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Board of Education: Fiscal Issues

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Six Things You Should Know About Iowa School Finances...

by Jay Lutt

July 05, 2005

  1. Enrollment: The number of students enrolled by the third Friday in September determines the school district's budget. More students may enroll after this date, but the budget is set.
  2. Equalization: The State Legislature established a law that "cost per student" across the state will be equal to ensure every student equal access to a quality education.
  3. Allowable Growth: The State Legislature controls the annual increase in dollars available per student. This is called "allowable growth."
  4. Balance: The ratio of property tax and state aid supporting a district's budget varies by district. Property-rich districts receive less state aid.
  5. Employees: The school distract budget is "people intensive" with 80% allocated to salaries and benefits.
  6. Restricted Funds: "Restricted funds" cannot be used to support the general operating fund.

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