Focus on school funding this week

The battleground will shift from marriage to money in the Iowa Legislature this week as both the House and Senate take up school funding measures.

The proposals are about $65 million apart.

House Republicans are proposing zero percent allowable growth in the school funding formula, which, they say, would still cost the state about $215 million in each of the next two years.

That's both “irresponsible and unprecedented,” according to Rep. Nate Willems, D-Lisbon. Since the school aid formula was adopted in the 1970s, he said, the Legislature has never approved a zero percent increase.

The GOP plan “ignores the realities of inflation that drives our school districts' costs - insurance, utilities, salaries and transportations costs,” he said.

“In the context where people are talking $200 million in corporate income tax cuts, $700 million in personal income tax cuts, we think $65 million in additional state aid is responsible thing to do,” Willems said.

Senate Majority Leader Mike Gronstal, D-Council Bluffs, said Senate Democrats will approve a 2 percent increase in allowable growth that will cost the state just $65 million more than the House GOP plan.

“It's unbelievable that they would continue (zero percent) for two years,” he said. “In my mind, that's completely outrageous.”

Democrats, House Speaker Kraig Paulsen, R-Hiawatha, responded, “always talk in hyperbole on this.”

The zero percent commitment, tied with Republicans' commitment to fund the portion of the school aid formula left unfunded last year, “actually is the largest commitment to allowable growth that has been made in quite a few years,” Paulsen said.

“It's sure a great deal larger that what Democrats and Gov. Chet Culver did last year,” he added.

Senate President Jack Kibbie warned that the GOP plan would be hard on small, rural school districts with declining enrollment. About 277 of the state's 359 school districts have declining enrollment. School aid is tied to enrollment, so without the budget guarantee, they stand to see their funding decrease.

In those districts, Kibbie said, “zero percent is a huge property tax increase. At 2 percent, they will still have a property tax increase, but it will be much less than at zero.” He estimated the difference to be 60 cents per $1,000 of assessed valuation.

However, Paulsen said House Republicans are pushing a $47 million bill for the state to assume the responsibility of the budget guarantee.

Gronstal said Democrats planned to meet with constituents over the weekend to gather their ideas on zero percent allowable growth versus 2 percent.

Republicans also are gathering information, Paulsen said. He said. they've asked school personnel and board members, “Where can we free your hands so you can make the educational experience more rigorous, more efficient and less costly?”

The House is expected to take up two allowable growth bills - HF 184 and 185 - and the property tax pickup bill - HF 189 - on Tuesday.

The Senate Education Committee likely will pass a 2 percent allowable growth plan Tuesday, Gronstal said.