States Expected to Seek Special Ed. Funding Waivers

For the second year in a row, the federal government is bracing for more states to request a pass on requirements that they hold special education spending harmless as they struggle to balance their budgets, leaving school districts to find ways to meet all students’ needs with less money.

The Individuals with Disabilities Education Act is designed to cocoon spending on students with disabilities: Regardless of the status of state budgets, special education spending must remain unaffected. States have to spend the same amount or more from year to year, a requirement known as the maintenance of effort.

If they don’t request permission before scaling back special education funding, they risk losing federal money for students with disabilities. About 18 percent of money spent on those students nationwide comes from the federal government. If states get a pass from the U.S. Department of Education for a single year, their spending levels must revert to what they were before...