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Federal title funds briefly withheld; district warns state budget provides little new state aid

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Summary

Federal Title funds that were temporarily withheld in July have been released to Milwaukee Public Schools after intervention from federal and local partners, and the district says the recently passed Wisconsin state budget provided little new recurring state aid for schools.

Two funding matters raised at the July 30 board meeting could affect Milwaukee Public Schools in the coming months: a short‑term federal hold on Title funds that was resolved and a state budget that district representatives and policy analysts say provides minimal new recurring state aid.

Federal Title funds: temporarily withheld, then released Chris Thiele, office of governmental relations, told the board that on July 1 the Office of Management and Budget temporarily withheld several federal Title funding streams while the U.S. Department of Education reviewed their use. Thiele said the district and its partners worked with Congresswoman Gwen Moore’s office, the Council of Great City Schools and the Wisconsin DPI to secure release of the funds and that “those dollars will be coming our way.” He said the hold would have disrupted after‑school programs and English‑learner services if it had persisted.

State budget: little recurring state aid; local effort grows Thiele also summarized the recently passed Wisconsin state budget and warned the board that it contained no direct increase in state aid for schools in the committee that sets state aid. He said that, even in a year with about a $4 billion state surplus, “no state aid was provided to schools” in the joint committee’s actions. He cited a Wisconsin Policy Forum analysis showing the state’s rank in per‑pupil support had dropped over two decades, and warned that an increase in local referendum reliance and a modest per‑pupil revenue limit increase that did not keep pace with inflation would amount to a real cut for many districts.

Why it matters: The district faces the operational need to manage cash and program continuity if federal funds are temporarily disrupted, and the state budget environment increases pressure on local levies and district budgeting choices. Thiele said special‑education reimbursement moved up in the biennial budget but remains below half the cost of services.

Next steps: Thiele said district staff and partners will continue monitoring federal and state developments, and he thanked the council and congressional offices that advocated for the release of federal Title funds.

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