Officials from two Iowa school districts joined representatives of two leading Iowa farm groups yesterday to literally stand behind Governor Terry Branstad as he unveiled a plan to divert some state tax money for school infrastructure projects to water quality initiatives. Lieutenant Governor Kim Reynolds says the show of solidarity sends a “powerful message” to legislators…
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The plan would extend the one-cent sales tax for schools that is set to expire in 2029 for another 20 years and dedicate most of the inflationary growth expected to ag land conservation projects. Sioux City Schools superintendent Paul Gausman says since the tax is scheduled to end in 13 years, his school is no longer able to use that expected tax revenue as collateral for bonds which are generally repaid over a 20 year period…
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Under the governor’s plan, schools would get just as much from the one-cent sales tax in future years as they’re getting this year, plus another 10-million annually. The rest of the inflationary growth in sales tax collections would be diverted to water quality projects
Legislative leaders from BOTH parties expressed reservations about the idea. Senate Democratic Leader Mike Gronstal said it was like robbing Peter to pay Paul and “undercuts” schools.