T-R PHOTO BY ROBERT MAHARRY About half of the Central Rivers Area Education Agency (AEA) employees in Marshalltown have left their jobs since Gov. Kim Reynolds signed a bill that includes major funding cuts to the agencies, according to Central Rivers Communications and Creative Services Director Beth Strike.

Almost half of the 40 employees at the Marshalltown Central Rivers Area Education Agency (AEA) location have left in the last four months.

The mass exodus is a response to AEA funding changes implemented by Gov. Kim Reynolds and the Iowa Legislature this year. The bill, signed by the governor in March, has created challenges and unknowns for the nine AEA regions.

The signed law is different from the first draft. Originally, Reynolds proposed that all of the AEA special education funding should go to the school districts. Instead, 90 percent of that money will go to the AEAs starting with the 2025-26 school year. The remaining 10 percent will transfer to the districts. Also, 60 percent of media services money will be sent to the districts and the remaining 40 to the AEAs beginning in July. However, in July 2025, 100 percent of that funding will go to the school districts.

Since Reynolds began the process in January, 341 employees have left AEAs, including 68 from Central Rivers. Central Rivers Director of Communications and Creative Services Beth Strike confirmed that 18 employees of the Marshalltown office at 909 S. 12th St. have resigned — including Administrator Joel Pedersen, who recently announced that he will be departing to become the president of North Iowa Area Community College (NIACC) in Mason City. Of those, six retired, two left the state of Iowa, four accepted other employment within the education industry, two went to different industries and the remaining four left for unknown reasons.

“I would also say that staff are resilient and passionate about providing quality service,” she said. “Leadership is working day and night to rapidly respond to the circumstances and are engaged in constant conversations with school leaders to figure out a new way of working together.”

However, AEA staff, Strike said, are tired and disillusioned with the legislative process. In her view, it did not seem that the majority of voices in Iowa wanted the AEA changes nor see funding impacted.

Strike said the legislature officially ended the session by passing a standing appropriations bill cutting $32.5 million from the Iowa AEAs’ budget. The bill included a cut of $7.5 million previously written into law, an additional $10 million cut to fund Reynolds’ new Division of Special Education within the Iowa Department of Education and $14 million to fund increases for paraeducators and other school staff. Strike said another $1 million was cut and returned to the state’s general fund.

“When combined with the reallocation of funding for educational services and media, 60 percent, the total amount of cuts for 2024-25 equals $75 million,” she said. “We are still seeking clarity on a $2.1 million dollar cut to professional development which was identified earlier in the session.”

Strike said that in order to manage $800,000, or 14 percent, in additional cuts, Central Rivers will:

• Strategically refill special education vacancies as applicants are available. Other vacancies will be left unfilled.

• Reduce administrative expenditures for the 2024-25 school year by not replacing four regional administrators. They will share a chief administrator, chief financial officer, executive director of special education and executive director of educational services with the Keystone AEA and the Mississippi Bend AEA.

• Use the remaining balance of Educator Quality professional learning funds. No new funds will be available for 2024-25.

Regardless of the new challenges, Central Rivers has a long history of serving the area, she added, and is proud to have an office location in Marshalltown.

“The outpouring of support from parents, educators and school leaders in the Marshalltown area has meant so much to our staff,” Strike said. “We are committed to serving them.”

Contact Lana Bradstream at 641-753-6611 ext. 210 or lbradstream@timesrepublican.com.