Trump Administration grants waivers giving Iowa officials flexibility in spending $9.5 M federal funds

News

January 7th, 2026 by Ric Hanson

(Radio Iowa) – The Trump Administration has granted Iowa’s waiver request, giving state officials authority to roll federal funds designated for a variety of education programs into one block grant — and state officials will determine how the money is distributed. U-S Education Secretary Linda McMahon made the announcement today (Wednesday) in Denison.

“If we were operating under the old rules, it would take according to the figures that were done in the state about $8 million to comply with the regulations of this $9.5 million grant, so in essence you’d get about $1.5 million to go to the schools,” McMahon says. “With this new waiver, that $8 million will go to the schools.” Governor Kim Reynolds says the waiver lets Iowa focus federal funds on the right work. “The secretary believes like I do that states are best positioned to serve families,” Reynolds said, “and we’re committed to reducing barriers that stand in the way.”

McMahon says the waiver fits the Trump Administration’s vision of returning responsibility for educating children to the states. “It’s breaking up the education bureaucracy in Washington, D.C. — a system that we’ve found that enriches adults, while stifling progress for students,” McMahon says. Iowa is the first state to apply for and get this kind of a waiver. It combines into a single block grant federal funding that had previously been designated for teacher training, English language learners, after-school programs and classroom efforts to improve student achievement.

(Photo: Broadway Elementary School library in Denison courtesy our sister station KDSN)

McMahon’s agency has also granted state officials authority to waive some federal requirements for career and technical programs in Iowa school districts. “This approval cuts through federal red tape, eases compliance burdens for districts, and empowers them to implement strategies that best meet the needs of their students,” McMahon said.

The Education Secretary and Governor Reynolds made their comments after touring an elementary school in Denison and visiting with students. Test scores at Broadway Elementary in Denison show the literacy rate of students has jumped seven points after the first year of using what’s known as “the science of reading” curriculum.