Iowa Senate Bill SF309

Iowa 2025-2026 Regular Session

• Introduced: 2/13/25
• Refer: 2/13/25

Caption

A bill for an act establishing the dependent of a disabled veteran tuition grant program within the college student aid commission and making appropriations.

Summary

Senate File 309 creates a new dependent of a disabled veteran tuition grant program administered by the Iowa College Student Aid Commission. The program would provide tuition and mandatory fee grants to eligible Iowa residents who are dependents of a veteran with a permanent 100% service-connected disability rating, as certified by the U.S. Department of Veterans Affairs. To qualify, a student must be under age 27, be claimed as a dependent on the veteran’s prior-year federal tax return, complete the required application and FAFSA, enroll at an eligible public regent institution or community college, and maintain satisfactory academic progress. The bill sets grant limits and payment rules. Full-time students could receive up to $10,000 per year, or less if tuition and mandatory fees are lower, for up to eight semesters or until they earn an associate or bachelor’s degree. Part-time students could receive prorated awards for up to 12 semesters under the same degree-completion cap. Grants would be awarded annually on a first-come, first-served basis, paid to institutions in semester installments, and subject to refund recapture if a student withdraws midterm. The bill also creates a dedicated fund in the state treasury for the program and appropriates $500,000 for FY 2025-2026 to seed that fund.

Impact

If enacted, the bill would add a new section to Iowa Code chapter 256 and expand state student aid law by creating a targeted tuition assistance program for dependents of totally disabled veterans. It would place administration with the College Student Aid Commission, require rulemaking, and establish institutional certification and refund procedures for participating colleges and community colleges. The bill also creates a nonreverting dedicated fund and directs a $500,000 general fund appropriation to support awards in the first fiscal year.

Sentiment

The available legislative history suggests generally favorable treatment of the bill. Its last recorded action is a subcommittee recommendation for passage, and there are no recorded votes or committee transcript excerpts showing opposition or debate. That indicates the proposal likely had at least preliminary support as a veterans’ education benefit measure.

Contention

No specific points of contention are documented in the provided history, but the bill’s structure suggests potential areas of policy discussion: the $10,000 annual cap, the age limit of under 27, the requirement that the student be claimed as a dependent on the veteran’s prior-year tax return, and the first-come, first-served funding approach. The appropriation amount and whether the program should be limited to regent institutions and community colleges, rather than all Iowa higher education institutions, could also be points of debate if the bill advances further.