(Radio Iowa) – The governor’s government efficiency task force is considering 45 recommendations, including a plan to link the salaries for educators in Iowa’s public schools to student achievement.

Former Fort Dodge Mayor Terry Lutz, a member of the task force, said a pay-for-performance system would reward what matters. “Our current system rewards teachers and administrators for their length of service or the duties they take on, with no ties to student achievements,” he said this afternoon. “This system does not reward excellence in education.”

Fourteen years ago, Governor Terry Branstad proposed a merit pay system for teachers that would have used student test scores as one criteria for pay raises. Lutz said finally linking pay to student performance is about accountability. “We have slipped in national rankings to 24th in math, 26th in reading and 28th in science. We do not stack up well here,” Lutz said. “The current education funding model is not working.”

Iowa DOGE task force chair Emily Schmitt, chief administrative officer and general counsel for Sukup Manufacturing, speaks during Aug. 6, 2025 task force meeting (RI photo)

Through a combination of federal, state and local funding for public K-12 schools, spending per student is over $18,000 according to Lutz, who said that is higher than the national median. “As one of our largest statewide expenditures, we are not getting acceptable returns on our educational investment,” Lutz said.

Lutz leads the “Return on Investment” working group within the government efficiency task force and they recommend creation of online dashboards that compare “important student achievements” to dollars that are being spent. “It’s important to note we are not suggesting cutting costs, we are focused on spending that rewards what matters,” Lutz said. “…These dashboards would be reviewed periodically to track progress and build accountability into the entire educational system, rewarding those who are making an impact.”

The “Department of Government Efficiency” Task Force Governor Reynolds created in early February will release its final set of recommendations this fall. One of the proposals reviewed by the task force today calls for a comprehensive study of government employee pay and benefits. “Some public rolls have developed compensation packages that far exceed the private sector,” Lutz said, “including health and retirement benefits, time off and others.”

The Iowa Public Employees Retirement System, known as IPERS, is a defined benefit based on an employee’s salary and how long they worked in government. Lutz said the state should shift to a pension system for future employees similar to 401Ks that’s based largely on contributions from the worker and how well investments perform.

The governor’s task force is not calling for consolidation of counties, but Lutz indicated they will recommend “considerable sharing of services” by state, county and city governments.

“Our unique make up of 99 counties and numerous cities and townships was an efficient system when we traveled by horse and buggy 180 years ago,” Lutz said. “…The public is certainly aware that this system is plagued with inefficiencies and often results in poor service.”

He suggested having the Iowa DOT take over maintenance of county roads might be more efficient.