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SF 2204 – Basic School Aid for FY23 public schools in Iowa
SF 2204 is the basic school aid proposal by Senate Republicans. It increases State Supplemental Aid (SSA) to Iowa’s public schools by 2.25% over the previous year. This a total state cost per pupil of $7,400, an increase of $173 per student. The net impact is $162 million in state funds to schools.
However, the actual cost of this proposal to the state is only $103.7 million. Last year’s Republican tax bill requires $60 million of total funding to replace the commercial and industrial backfill. Additionally, Republicans have said they are factoring in an additional $15 million cut to AEAs, which would make the real increase to Iowa public schools in this bill $88.7 million.
There are 84 school districts that won’t get new money under this bill because their enrollments have dropped more than 2.25% funding increases can offset.
The proposal includes an additional $10 in per-pupil equity, but for 100 schools this is not additional funding; it’s property tax relief. The bill also continues the practice of using state funds to pay for the local portion of the 2.25% increase, which holds down property taxes but doesn’t provide additional funding for public schools.
Senate Republicans include a rate increase for transportation equity, but because 2.25% is not enough to get to the statewide average for transportation costs, an additional estimated $2 million is included in this bill. The bill continues an additional appropriation “in an amount necessary to make all transportation equity aid payments.”
[2/9: 12-8, party-line (Excused: Johnson)]