This bill significantly reforms the governance and funding structure of area education agencies (AEAs) in Iowa. It establishes independent boards of directors for each AEA, replacing the previous oversight by the Department of Education. The new governance model requires these boards to manage educational services for both public and nonpublic schools within their jurisdictions. Additionally, the bill modifies the budget preparation process, shifting the responsibility from the Department of Education to the AEA boards, which must now publicly announce budget hearings and post notices online and in local newspapers.

In terms of funding, the bill updates the financial mechanisms for AEAs, particularly concerning professional development and special education support services. It introduces a new calculation for the professional development supplement state cost per pupil, which will be determined annually by the Department of Management. The bill also ensures that if a district's calculated special education support cost falls below the base year, it will be adjusted accordingly. Furthermore, it clarifies the allocation of funds for media and educational services, emphasizing the need for AEAs to receive adequate financial support to enhance educational outcomes. Overall, these changes aim to improve the operational autonomy, accountability, and financial stability of AEAs in Iowa.

Statutes affected:
Introduced: 256B.3, 273.2, 273.5, 273.8, 273.23, 273.3, 257.1, 257.4, 257.9, 257.37A, 257.10, 257.16, 8.31, 257.35, 257.37, 273.6, 284.13