2025 Legislative Summary Report

Executive Summary

The 2025 Legislative Session reaffirmed the value of community colleges in Iowa’s education and workforce landscape while simultaneously expanding compliance demands and introducing new regulatory expectations. Through focused advocacy, Community Colleges for Iowa and our network of stakeholders ihelped shape legislation that impacts funding, governance, and service delivery for all 15 institutionsi.

Success on Priorities

1. Invest in community college’s ability to serve students and communities

A $7.5 million increase in State General Aid was secured for FY2026 – the third consecutive year of increased support toward funding equity across Iowa's diverse college regions. Although we sought a $12 million increase, this outcome builds on prior success and allows for the continued provision of affordable, high-quality education statewide.

History of State General Aid Appropriations/Deappropriations for Iowa Community Colleges

2. Address the state’s workforce needs.

Despite strong advocacy, the WTED Fund was held flat at $15.1 million, and a proposed $5 million increase was not adopted. The fund has not increased since 2015 and has lost over $4 million in value due to inflation, limiting colleges’ ability to expand high-demand programs in areas like advanced manufacturing and health care. Nonetheless, workforce programs like the Last Dollar Scholarship (96% employed in 1 year, 87% in Iowa) and PACE were maintained, and colleges remain essential to Iowa’s talent pipeline.

Rate of Inflation vs. Rate of Change in Appropriations/Deappropriations to State General Aid and WTED Fund

 

3. Serve local communities.

The association successfully protected the authority of Iowa’s 124 locally elected trustees. Several bills that would have centralized control or restricted board flexibility were amended or did not advance, including property tax reforms that would have limited levying authority. With over 100 service locations statewide, maintaining local control is key to the colleges’ ability to meet community-specific needs.

We did have one bill that we registered in favor of regarding our local control that dealt with 279 contracts. In the current Iowa code, there is a gray area on which community college faculty are subject to 279 contract protections, such as termination hearings. We were able to amend a Department of Education bill to include language that will make it clearer that only credit faculty are allowed this protection automatically, but schools still can grant these protections if they would like to.

To understand how these outcomes compare to our goals for this session, visit our 2025 Legislative Priorities here.

Other Policy Bills of Interest

Numerous bills passed this session that will shape operations going forward:

• HF 295 (Accreditation): Requires compliance with Iowa law even when it contradicts accrediting bodies.

• HF 856 (DEI): Prohibits state-funded DEI activities and introduces private litigation risks.

• SF 288 (Pregnancy): Mandates formal academic accommodations and extended leave options for pregnant and postpartum students.

• HF 299 (Immunizations): Requires communication of exemption rights in all immunization-related materials.

• HF 706 (Open Meetings): Expand training, transparency, and public notice obligations for boards of trustees and increases fines.

In addition, bills like HF 805 (informal dental training), HF 117/118 (National Guard scholarships), SF 379 (tax deductions), and SF 657 (economic development reform) may indirectly influence enrollment trends, industry partnerships, and curriculum design in the coming years.

Conclusion

While the session brought measurable wins in funding and governance, it also introduced new obligations that will require immediate institutional attention. Community Colleges for Iowa remains committed to isupporting colleges through these transitions and advocating for the resources and flexibilityi they need to serve Iowans in every corner of the state.

 

 

 

Appropriations Overview

Iowa Lieutenant Governor Chris Cournoyer signs a proclamation declaring February 19, 2025 to be "Iowa Community Colleges Day on the Hill," surrounded by students, administrators, and business partners.

