WASHINGTON––U.S. Senators John Boozman (R-AR), Joni Ernst (R-IA) and Michael Bennet (D-CO) introduced the bipartisan Family Farm and Small Business Exemption Act to reverse changes to the Free Application for Federal Student Aid (FAFSA) process that threaten to reduce or even eliminate access to need-based student aid for farm families and small business owners. 

Specifically, the legislation would amend the FAFSA Simplification Act to restore the original exemption of all farmland, machinery, other operational materials and small businesses with fewer than 100 employees from being declared as assets on the FAFSA form.

“We rely on our farm families to feed, clothe and fuel the world,” said Boozman. “Supporting agriculturalists by ensuring their children have the opportunity to access an affordable education is commonsense. As Chairman of the Senate Agriculture Committee, I am proud to champion a bipartisan solution that helps rural America’s future generations pursue higher learning.”

“No one should have to sell off the farm – or their small business – to afford college. As a farm kid myself, I know the enormous impacts grants and financial aid have on rural students’ decision to go to college,” said Ernst. “I’m fighting for Iowa families, so unfair policies don’t hold them back from investing in their child’s education.” 

“From Colorado to Iowa, federal financial aid helps ensure more students can afford college – including students from farm families, whose businesses are vital to our communities and economies,” said Bennet. “Our bipartisan bill will help ensure these students receive the financial aid they need.”

This legislation is also cosponsored by Senators Chuck Grassley (R-IA), Roger Marshall, M.D. (R-KS), Jim Justice (R-WV), Jerry Moran (R-KS), John Hoeven (R-ND), Mike Rounds (R-SD) and Thom Tillis (R-NC). 

Congressman Tracey Mann (R-KS-01) introduced companion legislation in the U.S. House of Representatives.

The Family Farm and Small Business Exemption Act is endorsed by several stakeholders including the American Farm Bureau Federation, National Association of Independent Colleges and Universities, National Association of State Student Grant and Aid Programs, Association of Public and Land-Grant Universities, SchoolHouse Connection, National Milk Producers Federation, United Egg Producers, Land O’Lakes and Farm Credit Council.

Find the full bill text here.