How does this in any way impact a "Student at a School", or infringe on the right to practice religion, speak freely, publish an article, peacefully assemble, or petition a grievance?
~or~
There is no public law that Churches are entitled to federal aid when they decide to challenge federal mandate based on personal dogma specifically denied in the First Amendment.
You have enough trouble with ignorance without choosing to be deliberately ignorant. This is about a church. It's about an accredited school that provides secular degrees in liberal arts. You want the government to punish them by withholding services that all other schools receive, because it doesn't want its rights violated.
If the government is allowed to punish people for exercising their rights, then it's as if those rights don't exist in the first place.
Your first paragraph, "how does this impact a student at the school" is a bit of a red herring. The government probably pays for 95% of all college education (counting federally-backed student loans and tax credits, and counting state contributions to public universities) in America. Which means that most of those students wouldn't be able to go to Liberty without federal aid. And, even if they could afford it, the huge price premium would likely dissuade them. So, the school itself would likely be forced to close. So, the choice you offer is give up your rights our go out of business.
The answer to "how does this impact a student at the school" is that it would prevent them from going to the school in the first place.