This bill establishes a data security program within the Iowa Department of Education, aimed at enhancing the protection of student and district data. The program will allow school districts to opt into a data security service selected by the department through a request for proposals process. Participation in the program is on a school year basis, and once a district opts in, it cannot withdraw until the end of that school year. Additionally, the state board of education is tasked with adopting rules to administer the program, including setting eligibility requirements.

To support this initiative, the bill creates a data security program fund within the state treasury, which will be managed by the department. It appropriates $250,000 from the general fund for the fiscal year 2026-2027 to be deposited into this fund. Notably, the bill ensures that any unspent funds at the end of the fiscal year will not revert to the general fund but will remain available for future expenditures related to the data security program.