Pennsylvania: 54% of school districts cite SPED costs as "major concern"
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Charter school tuition payments, rising special education costs, and student mental health needs are among the top challenges facing Pennsylvania public schools.
That’s according to the 2026 State of Education report released by the Pennsylvania School Board Association on Monday.
The report is based on survey responses from top administrators in 230 of the state’s 500 public school districts – who shared what they see as the most pressing issues in their school districts – and on state and federal education data.
“Not surprisingly, the biggest challenge facing public schools is budgeting,” said Andrew Christ, senior director of education policy for the PSBA. “They had to endure a five-month budget impasse, and there’s still a lot of uncertainty at the federal level with funding and also with policy. It’s difficult for school leaders to plan for their future when they don’t always have a clear picture of what their revenues are going to be.”
The report also highlights the impact of some of the costliest mandated expenses schools face – charter school tuition, special education, and employee pensions.
In the last decade, costs for those three things alone increased almost $6.1 billion. State funding intended to help pay those costs increased by less than $2.1 billion, leaving a “mandated cost gap” of slightly more than $4 billion, according to the report.
Rising charter school costs – for the seventh year in a row – were cited by 67% of respondents as one of the most significant pressures on their school budgets.
Additionally, 54% cited special education costs as a major concern, and 52% responded that health insurance increases were an issue.
According to the report, 96% of districts reported at least some impact due to the five-month state budget impasse.
Christ said school districts have little control over mandated costs.
For example, since the 2009-10 school year, special education expenses have increased 104% while state and federal funding has increased only 21% in that time.
“We hear a lot about what schools are spending, but when you look a little deeper and you look at what’s dragging school spending, those are mandated costs that schools have little control over. If a child is identified with a disability, the school has to pay for the associated programs and support. But we have to recognize those extra programs and supports come with extra costs,” said Christ. . . .
Particularly difficult is staffing special education and high school math and science positions, as well as substitute teachers.
According to the report, 70% of schools are experiencing a substitute teacher shortage, while another 63% of schools are having trouble finding special education teachers. . . .
Student mental health remains the biggest instructional issue for schools; most districts reported that nearly 40% of their students have mental health needs. It is the fifth consecutive year the issue has topped the list. . . .
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