The Arc of Texas Provides Input on Reforming Special Education Funding

Madam Chair, members,

My name is Sabrina Gonzalez Saucedo, and I serve as the Director of Public Policy & Advocacy for The Arc of Texas. I want to begin by thanking Senators Bettencourt, Paxton, and Zaffirini for their service on the Special Education Funding Commission. I also appreciate their leadership, along with that of Senator Creighton and the coauthors, in authoring SB 568 to support the transition to an intensity-of-service-based funding model for special education.

As the Commission and Senator Perry acknowledged, Texas’ current special education funding model does not adequately reflect the varying levels of support students require. Today, the Texas Education Agency (TEA) reported a $1.3B deficit between what LEAs were allocated for special education and what they spent in FY 2022, and reported that the gap is expected to grow to $1.7B. We have also witness enrollment growth in this population as well. Since the 8.5% special education enrollment cap was lifted in 2018, enrollment in special education has steadily increased, currently accounting for 14% of the student population—closer to the federal average of 15%. Without action this session, the funding gap will only widen, making it even more difficult for schools to provide the legally required services students need.

Additionally, the reduction in School Health and Related Services (SHARS) funding—referenced by Senator Kolkhorst—has placed even greater financial pressure on LEAs. This decrease jeopardizes medically necessary services that enable students with disabilities to attend school and fully participate in their education.

This session, we urge the legislature to transition to an intensity-of-service-based funding model to build a sustainable, student-centered special education finance system in Texas. Thank you for your time and dedication to Texas students.