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AMSD guide highlights special-education shortfall and cross-subsidy estimates
Summary
The Association of Metropolitan School Districts' 2024 election guide says the FY23 statewide special-education cross-subsidy exceeded $726 million and outlines projected cross-subsidy figures for FY24–FY27 while urging sustained state funding action.
The Association of Metropolitan School Districts (AMSD) reports that the FY23 statewide special-education cross-subsidy exceeded $726 million and that more than two-thirds ($497 million) of that amount was in AMSD member districts. The guide explains that, even with the 2023 education bill, AMSD projects the FY24 cross-subsidy will decline to $437.1 million, rise to $457.3 million in FY25, spike to $506.1 million in FY26, and then drop to $455.3 million in FY27 when cross-subsidy reduction aid increases to 50 percent.
"The state and federal governments have never provided the funding necessary to serve our special education students," the guide states, framing the cross-subsidy as a long-running funding shortfall that forces districts to redirect general-education revenue. AMSD also warns that charter tuition billing practices can shift special-education costs back to resident districts, increasing fiscal pressure.
