SSB 1058 – School Start Date
SF 171 – FY16 School Aid Funding
SF 172 – FY16 Categorical School Aid Funding
SF 173 – FY16 Property Tax Replacement
SF 174 – FY17 School Aid Funding
SF 175 – FY17 Categorical School Aid
SF 176 – FY17 Property Tax Replacement
COMMITTEE ACTION:
SSB 1058 eliminates language prohibiting an early school start date and authorizes school districts and accredited nonpublic schools to determine a school start date for the school calendar that is based on the best educational interests of the students. The bill also eliminates a provision authorizing the Department of Education to grant waivers to allow school districts and accredited nonpublic schools to commence classes prior to the earliest starting date, and repeals a provision that establishes an aid reduction penalty for early school starts. [2/11: 12-3 (Behn, Johnson, Schultz “no”)]
COMMITTEE & FLOOR ACTION:
SF 171 provides a 4 percent increase in basic school funding for the school year beginning in 2015 (FY16). This is an increase to the General Fund of $128 million (for just this bill).
The budget guarantee compares the current year’s Regular Program District Costs (budget enrollment multiplied by district cost per pupil) to last year’s Regular Program District Costs, and if the current year is less than last year, the school district may be eligible for Budget Guarantee. The only way this will happen is with declining enrollment, but the decline must be large enough to not be offset by the state supplemental aid increase to the Regular Program District Costs. Setting state supplemental aid at 4 percent for FY16 means 60 districts will be on the “budget guarantee.” The budget guarantee will total $3.3 million.
Pre-K funding within the School Aid Formula has an enrollment increase of 764 students for a total of 22,690 students accessing the statewide voluntary preschool program. [Committee 2/5: 9-5 (Zaun excused); Floor 2/10: 26-24, (party-line)]
SF 172 sets the state supplemental aid rate for the school year beginning on July 1, 2015, for each of the State Categorical Supplements at 4 percent and totals $408.2 million, an increase of $66.4 million compared to the previous year. Funding amounts (including Area Education Agencies) for each initiative include:
- Teacher Compensation Supplement at $289.9 million, an increase of $12.1 million.
- Professional Development Supplement at $32.9 million, an increase of $1.4 million.
- Early Intervention Supplement (Class Size) at $33.9 million, an increase of $1.4 million.
- Teacher Leadership Supplement at $51.5 million. This is the first year the supplement has been funded through the school aid formula. This funding only impacts a third of Iowa students. [Committee 2/5: 9-5 (Zaun excused); Floor 2/10: 26-24 (party-line)]
SF 173 requires the state to pay for the incremental increase in property taxes associated with 4 percent state supplemental aid for the school year beginning on July 1, 2015. This totals $17.8 million for FY16. The bill would limit the “second effort” property tax portion to $750 per pupil through FY16. The amount is based on the cost per pupil level of $6,001 for FY13. Without this bill, under a 4 percent growth rate, property taxes would increase $32 per pupil to $782. Schools would get a 4 percent increase per pupil, but local taxpayers in each district won’t be paying the increase – hence, property tax relief. [Committee 2/5: short form (Zaun excused); Floor 2/10: 50-0]
SF 174 sets four percent increase in basic state aid for Iowa schools for the school year beginning on July 1, 2016. This specific bill costs $127.6 million. The budget guarantee compares the current year’s Regular Program District Costs (budget enrollment multiplied by district cost per pupil) to last year’s Regular Program District Costs, and if the current year is less than last year, a school district may be eligible for Budget Guarantee. The only way this will happen is with declining enrollment, but the decline must be large enough to not be offset by the state supplemental aid increase to the Regular Program District Costs. Under this formula, 86 school districts (25.4 percent percent) would be on the budget guarantee for a total of $10.8 million. [Committee 2/5: 9-5 (Zaun excused); Floor 2/10: 26-24 (party-line)]
SF 175 sets the state supplemental aid rate for school year beginning on July 1, 2016, for each of the State Categorical Supplements at 4 percent and totals $479.8 million, an increase of $71.7 million compared to the previous year. Funding amounts (including Area Education Agencies) for each initiative include:
- Teacher Compensation Supplement at $302.6 million, an increase of $12.7 million.
- Professional Development Supplement at $34.4 million, an increase of $1.4 million.
- Early Intervention Supplement (Class Size) at 35.3 million, an increase of $1.5 million.
- Teacher Leadership Supplement at $107.5 million. This is the second year the supplement has been funded through the school aid formula. This funding only impacts two-thirds of Iowa students. [Committee 2/5: 9-5 (Zaun excused); Floor 2/10: 26-24 (party-line)]SF 176 has the state pay for the incremental increase in property taxes associated with 4 percent state supplemental aid for the school year beginning on July 1, 2016. This is $18.8 million for this year, and a total of $62 million. The bill would limit the “second effort” property tax portion to $750 per pupil through FY17. The amount is based on the cost per pupil level of $6,001 for FY13. Without this bill, under a 4 percent growth rate, property taxes would increase $33 per pupil to $815 compared to 4 percent levels in FY16. [Committee 2/5: short form (Zaun excused); Floor 2/10: 50-0]