Iowa 2025-2026 Regular Session

Iowa Senate Bill SF2201

Introduced
2/5/26  
Engrossed
2/10/26  
Refer
2/11/26  
Enrolled
2/26/26  

Caption

A bill for an act relating to school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2026, modifying provisions relating to property tax replacement payments, transportation equity aid funding, funding for school district budget adjustments, and school district enrollment, establishing an education support personnel salary supplement, making appropriations, and including effective date and applicability provisions. (Formerly SSB 3100.) Effective date: 02/26/2026, 07/01/2026. Applicability date: 07/01/2026.

Impact

The legislation imposes a structured approach to property tax replacement payments, tying them to school enrollment figures and established funding rates. By implementing a state percent of growth that gradually decreases, the bill allows for predictable adjustments in funding while ensuring that school districts receive equitable access to resources. Additionally, the bill allocates funds to support education personnel, addressing compensation disparities and enhancing overall educational quality. The provisions are designed to take effect in multiple phases leading up to a comprehensive approach by July 1, 2026.

Summary

Senate File 2201 seeks to establish funding measures related to Iowa's schools, focusing on the state percent of growth and categorical percent of growth for the coming budget years. The bill modifies provisions concerning property tax replacement payments, aid for transportation equity, and budget adjustments for school districts, thereby impacting the financial management of education at the state level. It specifically targets financial frameworks to ensure that school districts have consistent and sufficient funding in place to support both educational services and personnel wages.

Sentiment

The sentiment around SF2201 reflects a proactive stance towards enhancing school funding and mitigating budget discrepancies. Supporters view the provisions as essential for improving the financial health of school districts while addressing historical inequalities in educational funding. Conversely, there are concerns regarding potential limitations and how future funding growth might impact district revenues. Opponents emphasize the need for more robust, adaptive measures that can respond to the real-time needs of schools and students.

Contention

A notable point of contention within the deliberation includes the magnitude of change in growth percentages and the sufficiency of property tax replacements. The bill sets clear financial growth expectations but raises discussions regarding its long-term sustainability and effects on local property taxes, with arguments on both sides about the balance between state support and local revenue generation.

Companion Bills

IA SSB3100

Related A bill for an act relating to school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2026, modifying provisions relating to property tax replacement payments, the regular program state cost per pupil, funding for school district budget adjustments, and school district enrollment, and including effective date and applicability provisions.(See SF 2201.)

Previously Filed As

IA SSB3100

A bill for an act relating to school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2026, modifying provisions relating to property tax replacement payments, the regular program state cost per pupil, funding for school district budget adjustments, and school district enrollment, and including effective date and applicability provisions.(See SF 2201.)

IA SSB1053

A bill for an act relating to school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2025, modifying provisions relating to the property tax replacement payments, and including effective date provisions.(See SF 167.)

IA HF319

A bill for an act relating to public school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2025, modifying provisions relating to the property tax replacement payments and transportation equity payments, modifying provisions relating to the regular program state cost per pupil and funding for shared operational functions, establishing a school district funding supplement, making appropriations, and including effective date provisions.(Formerly HSB 138.)

IA HSB138

A bill for an act relating to public school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2025, modifying provisions relating to the property tax replacement payments and transportation equity payments, modifying provisions relating to the regular program state cost per pupil and funding for shared operational functions, establishing a school district funding supplement, making appropriations, and including effective date provisions.(See HF 319.)

IA SF167

A bill for an act relating to school funding by establishing the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2025, modifying provisions relating to the property tax replacement payments, modifying provisions relating to the regular program state cost per pupil and funding for shared operational functions, and including effective date provisions. (Formerly SSB 1053.) Effective date: 05/19/2025.

IA SF2472

A bill for an act relating to state and local government taxes, fees, financial authority, and budgets, by modifying property assessment provisions, divisions of revenue, and funding from the secure an advanced vision for education fund, establishing a program for first-time homebuyers, modifying and making appropriations, and including effective date, applicability, and retroactive applicability provisions. (Formerly SSB 3001.) Effective date: 05/18/2026, 07/01/2026, 01/01/2027. Applicability date: 01/01/2026, 07/01/2026, 01/01/2027, 07/01/2027, 07/01/2028.

IA HF2493

A bill for an act relating to the statewide preschool program by modifying provisions relating to eligibility, funding, and compulsory attendance and including applicability provisions. (Formerly HF 2092.) Effective date: 07/01/2026. Applicability date: 07/01/2027.

IA HF954

A bill for an act relating to the conduct of elections, and including effective date and retroactive applicability provisions. (Formerly HSB 281.) Effective date: 07/01/2025, 01/01/2026. Applicability date: 01/01/2024.

IA HF2770

A bill for an act relating to and making appropriations to the justice system, providing fees, and including applicability provisions. (Formerly HSB 775.) Effective date: 07/01/2026. Applicability date: 07/01/2026.

IA HF2131

A bill for an act relating to the timing for establishment of the state percent of growth and the categorical state percent of growth, and including effective date provisions.

Similar Bills

No similar bills found.