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KIA: FAFSA changes have driven a sharp rise in student aid demand, straining lottery-funded programs
Summary
KIA officials told the Budget Review Subcommittee that federal FAFSA methodology changes have increased eligible students and pushed state need‑based programs toward funding shortfalls, and they signaled requests for growth funding for dual credit and other scholarships.
Jo Carol Ellis, executive director of KIA, told the Budget Review Subcommittee on Education that the agency is seeing a substantial and sustained increase in demand for state student aid after the recent federal FAFSA methodology change.
"We entered a new era of student aid eligibility in fiscal year 25 with changes made to the federal methodology...resulting in a major increase in eligible students," Ellis said, and she thanked the General Assembly for additional one‑time appropriations that helped KIA run the award cycle more fully this year.
Becky Gilpatrick, KIA's director of student aid, said the FAFSA Simplification Act implementation produced a large rise in Pell‑eligible students and related CAP (College Access Program) applicants. KIA reported that CAP recipients rose from…
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