DeForest School District to adjust budget after state special education reimbursement drops

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The DeForest School District will make a budget adjustment this spring as a result of an unexpected drop in special education reimbursement from the state, according to The Star. Kathleen Davis-Phillips, director of business and auxiliary services, reported that the district’s aid amount will be roughly $350,000 less than the budget estimate.

The state reimbursement rate for special education aid was originally estimated to be the same as the 2023-24 rate of 32.4% but has since fallen to 29.16%. The district has absorbed the blow, anticipating that underspending in other budget areas may offset the reduction. A budget amendment is expected to be presented to the board shortly.

Uncertainty also continues regarding funding the district receives from the federal government: DeForest typically receives a $2.4 million federal grant for special education and around $300,000 in Medicaid annually for services like physical therapy.

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