Regents rip education spending in new House budget

Associated Press

Updated at 6:40 p.m. CDT April 29

DES MOINES — The House approved on Friday approved a sprawling, $85 million spending bill that would bump the total state budget up past $5.1 billion, though it leaves spending on higher education well below the requests of the state Board of Regents.

Regent institutions would get an additional $2.5 million under the measure for a total of $15 million in funding, which the three regent universities will have to match in savings and efficiencies. The schools had hoped for $40 million.

Regents President Michael Gartner and Regent Robert Downer issued a statement blasting the spending level.

“The House proposal, if enacted, would force the universities down to mediocrity, diminishing educational opportunities, research capabilities, economic development efforts and public services to Iowans,” the statement said.

Instead of a 4 percent spending increase Republicans initially targeted, the standing appropriations bill raised spending by 7 percent, a $355 million increase over last year.

But the bill, which now goes to the Senate, remains about $200 million behind the $5.39 billion budget Gov. Tom Vilsack recommended.

“I think it’s one heck of a budget package,” said House Speaker Chris Rants, R-Sioux City.

The bill allocates an additional $8.9 million to add a paid, teacher in-service day, bringing total teacher compensation funding to $22.5 million. It provides no funding for salary increases.

That would move Iowa teacher salaries from its ranking of 38th in the nation to 29th, said House Majority Leader Chuck Gipp, R-Decorah.

“The state saw an increase revenue this year, and we plowed a significant portion of that back into teacher salaries,” he said. “Iowa’s first-rate education system will not be compromised, and House Republicans are ensuring that our classrooms continue to attract the best and brightest educators.”

There’s an additional $8 million for child care reimbursement rates, bringing early childhood funding to $20 million. The governor had tried to push lawmakers to dedicate $39 million to early childhood efforts.

Community colleges would get an additional $1.5 million for a total of $7.8 million in additional appropriations.

Both sides have pointed fingers at one another over budget problems, with Republicans saying Democrats were asking too much, and Democrats saying Republicans weren’t willing to make concessions.

Democrats proposed an amendment which narrowly failed that would have asked for an additional $65 million for early childhoood, regents and teacher pay, lifting it to the level the governor had requested.

“This is the top priority of the students of Iowa and the people of Iowa and we need to continue the excellence of education as our top priority,” Rep. Mark Kuhn, D-Charles City.

Rep. Bill Dix, chairman of the House Appropriations Committee, said the 9 percent growth that Democrats requested wouldn’t be sustainable.

The measure passed Friday also funds $160 million in property tax credits from the state’s reserves — the same level as the current year. It would create a fund that would capture money prior to it being deposited in the cash reserves so that the state’s bond rating wouldn’t lower as a result of spending that money from the reserves.

Allowable growth for county mental health, mental retardation and developmental disabilities would increase 2 percent or $4.9 million, bringing the total funding to $33.4 million.

One percent of the overall budget increase repays money to the Senior Living Trust Fund, a fund meant to help seniors stay in their homes longer. Lawmakers have continually dipped into the fund to help pay Medicaid shortfalls.

“One of the goals I have this year was that we began to repay the funds that have been borrowed from in the past, and we are accomplishing that goal,” Dix said.