Wisconsin proposes increased special ed funding parity between public and private schools

Senator Chris Larson District 7
Senator Chris Larson District 7
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Today, Wisconsin Department of Public Instruction Superintendent Jill Underly introduced a significant element of her K-12 education budget proposal for the upcoming two years. The proposal aims to address the disparity in special education funding between public schools and taxpayer-funded private schools.

Underly’s plan suggests increasing the special education reimbursement rate for public schools from 33% to 90% by Fiscal Year 2027. This adjustment would align with the reimbursement rate already received by private voucher schools. The intention is to enable public schools to fulfill their obligations to children with special needs without resorting to raising property taxes or cutting programs that benefit all students.

In a recent election, while a Republican candidate won Wisconsin in the presidential race, voters in 121 school districts approved 108 school referendum questions amounting to $3.4 billion, which is nearly 80% of the requested $4.3 billion statewide.

Data presented earlier this year highlighted that the gap in special education funding was central to the increase in operational referendums across Wisconsin. In several districts, the shortfall between actual special education costs and state reimbursements accounted for all funds requested through operational referendums.

“If the 90% reimbursement is passed, it will be better for property taxpayers, better for schools, and will greatly cut down on districts having to routinely go to referendums to make up for the state’s funding gap,” said Underly.

“There’s no reason why a kid at a private school receiving public dollars should have 90% of their costs reimbursed by the state while the same kid at a public school – which have far greater levers of accountability than private schools – would only get 33%,” she added.

Superintendent Underly expressed gratitude towards those supporting this initiative: “I want to thank Superintendent Underly for making this bold yet necessary request for the next biennium. Having a well-educated state is not a partisan issue – it’s what every parent wants for their kids.”

She emphasized that investing now would strengthen communities and secure Wisconsin’s future: “With a $3.5 billion state surplus, there’s no excuse not to fulfill our end of the deal.”



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