Iowa House passes GOP plan to change AEA education services and school contracts

House Republicans' bill to change how school districts can contract a range of educational services was approved by the chamber Thursday, advancing a plan that diverges significantly from Gov. Kim Reynolds' initial proposal to overhaul Iowa's area education agencies.

House File 2612 retains the AEAs as the sole providers of special education services for districts across the state. It will allow those districts to seek private contracts for media and general education services — currently provided by AEAs — by 2025, and commissions a task force to provide recommendations on the role and future of the agencies.

Passage of the bill, the result of weeks of closed-door meetings, committee discussions and a public hearing, comes two months after the governor unveiled a plan to overhaul the agencies in her Condition of the State speech.

"Everybody agreed that there were areas to improve and that we could make changes," said Rep. Skyler Wheeler, R-Hull.

Wheeler and House Republicans' plan deviates in several major ways from the governor's pitch, which aimed to narrow AEAs' scope to focus strictly on special education services and send federal dollars directly to school districts.

Republicans in the Senate have also crafted their own changes on the issue, in a bill that differs in several ways from the House's and has not passed out of the full chamber.

Reynolds' initial proposal, which proved widely unpopular and died early in the House, continued to be panned by lawmakers during floor debate Thursday, including several Republicans.

Rep. Brent Siegrist, R-Council Bluffs and a former executive director of the Iowa AEAs, said the issue was "on nobody's agenda going into session." And the bill's sponsor expressed regret at how the issue was first broached at the Capitol.

"The rollout sucked," Wheeler said. "I wish we could go back. Personally, I wish I could go back. I think there could have been some things done differently."

The House's new plan earned passage on a 53-41 vote, despite nine Republicans joining Democrats in opposition.

More: Iowa special ed advocates say new House plan for AEAs is better, but more changes needed

Reynolds, in a statement on the bill's passage, thanked the House for "making progress" on the issue, asserting that the AEAs are "failing our students."

"Improving student outcomes has always been at the forefront," Reynolds said. "The system must provide transparency and accountability to school districts, those closest to our students, and drive consistency across the AEA regions to improve services for students with disabilities.

"That’s what I’ve heard from over 100 school districts as I’ve traveled the state, and I look forward to more conversations as the legislation moves forward," she added.

Democrats remained strongly critical of any changes to AEAs, calling the bill "a solution without a problem" and urging a slower timeline to conduct a more full evaluation of what changes are needed.

"On many levels, this has been rushed," said Rep. Monica Kurth, D-Davenport. "Too many questions remain unanswered. Why the rush? And how is this good for our kids?"

Several requested that the proposal be pared down to include strictly a task force, rather than restructuring of services and funding.

"People are concerned about the dismantling of the AEAs," said Rep. Art Staed, D-Cedar Rapids. "It's still taking place in this bill, little by little. Even this amended bill here, certainly fits the description of a hostile takeover."

Mike Beranek, president of the Iowa State Education Association, said the union remains supportive of the AEAs, and called the House plan "less draconian" than Reynolds' bill but still unnecessary.

"Thousands of Iowans have contacted legislators and the governor with support and praise about their experiences with their AEAs," Beranek said. "They are not being listened to. Any system can be improved, but such improvement needs to be thoughtful and responsive to Iowans' input."

More: Iowa ends contract with AEA-run program that helps families navigate disability services

House Republicans' AEA plan sends federal dollars to agencies, allows private contracts for services

Just as Iowa's nine AEAs would continue to be the sole provider of special education services under House Republicans' bill, so too would federal special education dollars flow directly to the agencies. That's a change from Reynolds' proposal, which would have sent those dollars directly to school districts.

State aid and property tax dollars that currently go to the agencies would flow directly to the school districts.

Contracting for media services and general education services, currently also under the sole jurisdiction of the AEAs, would now fall to districts. Boards can decide whether to continue paying the AEA under a "fee for service" structure, or they could choose to contract with a private provider.

None of the changes to services under the House plan would take effect until the 2025-26 school year.

More: Iowa lawmakers unveil AEA changes. Here's how they affect special education, teacher pay:

The Iowa Department of Education, which accredits the AEAs annually, would also take on a more prominent oversight role under the bill.

The education director would have authority over the agencies, with existing boards that make governing decisions moved to advisory roles. Budgets and policy decisions would fall under the director's purview.

And a new division with the Department of Education would be dedicated to oversight of the AEAs, with several of those positions embedded in regional offices.

A task force would be commissioned under the plan to study and make recommendations on AEAs' services, properties, oversight and staffing by the end of 2024. Its membership would be required to include multiple special education teachers, superintendents and parents; the Heartland AEA administrator; a nonpublic school leader; and multiple lawmakers.

What are the Area Education Agencies and why are there efforts to change them?

Iowa’s nine Area Education Agencies — Northwest, Prairie Lakes, Central Rivers, Keystone, Mississippi Bend, Grant Wood, Heartland, Green Hills and Great Prairie — are tasked with providing special education and other services to public and accredited private schools across the state.

Iowa established the agencies in 1974 to fill a “need for equal access to services” and following federal legislation in the 1960s and 1970s that focused on programming for students with disabilities.

They provide a range of services, including behavioral support, occupational therapy, professional development, crisis management and more.

During her Condition of the State speech, Reynolds said the AEAs have operated “without meaningful oversight” and have grown beyond their original mission of providing special education supports for school districts.

Galen Bacharier covers politics for the Register. Reach him at gbacharier@registermedia.com or (573) 219-7440, and follow him on Twitter @galenbacharier.

This article originally appeared on Des Moines Register: Iowa legislature: House passes plan to change area education agencies