Understanding the changes in the education funding formula for students with disabilities
Current funding formula:
Provides 1.5 times as much funding to public school systems for every student with a disability.
Funding formula proposed for next year:
Funding increases for students with disabilities based on:
Disability Classification - provides different funding level increases based on the disability type of each student.
Placement of Students- provides different funding level increases based on the placement of students. The most inclusive and most restrictive placements receive the highest rates of funding.
Student Performance - provides significant differences in increased funding levels based on student performance on standardized assessments according to the Value Added Model. School systems would not receive the highest rate of funding for students participating in LAA1.
Graduation Rate - adds an additional 1.5 times of funding level for each student graduating within four or five years.
Continued Funding after Declassification - continues increased funding level for the year after a student is declassifed (i.e., no longer served by an IEP).
Reduction in Referral Rate - provides increased funding levels for reductions to rates of referral to special education.