Education Committee – Week 6, 2022


HF 2316 – Basic School Aid for FY23 public schools in Iowa 

HF 2316 is the Republican bill to increase basic school aid by 2.5%. This provides a total state cost per pupil of $7,413, an increase of $186 per student. The net impact is $162 million in new state funds to schools. However, the real increase to Iowa public schools under this bill is $98 million. The Governor has proposed $95 million additional for schools by increasing basic school aid by 2.5% (she didn’t propose an additional $5 per pupil equity).

This bill includes a State Supplemental Aid rate increase for Transportation Equity (to even out busing costs between school districts), but because 2.5% is not enough to get to statewide average cost and costs have increased, an additional estimated $2 million is included in this bill. Eighty-one school districts won’t get new money at this level of school funding because their enrollments are dropping more than the 2.5% funding increases can offset. The proposal includes an additional $5 per pupil equity, but for many schools this is not an increase in school funding but property tax relief. The bill also continues the practice of using state funds to pay for the local portion of the 2.5% increase, which holds down property taxes but doesn’t provide additional funding for public schools.
[2/14: 31-17, party-line]