Alabama Lawmakers Review Education Funding Amid Rising Special Education Costs
BIRMINGHAM, Ala. — Alabama legislators are convening today to reassess the state’s 1995 education funding formula, particularly in light of skyrocketing special education expenses. In the past five years, the percentage of students identified as needing special education services has increased from 13% to 18%.
In the 2022-23 school year, Alabama spent a staggering $891 million on special education for 131,000 students, with federal funding from the Individuals with Disabilities Education Act (IDEA) covering only 20% of the costs. This leaves state and local funding to bridge the $712 million gap, highlighting concerns over the adequacy and equity of the current funding system.
Tammy Kolbe, a special education funding expert, emphasized the misconception surrounding IDEA, noting that the federal promise to cover 40% of special education costs is based on outdated data. The reality is that federal contributions nationally only cover 14% to 17% of actual costs, placing significant financial burdens on states and localities.
The reliance on local funding exacerbates disparities among school districts. For example, Mountain Brook City schools invested $9.5 million in special education with local funding covering 62% of those costs, resulting in 55% of students with disabilities achieving proficiency in English, compared to just 17% statewide. Conversely, Eufaula City schools, with lower local funding, saw only 13% reach proficiency.
As the task force explores adopting a weighted student funding model, lawmakers are encouraged to consider the varying needs of students with disabilities. Current formulas do not adequately reflect the 18% of students requiring special services, which could lead to further resource shortfalls.
School districts must still provide free appropriate education regardless of funding adequacy, leaving many concerned about the long-term impacts on the education of students with disabilities in Alabama.
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