This bill aims to enhance education funding in Iowa by allowing community-based providers to directly participate in the statewide preschool program for four-year-old children, which was previously limited to certain school districts. It modifies existing laws to include community-based providers as approved local programs for preschool instruction, establishing specific requirements to ensure high-quality education. The bill outlines funding mechanisms for both school districts and community-based providers, allowing state preschool funding to be utilized for various educational purposes while maintaining accountability. Additionally, it introduces provisions for the application and selection process for participation in the preschool program and tracking student progress across both types of providers.

Furthermore, the bill expands the school tuition organization tax credit program by including licensed nonpublic preschools in the definition of a qualified school. These changes will take effect for school budget years beginning on or after July 1, 2026, and the amendments related to tax credits will apply to tax years starting on or after January 1, 2027. Overall, the legislation seeks to broaden access to preschool education and provide more funding avenues for community-based educational providers, ensuring that they can receive preschool foundation aid directly, similar to school districts.

Statutes affected:
Introduced: 256C.1, 256C.3, 257.16, 256C.4, 256C.5, 422.11S