Iowa State Auditor Rob Sand discusses loopholes in new law

(ABC 6 News) – Iowa State Auditor Rob Sand took to social media to outline loopholes in a new Iowa law that was recently passed.

The Students First Act was signed into law by Governor Kim Reynolds on Jan. 24.

The new law will give nearly $7,600 of public money to Iowa families to spend on private school education. The money can help pay for things like tuition, books, tutoring, or more.

Iowa families can apply to receive those funds once the program is set up.

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State Auditor Sand says the law will make it difficult for taxpayers to know where their money is going. He posted a video on Facebook Thursday explaining that private schools can’t rebate or refund the money leaving them open to doing whatever they want with it.

Sand says, “there’s one thing they can’t do with your tax dollars. They can’t give a rebate. So if they want to pool all the tax dollars they get for a European vacation, that’s fine under this law. If they want to buy a lobster dinner with your tax dollars, that’s fine under this law.”

In addition, Sand says it’ll be difficult for anyone to find out about misspent money because “private schools don’t have public records obligations, public meeting obligations, or annual audit obligations” unlike public schools which helps his office find out about any misspending.