DES MOINES, Iowa -- While the AIB College of Business' decision to abruptly close leaves students uncertain about their futures, one thing is certain: taxpayers will be paying nearly two million dollars in grants to the college before it closes, even though no one can say for sure what value an AIB education will have for students who won't have the opportunity to graduate.
Last year, 573 AIB students received money through the Iowa Tuition Grant program, a $48 million program that allows low income students to receive grants to attend private universities. AIB pocketed $1.7 million from those grants this academic year. But even though the school is closing next year, students who are eligible for the grant can get it and pass it on to AIB.
"They are eligible for the next year so yes, if they choose to stay at AIB that funding would go to pay their tuition, fees, expenses at AIB," said Heather Doe with the Iowa College Student Aid Commission.
State Representative Bruce Hunter (D) Des Moines questions the wisdom of giving tax money to a college that is circling the drain.
"One point seven million dollars is probably going to go to AIB for no reason. What I think should happen is University of Iowa should just step up to the plate, accept these kids as they were told in the beginning into the University of Iowa and then deal with it from there."