Blue Ribbon Commission on Special Education Draft Recommendations Update

Last week, MDE sent the Blue Ribbon Commission’s final recommendations to the legislature outlining four funding recommendations totaling just over $255 million in reductions. These include restructuring FIN 728 transportation funding as a separate stream with clearer eligibility guidance, shifting ADSIS funding to a per-pupil allocation model to the general education budget, eliminating the special education funding formula hold-harmless provision, and eliminating the state’s portion of charter school tuition aid from the special education formula.

Beyond the financial recommendations, the commission approved several long-term recommendations, including supporting PELSB's teacher recruitment and licensure efforts, reviewing prior special education paperwork reduction recommendations, expanding Full Service Community School grants, and reducing barriers to third-party billing. The commission also called for continued MTSS investment outside special education funding, expanded Grow Your Own grants for related service providers, and directed MDE to establish a committee to study dispute resolution data and recommend ways to reduce legal and administrative costs.

Most notably, the commission unanimously agreed to include language acknowledging the harm these funding reductions may cause, particularly for marginalized students, and asked that the underlying legislation requiring these cuts be repealed.

The legislature must now act on these recommendations during the 2027 session, or the $250 million in savings will be taken from special education cross subsidy aid beginning in the biennium starting July 1, 2027.