Michigan’s special education funding system hasn’t kept up with today’s realities. It’s overly complex, underfunded, and inequitable.

 

The MI Special Education Finance Reform Blueprint (MI Blueprint) is a statewide initiative to create a better system— one that aligns funding with actual student needs and ensures schools have the resources to deliver. This work, led by Autism Alliance of Michigan with support from Public Sector Consultants, is backed by legislation and bipartisan support, and it’s grounded in data, experience, and input from families, educators, and advocates.

 

Michigan covers just 28.6% of special education costs— among the lowest in the country— often leaving schools without the resources they need to fully support students. That means stretched budgets and fewer resources for all students. The result? Fewer than 15% of Michigan students with disabilities are proficient in reading or math, and our graduation rates rank among the lowest in the country.

 

The MI Blueprint offers a smarter, more sustainable funding formula that reflects what services actually cost and what students need, helping districts plan ahead and provide stronger support. And it’s being built with the people who know Michigan schools best:

  • More than 1,000 stakeholders from across the state
  • Educators, families, disability advocates, and service providers
  • Four statewide convenings and a public survey with more than 880 responses

 

The MI Blueprint proposal will be delivered to the Michigan Legislature in October 2025. Lawmakers will then review the recommended funding model and consider it for future legislation to improve how the state funds special education.

"Transitioning Michigan’s education funding approach to a weighted student funding formula that is decoupled from local property wealth and instead focused on what students need just makes sense. This alignment– from families and advocates to statewide leaders– underscores the urgency and the opportunity in front of us.”


-Dr. Scott Koenigsknecht, Superintendent of the Clinton County Regional Educational Service Agency (RESA), Michigan Advance