Changes to special education reimbursement proposed

The state would use money from its general fund to reimburse schools for most of their special education costs under a bill heard by the Education Committee Jan. 26.

LB826, introduced by Sen. Al Davis of Hyannis, would require the state Department of Education to reimburse school districts for at least 80 percent of the total excess allowable costs for special education programs and support services. Excess allowable costs are the costs to educate a student with a disability that exceed the average annual amount spent per student.

The bill would require an additional $125 million in state general funds to reimburse school districts for those costs for fiscal year 2016-17 and an additional $152 million for FY2017-18. LB826 would repeal current law authorizing up to a 10 percent annual increase in state aid for special education.

Davis said special education represents an unfunded mandate for Nebraska’s schools, which have seen increasing costs for these programs and services. He said providing more state aid to schools would have the added benefit of reducing property taxes, the main source of education funding in the state.

Under this bill, Davis said, the districts with a high proportion of students who require special education services would receive more money to reimburse those costs.

“This is aid that’s going to districts where the need is,” he said.

Jane Byers, director of special services for the Papillion-La Vista School District, spoke in favor of the bill. Fifteen years ago the state served 43,000 students with disabilities, she said. That number has grown to approximately 49,000, Byers said, and an increasing proportion of those students have mild or severe disabilities. As the cost of special education services rise, she said, schools have less money to spend on general education.

“Not funding special education has a direct impact on students not receiving special education services,” she said.

Brenda Tracy, special education director for the Norris School District, also supported the bill. She said approximately 10 percent of Norris students qualify for special education programs. State law requires schools to teach students with disabilities the same content and give them the same assessments as other students, Tracy said. To do this, the school must keep on staff or contract with speech language pathologists, physical therapists, occupational therapists and teachers who are certified to work with students with disabilities.

“It’s not that we want to increase costs,” she said. “We’re doing what’s best for kids.”

No one spoke in opposition to the bill and the committee took no immediate action on it.