Utah Schools for the Deaf and the Blind (USDB) staff told the Utah State Board of Education that contract and fee‑schedule limits will likely produce a sizable funding gap for outreach services this year unless the state funding model changes.

Assistant Superintendent Deborah Jacobson presented contract data showing the agency sent 97 contracts to local education agencies with a combined request for about 82,000 hours of service, but current rules and the legislative fee schedule permit recovery on only about 42,000 hours. Jacobson said those billable contracts amount to approximately $2.8 million in recoverable revenue; by contrast she said the total outreach budget is “a little over $13,000,000.”

“Board rule actually restricts us from charging LEAs for any consultation fees and any deaf‑blind services,” Jacobson said, and she noted the fee schedule set by the legislature limits the amounts the agency can bill. The agency’s estimate as reported to the board was that it may need to use about $1.8 million from its contingency fund to meet obligations unless a change to the funding model is enacted.

Board members pressed for more detail. Member Davis and Member Brinton asked whether the working group’s recommendations include changes to board rules or the fee schedule; Jacobson said that the restrictions the agency found were identified while preparing contracts and were not previously highlighted to the working group. Jacobson also said USDB had eliminated 65 positions earlier and subsequently rehired or continued 26 of those positions to meet legal IEP obligations for the year.

Why it matters: the shortfall signals a structural mismatch between services USDB provides statewide and the revenue the agency can collect under current law and board rules. Board members noted this creates recurring budget pressure and flagged the need to pursue a funding model change that could require legislative action, including possible consideration in the 2026 session.

Speakers: Deborah Jacobson, assistant superintendent of operations (USBE); Member Davis; Member Earl; Member Brinton.

Clarifying details: Jacobson said $2.8 million is the total appearing on the LEA contracts and that board rules exempt consultation and deaf‑blind services from billable fees; she added that even creating a fee for interveners would only add about $215,000 under current rules and the fee schedule. Jacobson said outreach participation numbers were 1,183 students receiving outreach and 370 on campus as of October.

Provenance (transcript evidence): topic introduction — Jacobson: “If you scroll all the way to the bottom... there's 97 contracts. Of this, there's 82000 hours worth of work.” (tc 00:26:30); discussion finish — Jacobson: “It could only add about $215,000 to that $2.8.” (tc 00:37:58).