Jeff Smith - Unpacking the Funding Gap

Over the past decade, you’ve probably noticed more and more referenda questions on your ballot to help fund your local school districts. While there are many reasons for why a school would request an increase in funding, such as facility improvements, better teacher pay or even to cover their standard operating costs, it seems Wisconsin’s lack of state funding for special education could be an underlying motivator. 

Under federal law, Wisconsin’s public schools are required to meet the needs of students with disabilities, regardless of how much it costs to provide that service. Currently, our public schools receive a base reimbursement rate of 33% from the state to help pay for special education, but this then leaves them to pay the remaining costs. While some public schools in wealthier districts can help cover these expenses with referenda, our rural public schools in Western Wisconsin are not always able to. 

This system is not sustainable for Wisconsin. This last spring, only 60% of all school referenda throughout the state were passed. While those of us in western Wisconsin tend to pass referenda to fund schools, this is not a viable long-term solution. In the last state budget, Governor Evers recognized this funding shortfall and put forward a plan to get the state to a 60% reimbursement rate while paving the way to achieve 90% in future budgets. But, Republicans in the state legislature rejected the proposal, leaving our public schools high and dry.

This gap in funding means school districts have to supplement the cost of special education in other ways. Most often, this means our schools are required to pull funding from their general fund to cover the rest of the special education cost. The lack of state funding for special education does not only impact the students who require special education services, it impacts the entire student body. Whether that be the need to cut back on teachers’ salaries or not being able to purchase classroom materials, school districts in western Wisconsin are struggling to make do with the little funding they receive. 

On the November 5th ballot this year, the Eau Claire Area School District will be asking for a 4-year $18 million per year referendum to help cover their operating costs. When comparing this to the unfunded special education costs the school faced in the 2022-23 school year, the result is shocking. The school district had to pay roughly $17.9 million on special education, meaning that roughly 99.6% of the Eau Claire Area School District’s shortfall could be attributed to the state’s lack of special education funding. 

Public schools are federally mandated to educate all children with disabilities by providing them with a free public education they deserve. But when our Republican-controlled state legislature continuously fails to provide funding for these services, citizens are on the hook for continual referenda to raise taxes.

As we head into the new year and approach another budget session, we must remember this funding gap and push state legislators to do their job for our schools. Increasing the special education reimbursement rate will help all students in our Wisconsin school districts by freeing up funding that could go to the entire student population. Republicans must be held accountable for failing our state’s public schools.