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Luke Clausen, Iowa Capital Dispatch
Back in Washington after a week in their districts, members of Iowa’s congressional delegation focused this week on student loans.
The Iowa Republicans also worked on issues dealing with first responders, transgender athletes, cattle pricing, parents’ rights, China and more.
Sen. Chuck Grassley and Minnesota Democratic Sen. Tina Smith reintroduced a trio of bills in the Senate aimed at increasing transparency in college cost and financing.
“The federal government should be offering commonsense resources to better prepare borrowers,” Grassley said in a press release. “These bills would provide additional counseling, resources and clarity to the student loan process so that America’s next generation of leaders can pursue higher education opportunities without breaking the bank.”
The Net Price Calculator Improvement Act aims to “improve the effectiveness of and access to net price calculators,” a tool commonly used to estimate the cost of a college education, according to a news release.
The Understanding the True Cost of College Act would “create a universal financial aid offer form and standardize terms used to describe financial aid to allow students to more easily compare financial aid packages between schools.”
The Know Before You Owe Federal Student Loan Act would “make loan counseling an annual requirement before new loans are disbursed, rather than a one-time requirement for first-time borrowers” and let students “decide exactly how much they would like to borrow, rather than offering the maximum possible loan amount as the default option.”
All three bills have companion legislation introduced in the House, timed as the U.S. Supreme Court heard challenges to President Joe Biden’s student debt relief program. This comes after Grassley and Sen. Joni Ernst introduced the STUDENT Act earlier this year, a bill that would “provide student loan applicants with an estimate of the total amount of interest they would pay prior to accepting a loan.”
“Student debt will continue to rise as long as students and their families are misled by colleges about the true costs associated with education,” Ernst said. “That’s why I partnered with Senator Grassley on this commonsense bill to ensure a streamlined, transparent process that equips families to make informed decisions before incurring debt.”
Rep. Randy Feenstra introduced companion legislation to the STUDENT Act in the House. The Know Before You Owe Federal Student Loan Act was introduced by the entire Iowa House delegation.
“Making the decision to take on debt to pay for higher education is a big decision for young Iowans, so we want them to be empowered with all the resources needed to make that decision,” Rep. Zach Nunn said. “It’s important for students to know exactly what they are getting into before making a commitment, and that’s why we are here to ensure Iowans know before they owe.”
This story has been edited for length. Read the full story here.
Iowa Capital Dispatch is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. Iowa Capital Dispatch maintains editorial independence. Contact Editor Kathie Obradovich for questions: info@iowacapitaldispatch.com. Follow Iowa Capital Dispatch on Facebook and Twitter.