Comparing FY2025 and FY2026

Education Appropriations Bill – SF 647
Effective Date – July 1, 2025 

Funding Source	FY2025  Appropriation	FY2026  Appropriation	Increase/Decrease  Number,  Percentage
State General Aid	$235,858,161	$243,358,161	$7,500,000, 3.2%
National Guard Educational Service Scholarship	$6,600,000	$6,600,000	$0, 0%
All-Iowa Opportunity Scholarship Program	$3,229,468	$3,229,468	$0, 0%
State University Funding
University of Iowa	$223,496,355	$223,496,335	$0, 0%
Iowa State University	$178,445,037	$178,445,037	$0, 0%
University of Northern Iowa	$101,894,146	$101,894,146	$0, 0%
Iowa Skilled Worker and Job Creation Fund
Workforce Training & Economic Development Fund (260C.18A)	$15,100,000	$15,100,000	$0, 0%
ACE Infrastructure Fund (260G)	$6,000,000	$6,000,000	$0, 0%
PACE Career Pathways Program (260H)	$5,000,000	$4,800,000	-$200,000, -4%
GAP Tuition Assistance Program (260I)	$2,000,000	$2,000,000	$0, 0%
Kibbie Skilled Workforce Shortage Tuition Grants (256.227)	$5,000,000	$5,000,000	$0, 0%
Workforce Preparation Outcome Reporting System	$200,000	$75,000	-$125,000, -62.5%
Regents Innovation Fund	$3,000,000	$2,800,000	-$200,000, -6.6%
Iowa Jobs for America’s Graduates (iJAG)	$9,646,450	$9,646,450	$0, 0%
Postsecondary Summer Classes for High School Students Program	$600,000	$600,000	$0, 0%
Statewide Clearinghouse to Expand Work-Based Learning	$300,000	$300,000	$0, 0%
Computer Science Professional Development Incentive Fund	$500,000	$500,000	$0, 0%
Last Dollar Scholarship	$23,927,005	$23,927,005	$0, 0%
Iowa Workforce Grant and Incentive Fund	$6,500,000	$6,500,000	$0, 0%
Future Ready Iowa Skilled Workforce Grant Program	$425,000	$425,000	$0, 0%
Total	$908,739,576	$915,714,576	$6,975,000, .8%

 

Economic Development Appropriations Bill – SF 645
Effective Date – July 1, 2025

Funding Source	FY2025  Appropriation	FY2026  Appropriation	Increase/Decrease  Number,  Percentage
Iowa Skilled Worker and Job Creation Fund
Adult Literacy Programs (84A.19)	$6,000,000	$6,000,000	$0, 0%
Manufacturing 4.0 Technology Investment Program (15.371)	$2,016,675	$2,016,675	$0, 0%
EDA Economic Development Incentive Fund  (High Quality Jobs Programs)	$11,700,000	$11,700,000	$0, 0%
UI Entrepreneurial Program	$2,000,000	$2,000,000	$0, 0%
ISU – Economic Development Programs	$2,424,302	$2,424,302	$0, 0%
UI – Economic Development Programs	$209,279	$209,279	$0, 0%
UNI – Economic Development Programs	$1,466,419	$1,466, 419	$0, 0%
STEM Internship Program	$633,325	$633,325	$0, 0%
Workforce Development Field Offices	$6,902,636	$6,902,636	$0, 0%
Offender Reentry Program	$387,158	$387,158	$0, 0%
Registered Apprenticeship Program	$760,000	$760,000	$0, 0%
Summer Youth Intern Pilot Program	$250,000	$250,000	$0, 0%
Total	$25,458,119	$25,458,119	$0, 0%

 

Justice Systems Appropriations Bill – SF 644
Effective Date – July 1, 2025

Funding Source	FY2025 Appropriation	FY2026 Appropriation	Increase/Decrease Number, Percentage
Corrections Education	$2,608,109	$3,108,109	$500,000, 19%
Total	$2,608,109	$3,108,109	$500,000, 19%

 

Standing Appropriations Bill – SF 659
Effective Date – July 1, 2025 

Funding Source	FY2025  Appropriation	FY2026  Appropriation	Increase/Decrease   Number,  Percentage
Vocational-Technical Tuition Grant Program	$1,750,185	$1,750,185	$0, 0%
Private College Iowa Tuition Grant Program	$52,707,069	$52,707,069	$0, 0%
For-Profit Iowa Tuition Grant Program	$110,700	$110,700	$0, 0%
Workforce Development Fund	$7,750,000	$7,750,000	$0, 0%
Total	$62,317,954	$62,317,954	$0, 0%

 

For more information about how 2025 compares to other years, see our overview of appropriation history and trends here.

 

 

 

Policy Bills of Primary Interest to Community Colleges During the 91st General Assembly (1st Session)

View of the rotunda at the Iowa Capitol Building during Iowa Community College Day on the Hill.

Academic Programs

US Citizenship and Immigration Services Naturalization Civics Test: SF 369
Effective Date: July 1, 2026

• Individuals seeks a high school equivalency diploma must pass the U.S. Citizenship and Immigration Services naturalization civics test, achieving a minimum score of 60%

• The State Board of Education is tasked with adopting rules to administer the civics test requirement for high school equivalency diplomas.

• Representatives from CCforIowa registered in opposition to this bill.

