INDIANOLA, Ia. — Simpson College officials recently discovered a disturbing trend in the school's enrollment: The private college was attracting fewer and fewer students from low- to moderate-income families.

Historically, up to 40 percent of freshman students were from families in the lower half of the household income spectrum, officials said. But this school year, that number had shrunk to 25 percent.

“We don’t want to lose the opportunity to serve those families,” Simpson President Jay Simmons said.

So on Monday, college officials announced a new initiative believed to be the first of its kind in Iowa.

The Simpson Promise will cover the full tuition for Iowans who graduate from high school in May 2018 and enroll at Simpson — if their families had an adjusted gross income of $60,000 or less in 2016.

Tuition at Simpson this year is $38,412.

The program will allow Simpson to open its doors to up to 150 students annually who otherwise likely wouldn’t be able to attend a four-year college, officials said.

The program also will lessen the burden of student debt for scores of students, they said.

Simpson officials say they can absorb the additional cost within their existing budget.

Over the past decade or so, concern has mounted over the rising costs of attending college as well as the debt students have accumulated when they graduate.

Efforts have been made by some institutions to freeze costs or increase the amount of scholarships and grants they offer.

However, no other private college in Iowa has a program like The Simpson Promise, said Gary Steinke, president of the Iowa Association of Independent Colleges and Universities.

“I applaud this,” he said. “I think it is fantastic.”

What new Simpson program offers

The Simpson Promise is for any current Iowa high school senior who plans to enroll in college next fall.

Typically, students who qualify for the new program also would receive federal and state grants. Money from those two programs would be applied to the Simpson tuition.

In addition, The Simpson Promise will require students to:

Have a 2016 family adjusted gross household income of no more than $60,000. The median household income of Iowans in 2015 was $54,736, according to the U.S. Census.

Submit the Free Application for Federal Student Aid, or FAFSA no later than July 1, 2018.

Live on campus and pay room and board. This school year, those costs total $8,370, which is less than Iowa’s three public universities. Room and board this year at Iowa State University, University of Iowa and University of Northern Iowa ranges from $8,500 to $10,000, according to Iowa Board of Regents data.

Pay the difference between tuition in 2018-19 and any subsequent tuition hikes during their second through fourth years of college. Simmons estimated the total could be $6,000 in a student’s senior year.

The Simpson Promise scholarship is guaranteed for four years, regardless of whether a student's family income increases.

However, if an increase in family income results in a loss of federal or state assistance, Simpson will not make up that difference, officials said.

Students who drop out before graduating will not be required to pay back the scholarship, Simpson officials said.

Officials said all Simpson students currently receive financial assistance regardless of their family income, and no student pays the full annual cost of attending the Indianola college.

“This is going to make college a lot more doable for a lot of our students,” said Kristin Hilton, school counselor at Des Moines’ Central Academy.

She said many Des Moines students who would qualify for Simpson’s new program would be first-generation college students.

Those students would benefit from attending smaller colleges that provide more one-on-one support than at larger institutions, she said. “This (program) opens a lot of doors for these kids.”

In addition, it provides an opportunity to graduate with lower debt than other college graduates, Hilton said.

“Anyone in the state of Iowa who wants to go to college, better their lives and change their family’s lives, should be able to do it,” Steinke said. “What Simpson is doing is making that more possible.”

Students graduate with high debt

Iowa college graduates in 2016 left college with an average student debt of $29,801, the 19th highest in the nation, according to The Institute for College Access and Success.

In addition, 65 percent of Iowa college graduates had some debt when they left school, the eighth-highest rate in the country, the institute’s annual survey showed.

Simpson College graduates’ average student debt was $37,228 in 2016, the institute’s survey showed.

Graduating with lower debt will “free students up to be a better citizen of the economy,” said Pierce Carey, vice president of Simpson’s student body. “Instead of paying off student loans for the rest of their life, they can use that money to start a family, further their education, any number of things.”

Tracie Pavon, Simpson’s assistant vice president for enrollment and financial assistance, estimated the new program could lower a student’s debt by $8,000 to $54,800.

“It’s a huge commitment, but we think it makes a lot of sense for a lot of reasons,” she said.

The new initiative also could help boost the percentage of Iowans with four-year college degrees.

Currently, 28 percent of Iowans 25 and older have a bachelor’s degree or higher, according to census data. That rate ranks Iowa 30th in the nation.

Simpson's enrollment declining

Simpson, like many other private colleges across the country, has seen its enrollment drop.

In 2014, 1,412 full-time students attended the school. This year, full-time enrollment is 1,295, 8 percent less.

“We’re not in a bad spot,” Simmons said. But, “when we looked at our enrollment patterns, we did see that this group of families was declining pretty rapidly. When we realized what was happening, we thought this might be an option.”

Simpson officials haven’t decided whether the program will be offered to graduating high school seniors beyond 2018.

Simmons said if the program is successful, “I can see this lasting for years in the future.”

That is something Simpson student body president Sydney Samples would like to see.

“I love that we are trying to find creative ways to make sure Simpson is available and a valid option for all students in Iowa,” she said. “This is a first step — and it’s a great step.”