What does the 2.25 percent deal on educational funding really mean for Decorah?

The recent Iowa Legislature deal on educational funding, with a 2.25 percent increase in Supplemental State Aid settled some of the uncertainly for schools as they develop their budgets for next year, but what does it really mean?

Actually, Decorah will receive about $153,000 in additional Supplemental State Aid (SSA), or about a 1.69 percent increase in that revenue source. The funding is based on certified enrollment figures, and some neighboring school districts with declining school enrollments will actually see a decrease in this funding.

Superintendent Mike Haluska said that in order for the District to move along the established salary schedule for teachers, utilizing SSA, funding increases would have needed to be about $236,000.

It should be noted that  the Supplemental State Aid provides only part of a school district budget, and the total Decorah School District General Fund budget will actually increase by about 2.6 percent next year.  The total proposed budget for Decorah Schools next year is about $29.6 million. So that does mean cuts for the District. For example, it is likely that most of the early retirement positions for the upcoming year will not be filled.

Haluska said it was good to get the funding settled, and acknowledged that it is better than the "zero funding increase" that was used to build the budget for next year. This will bring down the tax rate proposed in the budget earlier this month.  He noted that this continues a six year trend of funding that does not adequately address school needs in the state. He also observed that the three parties involved – the Governor, the House, and Senate – could not come to agreement on the available dollars as determined by the non-partisan Legislative Services Agency.

Fortunately for Decorah, the taxable valuation for the District has increased and even allowed for a tax rate decrease. Decorah also benefits from a positive number of open enrollments.  Many districts are not so fortunate. Some are also hit by decreasing enrollment and the loss of per pupil money due to open enrollment transfers to neighboring districts (or, as reported earlier by decorahnew.com, to online education programs that may not even be operated in the state).