Sun Prairie, WI: In past 5 yrs SPED expenses have increased by about $4.8M, 25% of budget

Jan 2, 2026, Star: Sun Prairie school district: State special ed funding shortfall 'disappointing'

https://www.hngnews.com/the_star/local_news/sun-prairie-school-district-state-special-ed-funding-shortfall-disappointing/article_434c8cce-f96e-415d-9e70-86f556e20bd3.html

Like other school districts in the area and around the state, Sun Prairie is waiting to see how special education reimbursement from the state shakes out the rest of the year.

The first payment for 2025-26 was less than anticipated, but school officials were prepared for that.

“While the state biennial budget projected 42% reimbursement for special education, our district had already budgeted more conservatively at 39% for ‘25-‘26 to account for ‘sum certain’ funding and potential shortfalls,” said Sun Prairie Director Business & Finance. “The November payment came in at 35%, which is lower than both the state projection and our budget estimate.”

To Clark, the amount provided to school districts in November was somewhat unexpected.

“The fact that the actual reimbursement rate is lower than what was in the biennial budget isn’t surprising at all, but the fact that it is 7% lower is surprising and has a huge impact on Districts budgets statewide. It’s disappointing,” said Clark.

Still, he isn’t panicking just yet. At the same time, there is reason for concern.

“While frustrating, the November payment is typically the lowest of the year, and based on historical trends and conversations with colleagues, we expect the end-of-year reimbursement rate to likely land around 37-38%,” said Clark. “This is still below our budgeted 39%, which could result in a financial impact of approximately $500,000 to $750,000.”

Currently, Wisconsin operates under a “sum-certain” model for special education funding, as opposed to a “sum sufficient” model, which is favored by school districts. Clark explained the difference and why it matters.

“Under a ‘sum certain’ model, the state appropriates a fixed dollar amount for a program like special education, meaning if actual costs exceed what was budgeted, school districts must share that limited funding and the effective reimbursement rate drops,” said Clark. “This creates uncertainty for districts and shifts more costs to general operating budgets. A ‘sum sufficient’ model is open-ended and automatically provides whatever funding is needed to meet a promised reimbursement level, even if costs increase.”

A push is on to convince the state to change its method for reimbursing school districts for special education costs for services that are mandated.

“There is growing momentum to move toward a sum sufficient model for special education, which would give districts more predictable funding, ensure the state delivers on promised reimbursement rates, and reduce pressure on local taxpayers,” said Clark.

With school districts in Wisconsin already under pressure financially, any shortfall in special education funding only exacerbates the situation, especially with costs on the rise.

“In the past five years special education expenses have increased by about $4.8 million which equates to just under 25%,” said Clark. “If state funding falls short, districts make a transfer from our general operating budget to cover and balance the special education fund.”

And that impacts other parts of a district’s finances.

“Reduced special education funding means more money must come from the general operating budget, which can limit resources for all students,” said Clark. “While special education services must remain, it may affect programs, materials and extracurriculars for the broader student population.”