Community College Impact:
This bill adds a new testing requirement that community colleges must integrate into their adult education programming. As a result, institutions may need to adjust curriculum, testing procedures, and support services to comply with the mandate once the State Board of Education has approved rules and provided a common assessment tool.

Accreditation: HF 295
Effective Date: Upon enactment

• Community colleges are required to adhere to state laws, even if they conflict with directives from accrediting agencies.

• Prohibits accrediting agencies from taking adverse action against a public institution of higher education for complying with state law or refusing to violate state law.

• Allows public higher education institutions to bring civil action against accrediting agencies if they are negatively affected by the above.

Community College Impact:
This bill may impact the colleges when state law conflicts with policy established by an accrediting agency. It will not punish each college but will allow them to file a civil suit against the accrediting agency and prohibits an accrediting agency from punishing a community college for complying with state law.

Cosmetology: HF 711
Effective Date: Upon enactment

• Relates to the practice of barbering and cosmetology arts and sciences.

Community College Impact:
Cosmetology instructors are allowed to perform services when they are not instructing other students at the school. They may also develop new curriculum that allows a student to simultaneously student for licenses to practice both esthetics and nail technology.

 

Financial Aid and Fees

National Guard Service Professional Qualification Scholarship Program: HF 117
Effective Date: Upon Enactment

• Establishes the National Guard Service Professional Qualification Scholarship Program.

• This program is designed to provide financial assistance to eligible members of the Iowa National Guard who are pursuing professional licensure or certification. While the bill primarily focuses on National Guard members, it may have indirect implications for Iowa community colleges.

Community College Impact:
Community colleges offering programs that lead to professional licensure or certification may experience an uptick in enrollment from National Guard members seeking to utilize the scholarship. The scholarship could encourage community colleges to develop or expand programs aligned with the professional qualifications sought by National Guard members. This initiative may foster stronger collaborations between community colleges and the Iowa National Guard to support the educational and professional development of service members.

National Guard Service Scholarship Program: HF 118
Effective Date: Upon Enactment

• Scholarship awards paid pursuant to this section shall not exceed the difference between the tuition rate at the institution attended by the national guard member less any financial aid the national guard member receives.

Community College Impact:
No direct impact, although our students may be affected.

 

Fiscal & Funding

DEI: HF 856
Effective Date: Upon Enactment

• The bill prohibits state entities, including community colleges, from expending funds to establish or maintain DEI offices or to hire individuals to serve as DEI officers.

• Community colleges are barred from engaging in activities that promote differential treatment or provide special benefits based on race, color, ethnicity, gender identity, or sexual orientation.

• The legislation creates a private cause of action, allowing individuals to seek injunctive relief if they believe a community college has violated the DEI-related prohibitions.

Community College Impact:
This bill will lead to the elimination of existing DEI programs and positions across community college campuses, if any exist. The bill also introduces legal risk, allowing individuals to sue institutions they believe are in violation of the law.

 

Governance

Retention of Fees: SF 574
Effective Date: July 1, 2025

• Relates to retention of fees for public improvement contracts.

Community College Impact:
This bill reduces the amount that a governmental body may withhold from a principal contractor's monthly payments. The withheld amount, referred to as the "retainage," is held by the governmental entity to ensure that the contractor meets all contractual obligations. Retainage is now limited to no more than three percent of the monthly payment to the principal contractor. College could previously retain up to five percent.

 

K-12

Governor’s Cell Phone Bill: HF 782
Effective Date: Upon Enactment

• Relates to electronic devices in schools, including student access during instructional hours and school safety plans, and including effective date provisions.

Community College Impact:
This bill may impact our relationships with K-12 schools related to concurrent enrollment programs. Colleges will need to work closely with the schools in their district to make sure students are able to use dual authentication if needed during instructional hours without inhibiting learning within the school.

K-12 SSA: SF 167
Effective Date: Upon Enactment

• Establishes the state percent of growth and the categorical state percent of growth for the budget year beginning July 1, 2025, and modifying provisions related to property tax replacement payments.

Community College Impact:
This bill does not have a direct impact on community colleges but may strain relationships when negotiating concurrent enrollment pricing rates.  

 

Local Government

Open Meetings: HF 706
Effective Date: Upon Enactment

• Increases penalties for violating open meetings laws from $100-500 to $500-$2500.

• Requires any newly elected or appointed public official who is a member of a governmental body to complete a course of training within 90 days of either taking their initial oath of office, assuming responsibilities, or being elected to the office.

