultural sector by providing fair access to higher education financial aid.
In conclusion, the bipartisan effort led by Sens. Joni Ernst, Michael Bennet, and Rep. Tracey Mann underscores the importance of supporting students in farming families and ensuring equitable access to higher education opportunities. By addressing the unique financial challenges faced by agricultural families, the proposed legislation aims to create a more inclusive and supportive environment for rural students pursuing their educational goals.
