California: "Rising numbers of students who qualify for special education"

June 23, 2026, Could early education bring down rising costs to serve California students with disabilities? – EdSource

At first glance, the preschool classroom in Paso Robles looks like any other: young students sing “Wheels on the Bus,” listen to stories and learn colors and shapes through play. 

But unlike most preschool classrooms, children with disabilities in this Marie Bauer Early Education Center classroom are learning alongside their peers who do not require special education services. This is unusual in California, where only 1 in 3 students with disabilities receive their preschool education in a classroom with their peers, according to an EdSource analysis of 2024-25 federal education data.

Parents, educators and researchers say this inclusive model improves outcomes for students with disabilities and reduces the need for more intensive — and costly — special education services in older grades. . . .

Supporters of inclusive early education argue that it can address one of the fastest-growing costs facing school districts: rising numbers of students who qualify for special education. In the upcoming state budget, school districts may see as much as a 43% bump in special education over the last year to address rising costs.

This new funding could be a golden opportunity not just to cover rising special education costs but to stop them from ballooning, according to Anjanette Pelletier, a special education finance expert and director of management consulting for School Services of California. In a recent report, she called for districts to invest in inclusive preschool settings, “one of the strongest opportunities for both educational and fiscal return.” . . .

The California Early Childhood Special Education Network is tasked by the California Department of Education with assisting school districts working to make the transition to inclusive classrooms. The state also provides grants for planning and implementation. 

“That really helped begin the conversation and alleviate some of that startup fears that many districts have about the funding,” said Wahlberg. “Having a grant like that and having that conversation happening at the state level was really supportive and powerful.”

Pelletier argues that the state should go even further. If inclusive early education can reduce the need for more intensive and costly services later, she said, districts should be required to invest more of their special education money in these early years.