Gov. Evers Announces K-12 state budget initiatives

• $1 billion over the biennium through the state’s general equalization aid formula, the second largest proposed direct investment in state general aids since the 1995-97 biennium. 
• A more than $1 billion increase in special education aid over the biennium, which would increase reimbursement rates to 60 percent in both years of the biennium. 
• Granting districts a sizable increase in revenue-raising authority, with per pupil revenue limit increases of $350 in fiscal year (FY) 2023-24 and an additional $650 in FY 2024-25—the largest per pupil adjustments since revenue limits were imposed. 
• A low revenue ceiling increase of $450 per pupil in FY 2023-24 and an additional $750 per pupil in FY 2024-25, increasing revenue limit equity among school districts. 
• A combined increase of $1,000 per pupil over the biennium while keeping the estimated gross school levy increase below one percent on a statewide basis in both fiscal years. 
• A per pupil aid investment of $46.5 million over the biennium, resulting in a $24 per pupil increase in FY 2023-24 and an additional $45 per pupil in FY 2024-25. 
• Per pupil payment increases of $374 in FY 2023-24 and another $695 in FY 2024-25 for independent charter schools and schools participating in a parental choice or special needs scholarship program. These increases are commensurate with the increased spending power provided to public school districts through revenue limit adjustments and per pupil aid increases. 
• Freeze enrollment in schools participating in a parental choice program for school year 2024-25 at year 2023-24 enrollments, allowing families continued access to private schools while affirming the state’s commitment to robust funding for Wisconsin’s excellent public schools. 

Special Education
Wisconsin, like its peers across the nation, is experiencing a special education staffing crisis. Special education teachers are 2.5 times more likely to leave the profession than their general education peers. Before Gov. Evers took office, special education funding in Wisconsin had been held flat for a decade, during a period when costs for special education skyrocketed. Under the governor’s leadership, the final 2019-21 biennial budget included the largest increase in special education aid in state history. Gov. Evers is now proposing an increase more than 10 times that record-setting amount by:

• $117.9 million per year to continue the “Get Kids Ahead” initiative, providing per pupil payments instead of competitive grants;  
• $18 million per year to reimburse schools for costs around an expanded list of school mental health professionals; and  
• $580,000 per year for staff training on evidence-based strategies. 

Additionally, the governor’s investment will provide $3.6 million in FY 2023-24 and $7.3 million in FY 2024-25 to allow schools to receive Medicaid reimbursement for telehealth origination costs.

Increased Medicaid Support
Gov. Evers is also recommending modifying Medicaid school-based services to allow participating school districts to retain 100 percent of the federal funding received for those services as opposed to the 60 percent share they currently receive. This will result in school districts receiving an estimated additional $112 million of federal funding over the biennium.

Healthy Meals, Healthy Kids 
Gov. Evers has long maintained that a kid who’s hungry isn’t going to be able to focus on their studies or in the classroom, and his budget proposal makes critical investments to provide universal breakfast and lunch and engage local farmers and producers in the school meal marketplace. The governor’s plan includes: 

• Creating the Healthy Meals, Healthy Kids program, an initiative aimed at improving student health and reducing hunger by investing $120.2 million in FY 2024-25 to fully fund school breakfasts and lunches for all children; 
• Providing $4.3 million in FY 2023-24 and $4.7 million in FY 2024-25 to increase the school breakfast reimbursement rate to 15 cents per meal and extending eligibility for the reimbursement to independent charter schools and state residential schools operated by the Department of Public Instruction (DPI); and 
• Incentivizing schools to support Wisconsin farmers, food producers, and local economies by providing $2.75 million in FY 2024-25 for an enhanced 10 cents reimbursement per meal for those including locally sourced foods.