Special‑education leaders tell Senate Finance Act 73 must protect MOE and avoid label‑based weights
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Summary
VCSEA testimony urged the committee to avoid disability‑category weights under Act 73, preserve federal maintenance‑of‑effort (MOE), and direct the Section 45a consultant to compare reimbursement, census, and weights models with district‑level impacts and a glide path for implementation.
Representatives of the Vermont Council of Special Education Administrators (VCSEA) told the Senate Finance Committee that changes in Act 73’s funding design risk undermining special‑education services and federal maintenance‑of‑effort (MOE) compliance.
Mary Lundeen, executive director of VCSEA, opened by emphasizing MOE’s non‑supplanting rules and the fiscal vulnerability districts would face if local/state spending drops: districts must both budget and spend at least the same amount year‑to‑year to maintain IDEA Part B eligibility for federal funds. "MOE ensures that even as the method of funding changes, the total amount of financial support for students with disabilities does not drop," Lundeen said.
Chris Fenway, VCSEA president and director of special services, argued the Act 73 approach of assigning weights by disability category is ill‑suited to Vermont: categories are broad, costs vary widely across individual students, and tying funds to labels risks misallocating resources and undermining individualized services required by IDEA. He warned that some individual placements can cost in excess of $300,000 and that small district caseloads make category‑based weights unreliable.
Erin McGuire, who presented district financial modeling, said that the proposed weighting would leave her district with a $6,000,000 special‑education shortfall under the current design; VCSEA recommended the consultant retained under Section 45a compare multiple funding models and include a district‑level glide path to prevent districts from falling off a "financial cliff." VCSEA also urged careful design and implementation funding for cooperative education service agencies (CESAs), noting CESAs should not displace local IEP decision‑making.
Committee members acknowledged the need for clearer consultant questions and additional district data; VCSEA offered to assist the consultant to ensure field accuracy. The committee did not adopt policy changes during the session but signaled the Section 45a analysis will be an opportunity to refine special‑education funding design.