Under HSB 60, private universities would be prohibited from starting, maintaining or funding DEI offices unless required by accreditors or by law, with the risk of losing their eligibility to accept Iowa Tuition Grant dollars from students if they are found noncompliant. The Iowa Tuition Grant program provides scholarships to students who attend a private university in the state.
House Minority Leader Jennifer Konfrst voiced her opposition to the bill, saying it’s “fascinating” that the Legislature is willing to take funds away from students due to the actions of a private entity.
“I am always surprised to see that we’re butting into private businesses, even if they receive tax dollars,” Konfrst said.
The legislation passed through the committee 7-4 with a technical amendment to fix an error.
Previously tabled in a subcommittee meeting, HSB 61 would add community colleges to legislation passed last year barring state universities from starting, funding or maintaining DEI offices.
Rep. Monica Kurth, D-Davenport, said the legislation is “unnecessary,” as community colleges are already following the law despite it not currently applying to them, or are working on becoming compliant.
Collins agreed that community colleges are already in compliance with the proposed legislation, but said discussions with his caucus helped him determine that this rule should be codified regardless.
Rep. Heather Hora, R-Washington, described HSB 152 is a “transparency bill” that would require the Iowa student loan liquidity corporation, or ISL Education Lending, to provide Iowa College Aid with an annual estimate of the annual percentage rate, or APR, for the Federal Direct PLUS loan and the assumptions it used for the estimate. It would also need to list online possible APRs for college family loans and partnership loans, according to the legislation, and post comparisons between the terms and conditions of the federal and state loans.
Iowa College Aid will review the submitted information, Hora said, and if the corporation’s APR is found to be lower than the federal loan program’s, the organization would need to post the information on its website and notify colleges and universities, who would need to include the information in financial aid offers.
Rep. David Jacoby, D-Coralville, called the legislation “redundant,” as colleges and universities already practice these policies, but supported its efforts to provide more transparency for students.
He introduced an amendment to the committee that would set the annual state loan percentage rate at 2 percent, as it would keep the rate low and encourage more students to attend Iowa colleges. Hora said if passed, the amendment “would drive the Iowa student loan liquidity [corporation] out of business.” The amendment failed.
The legislation passed out of the committee with a 10-1 vote. Bills approved by the committee will head to the House floor for debate.
Brooklyn Draisey is a Report for America corps member covering higher education for Iowa Capital Dispatch, where this story first appeared.
