House File 2226 - Introduced HOUSE FILE 2226 BY STONE A BILL FOR An Act relating to education savings account program 1 eligibility and payments for children enrolled in an 2 accredited nonpublic school’s program for four-year-old 3 children and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5657YH (2) 90 dg/jh

H.F. 2226 Section 1. Section 256C.1, Code 2024, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 1A. “Approved nonpublic program” means 3 an accredited nonpublic school’s program for four-year-old 4 children approved by the department of education to provide 5 high-quality preschool instruction. 6 Sec. 2. NEW SECTION . 256C.6 Nonpublic programs. 7 1. The state board shall adopt rules pursuant to chapter 17A 8 to define the requirements for an accredited nonpublic school 9 preschool program to be approved for the purposes of qualifying 10 for payments from an education savings account established 11 pursuant to section 257.11B. Such rules shall not require an 12 approved nonpublic program to do any of the following: 13 a. Retain the services of a teacher licensed by the board of 14 educational examiners for the approved nonpublic program. 15 b. Partner or collaborate with a school district. 16 c. Partner or collaborate with community stakeholders. 17 2. A child that is eligible to participate in preschool 18 programming provided by an approved local program shall also be 19 eligible to participate in an approved nonpublic program. 20 Sec. 3. Section 257.11B, subsection 1, paragraph b, Code 21 2024, is amended by adding the following new subparagraph: 22 NEW SUBPARAGRAPH . (01) “Approved nonpublic program” means 23 the same as defined in section 256C.1. 24 Sec. 4. Section 257.11B, subsection 1, paragraph b, 25 subparagraph (1), Code 2024, is amended to read as follows: 26 (1) “Qualified educational expenses” includes tuition any 27 of the following: 28 (a) Tuition and fees at a nonpublic school , textbooks, fees . 29 (b) Textbooks. 30 (c) Fees or payments for educational therapies, including 31 tutoring or cognitive skills training , curriculum fees . 32 (d) Curriculum fees , software, and materials for a course of 33 study for a specific subject matter or grade level , tuition . 34 (e) Tuition or fees for nonpublic online education 35 -1- LSB 5657YH (2) 90 dg/jh 1/ 4

H.F. 2226 programs , tuition . 1 (f) Tuition for vocational and life skills education 2 approved by the department of education , education . 3 (g) Education materials and services for pupils with 4 disabilities from an accredited provider, including the cost of 5 paraprofessionals and assistants who are trained in accordance 6 with state law , standardized . 7 (h) Standardized test fees , and advanced . 8 (i) Advanced placement examinations or examinations related 9 to postsecondary education admission or credentialing. 10 (j) Tuition for an approved nonpublic program. 11 Sec. 5. Section 257.11B, subsection 2, paragraph a, 12 subparagraph (2), Code 2024, is amended by adding the following 13 new subparagraph division: 14 NEW SUBPARAGRAPH DIVISION . (e) A resident pupil who is 15 eligible to enroll in an approved nonpublic program. 16 Sec. 6. Section 257.11B, subsection 2, paragraph a, 17 subparagraph (3), Code 2024, is amended to read as follows: 18 (3) For school budget years beginning on or after July 19 1, 2025, resident pupils eligible to enroll in kindergarten 20 through grade twelve or an approved nonpublic program, and who 21 attend a nonpublic school for the applicable school budget 22 year shall be eligible to receive an education savings account 23 payment. 24 Sec. 7. Section 257.11B, subsection 4, Code 2024, is amended 25 to read as follows: 26 4. Each education savings account payment shall be equal to 27 either of the following: 28 a. For a student enrolled in kindergarten through grade 29 twelve, the regular program state cost per pupil for the same 30 school budget year. 31 b. For a pupil enrolled in an approved nonpublic program, 32 the regular program state cost per pupil for the same school 33 budget year multiplied by fifty percent. 34 Sec. 8. EMERGENCY RULES. The state board of education 35 -2- LSB 5657YH (2) 90 dg/jh 2/ 4

H.F. 2226 may adopt emergency rules under section 17A.4, subsection 3, 1 and section 17A.5, subsection 2, paragraph “b”, to implement 2 the provisions of this Act and the rules shall be effective 3 immediately upon filing unless a later date is specified in the 4 rules. Any rules adopted in accordance with this section shall 5 also be published as a notice of intended action as provided 6 in section 17A.4. 7 Sec. 9. EFFECTIVE DATE. This Act, being deemed of immediate 8 importance, takes effect upon enactment. 9 EXPLANATION 10 The inclusion of this explanation does not constitute agreement with 11 the explanation’s substance by the members of the general assembly. 12 This bill relates to education savings account (ESA) program 13 eligibility and payments for children enrolled in an accredited 14 nonpublic school’s program for four-year-old children. 15 The ESA program is a program established to assist pupils who 16 attend nonpublic schools in paying for qualified educational 17 expenses including but not limited to tuition, tutoring or 18 cognitive skill training fees, educational therapy costs, 19 software expenses, and expenses related to course materials. 20 Under current law, students enrolled in a preschool program are 21 not eligible for the ESA program. 22 The bill defines “approved nonpublic program” as an 23 accredited nonpublic school’s program for four-year-old 24 children approved by the department of education to provide 25 high-quality preschool instruction. 26 The bill requires the state board of education to adopt rules 27 to define the requirements for an accredited nonpublic school 28 preschool program to be approved for the purposes of qualifying 29 for payments from an ESA. The bill prohibits such rules from 30 requiring an approved nonpublic program to retain the services 31 of a licensed teacher for the approved nonpublic program, 32 partner or collaborate with a school district, or partner or 33 collaborate with community stakeholders. 34 The bill provides that all children eligible to participate 35 -3- LSB 5657YH (2) 90 dg/jh 3/ 4

H.F. 2226 in preschool programming provided by a school district through 1 the statewide voluntary preschool program are eligible to 2 participate in an approved nonpublic program. 3 The bill makes tuition for an approved nonpublic program a 4 qualified expense for the purposes of the ESA program. 5 The bill makes resident pupils who are eligible to enroll in 6 an approved nonpublic program eligible for the ESA program for 7 school budget years beginning on or after July 1, 2024. 8 The bill sets ESA payments for pupils enrolled in an approved 9 nonpublic school in an amount equal to the regular program 10 state cost per pupil for the school budget year multiplied 11 by 50 percent, which is the same amount per pupil a school 12 district receives for preschool students. 13 The bill allows the state board of education to adopt 14 emergency rules to implement the provisions of the bill. 15 The bill takes effect upon enactment. 16 -4- LSB 5657YH (2) 90 dg/jh 4/ 4