The purpose of this descriptive case study was to trace the policy production process of a state agency, the Iowa College Student Aid Commission (Commission), to its function today. This case study relied on a review of federal and state statutes, a news article search, biennium reports of the Commission, and information obtained from the agency's staff and website. Specifically, this case study examined the Higher Education Facilities Act of 1963, the Higher Education Act of 1965, and Iowa Code Chapter 261.1-261.127 (2003), results of a search of the New York Times archives, information collected about the Commission's organizational structure and rules, products and services, budget, and research conducted by the Commission's staff. The Commission transformed from an agency formed for one purpose, administrator of grants for the construction of academic facilities, into one with very different functions today, a guarantee agency responsible for approving Federal Family Education Student Loan Programs and insuring them against default and administering state funds. These state funds include need-based scholarships, grants and work-study opportunities and loan forgiveness programs. The case study profiles one of the Commission's need-based programs, the Iowa Tuition Grant, which is delivered by the Commission as a policy output (benefit) to eligible Iowa students using both vertical and horizontal governance strategies. Results show that state agencies originally created for one reason may transform into one with very different functions today. This case study and others similar provide an opportunity for researchers and practitioners to consider to what extent public policies systematically develop in any organized way and to what extent changes in policy is routine or irregular. Future researchers in this area will want to review Frank R. Baumgartner and Bryan D. Jones' (1993) punctuated-equilibrium theory to begin to answer these two questions. (Contains 2 tables.)