Buckton gives presentation in Greenfield against “vouchers” and ESAs

Margaret Buckton, with Iowa School Finance Information Services, the Urban Education Network and Rural School Advocates, gave a presentation in a legislative coffee format for those who are inquisitive to the school funding discussions stemming from the state legislature at Olive Branch Saturday, April 14.

Buckton’s talk, in favor of public dollars staying with public schools, and in support of public schools, was meant as a response to a presentation in favor of the like, given earlier this spring by Walt Rogers, a former state representative who is deputy director for the Iowans for Tax Relief Foundation.

ESAs, vouchers

Buckton first set the record straight that an ESA is not synonymous with a voucher. With a voucher, the state would pay a private school the bill. In an ESA, the state gives money to the parents, and the parents pay the bill. This distinction clears up many constitutional issues and leaves it up to parents to make their own choice about where their children will learn.

How school funding works

An example was given of what per-pupil funding could leave a public school if a student using an ESA would leave for a private school. In the example, eight different fields of cost totaled $10,616 that would follow a student to their school of choice.

The Legislative Services Agency says SF 2369 would result in a decrease of $79.1 million to the state’s general fund standing unlimited appropriation for State Foundation School Aid due to the 10,000 students no longer being counted in the public school enrollment. Buckton went on to say the bill maintains an estimated general fund appropriation of $55.2 million in fiscal year 2023 for Student First Scholarships and an increase of $23.9 million for a new standing unlimited general fund appropriation for a Student First Operational Sharing Fund.

Buckton said that annual expenditures from the Student First Operational Sharing Fund are estimated to include an additional weighting of two students ($14,688 per district, based on the district’s cost per pupil, if the School Budget Review Committee approves the school resource officer additional weighting) beginning in FY 2024. If all districts get the additional weighting, the cost is estimated to be $4.9 million from all funds. The total net fiscal impact, after eliminating the overlap of the two operations, is estimated to be $5.1 mliion from all funds.

Experience of ESAs in other places

Results were shared recounting the experience of ESAs in places like Florida and Mississippi.

Buckton observed that while test scores climbed in Florida when ESAs were implemented, it may not have been because of increased competitiveness among schools. She said this because of boosts the state made to both reading and preschools, retention policies, a reduction of special education students in public schools because of the ESAs, and a deficit in the number of special education students Florida tests versus Iowa.

Mississippi found in a 2020 review of its ESA program that many funds weren’t spent and had to be returned, parents found roadblocks in private schools trying to get their special education students services there, and when special education students were given services through private schools, the services often came from public school sources. Buckton also said that the Mississippi program began in a form where less than 10% of students, compared to Iowa’s proposal, were eligible.

Five key reasons

Five reasons Buckton thinks Education Savings Accounts or vouchers aren’t good policy for Iowa include:

• Iowa already has school choice

• Taxpayer dollars require accountability and a level playing field

• It’s a slippery slope toward a more expansive voucher system

• It’s a costly commitment

• Vouchers are bad for rural schools, even if there’s no private school option present

State Representative Ray Sorensen (R-Greenfield) said at the top of the conversation that while the state legislative session should be completed, it isn’t, primarily because of the “logjam” created by disagreement on details of the educational savings accounts or “voucher” bill.