Community College Impact:
This bill increases the penalties on individuals who do not comply with open meetings laws, which are Boards of Trustees are subject to. It also requires that all newly elected (not re-elected) or appointed trustees take an education course on these laws within 90 days of their election or appointment. Community Colleges for Iowa will offer an annual training for all Trustees and can also provide training on demand if new Trustees are appointed outside of that timeline.

 

Operations

Education Reporting and Adult Ed/Noncredit Instructors: HF 890
Effective Date: Upon Enactment

• Relates to education, including by modifying provisions related to community college and department of education reporting requirements.

Community College Impact:
The bill more succinctly defines what a credit instructor is and that 279 contracts apply to them. This will help alleviate confusion from the colleges regarding who should receive protections from Iowa Code Chapter 279. More specifically, the bill only allows credit faculty (defined as 50% or more of their teaching load in credit courses) to automatically receive these protections; it specifically exempts noncredit, adjunct, and adult and continuing education faculty. Counselors and librarians are still covered. This bill does serve as a floor and schools are more than able to include 279 provisions when signing contracts with their employees.

Pregnant Students: SF 288
Effective Date: Upon Enactment

• Mandates that Iowa’s public universities and community colleges provide reasonable accommodations for students who are pregnant or who have recently given birth, including options such as rescheduling tests and assignment due dates, permitting leaves of absence up to twelve months, and ensuring students can return to their programs with the same academic status.

Community College Impact:
Community colleges are now required to implement formal accommodation for pregnant students and those who have recently given birth. Colleges must revise or create policies that clearly outline how students can request accommodation related to pregnancy and childbirth. Colleges need to take steps to ensure compliance with this bill, including training for faculty and staff to make sure they know the provisions, including ensuring students can complete their course of study and allowing extra time for assignments and exams and ensuring students can take a leave of absence and then return to complete their program. To fully comply, colleges must:

• Maintain a written policy on pregnancy discrimination

• Provide a copy of this policy to students at orientation

• Prominently post notice of protections

• Provide information on protections through the health center

• Assign responsibility for this policy to a staff member (outside of the Title IX office) and post that name and contact information on the college’s website

 

Student Services

Immunization Exemptions: HF 299
Effective Date: Upon enactment

• Relates to the provision of information relating to immunization exemptions.

Community College Impact:
The bill requires community colleges to adopt a policy to include in any communication to students that is related to immunization requirements information regarding exemptions to such requirements.

 

Workforce Training

Dental Assistants: HF 805
Effective Date: Upon Enactment

• Proposes allowing individuals to practice as dental assistants without obtaining a certificate of registration, provided they complete practical training under a dentist’s supervision.

• The bill also mandates the Iowa Dental Board to establish rules for implementing this provision.

Community College Impact:
Some students may choose to bypass formal training programs offered by community colleges. Colleges may face challenges justifying the value of their dental assisting programs when on-the-job training becomes a legally viable alternative. Colleges may need to adapt their curriculum to emphasize advantages such as higher employability, certification readiness, or career advancement opportunities that informal training cannot provide. The bill could cause a disconnect between industry standards and academic offerings, particularly if employers begin hiring unregistered assistants more frequently.

Economic Development Programs and Credits: SF 657
Effective Date: January 1, 2025

• The bill seeks to adjust the caps and allocations for various tax credits managed by the Iowa Economic Development Authority, potentially impacting the distribution and availability of these incentives.

• It proposes the establishment of new initiatives, such as the Business Incentives for Growth Program and the Sustainable Aviation Fuel Production Tax Credit Program, while simultaneously calling for the repeal of existing programs like the High Quality Jobs Program and the Endow Iowa Tax Credits.

• The legislation includes provisions to modify the criteria and benefits associated with targeted jobs tax credits, aiming to better align them with current economic priorities.

Community College Impact:
With the repeal of programs like the High Quality Jobs Program and the creation of new incentive structures, community colleges may need to reassess and potentially reconfigure partnerships with local employers. The introduction of new tax credit programs – such as the business Incentives for Growth Program – may lead to emerging workforce demands in targeted industries. The phasing out of well-established programs and redirection of funds may create short-term uncertainty for colleges that have built programming and budgets around the expectation of current incentive systems. Community colleges operate as vital contributors to regional economic development.

 

For the most up-to-date information about legislation and advocacy efforts for Iowa community colleges, follow us on social media and sign up for our grassroots advocacy action center, Quorum.