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Special Education

Congress promised 40% of special education's cost. It pays a quarter of that promise.

Summary

In 1975 Congress set the federal funding target for special education at 40% of the national per-pupil cost. Fifty years later, federal funding covers 10.2% of it — just over a quarter of the promise, per the Congressional Research Service. The bill comes due in classrooms: special education is now the hardest teaching job in the country to fill.

By Locusta · July 9, 2026

Every child with a disability in this country has a federal right to a free, appropriate public education. That right was never free to provide, and Congress knew it: when it enacted the law in 1975, it promised to cover 40% of the extra cost of educating those children — the "excess cost" above what a general-education student costs. Fifty years and every intervening budget later, Washington has never once kept that promise. FY2025 is not an exception; it is the rule.

Federal funding share, FY2025
10.2%
of national per-pupil cost vs 40% is the legal target
IDEA Part B funding, FY2025
$14.6B
flat vs. FY2024
Hardest subject to staff
74%
of elementary & middle schools vs couldn't fill a special-ed vacancy

The 40% promise

The formula is simple: the Education for All Handicapped Children Act of 1975 set the federal government's share of special education's added cost at 40% of the national average per-pupil expenditure (APPE), multiplied by the number of children served. That 40% figure became known as IDEA's "full funding" level, and it has never been reached. According to the Congressional Research Service's most recent primer on IDEA funding (updated February 13, 2026), the FY2025 appropriation for Part B — the program's grants-to-states core — amounted to approximately 10.2% of the national APPE, "just over 25% of the full funding level." The single closest the program has ever come was FY2009, when one-time American Recovery and Reinvestment Act stimulus dollars, layered on top of regular appropriations, briefly pushed funding to almost 35% of APPE — a stimulus artifact, not a policy choice Congress repeated.

The federal funding formula's target, and what it actually pays
Federal IDEA Part B funding as a share of the national average per-pupil expenditure (APPE), selected years
1975 promise — 40% of APPE
40%
FY2009 — with one-time ARRA stimulus
35%
FY2025 — regular appropriations
10.2%
Source: Congressional Research Service, The Individuals with Disabilities Education Act (IDEA) Funding: A Primer (R44624, updated Feb. 13, 2026)
View data as table
Federal funding as % of national APPE
1975 promise (40% of APPE)40%never met in any year since
FY2009 (with ARRA stimulus)≈35%one-time federal stimulus dollars
FY2025 (regular appropriations)10.2%CRS R44624

In dollars, Part B was appropriated $14.214 billion for its Section 611 grants-to-states program in FY2025, plus $420 million for Section 619 preschool grants — $14.634 billion total, per the CRS report, unchanged from FY2024. That money reached roughly 7.9 million children ages 3 through 21 who received special education and related services under Part B in the 2023-2024 school year. Everything the 40% promise doesn't cover — nearly three-quarters of the added cost of serving those children — falls to state and local budgets, which is precisely the "undue burden" Congress said in 1975 it did not want states to bear alone.

Where the shortfall lands

A funding gap that size does not stay abstract. It shows up first as a staffing problem, because someone still has to be hired to write the individualized education programs, run the pull-out sessions, and manage the caseloads the law requires — on budgets that were never built to the scale the law promised. The U.S. Department of Education's own annual shortage-area designations name special education as the most commonly reported shortage subject in the country: 45 states listed it for the 2024-25 school year, more than science (41 states) or math (40 states), according to the Learning Policy Institute's analysis of that federal data.

Special education is the hardest teaching vacancy to fill, by school level
Share of public schools reporting it was difficult to fill a special-education vacancy with a fully certified teacher, fall 2024
Elementary schools
74%
Middle schools
74%
High schools
66%
Source: National Center for Education Statistics, School Pulse Panel (data collected Aug. 13–27, 2024; released Oct. 17, 2024)
View data as table
Schools reporting hiring difficulty, by level
Elementary schools74%NCES School Pulse Panel, Oct. 2024
Middle schools74%NCES School Pulse Panel, Oct. 2024
High schools66%NCES School Pulse Panel, Oct. 2024

The NCES School Pulse Panel found special education the single hardest subject to staff at both the elementary and middle-school levels — 74% of schools at each level reported difficulty filling a special-ed vacancy with a fully certified teacher, ahead of every other subject tracked, including ESL/bilingual education and foreign languages. High schools reported 66% difficulty, second only to ESL/bilingual education. These are not remote or rural outliers; they are national averages, collected the same fall the federal government funded barely a quarter of its own special-education promise.

The takeaway

  • The gap isn't new, and it isn't shrinking. IDEA has missed its 40% funding target every year since the formula phased in, and FY2025's 10.2% is squarely in the program's normal range — not a recent cut, a five-decade pattern.
  • States and districts absorb the difference. Federal law requires the services; federal money covers roughly a quarter of what Congress itself said the fair federal share should be. The rest is a state and local budget line, every year, in every district.
  • The shortage is the predictable result. Special education is the hardest subject to staff in the country, in 45 states, at every school level — the downstream effect of budgets built for a promise that was never funded.

Funding figures cover the Part B grants-to-states program (Sections 611 and 619); Part C (infants and toddlers) and Part D (national activities) are separately and more modestly funded and are not included in the 40% full-funding calculation. Hiring-difficulty figures are school-reported perceptions from a single fall 2024 survey wave, not a formal vacancy count.

Sources

  • Congressional Research Service, The Individuals with Disabilities Education Act (IDEA) Funding: A Primer (R44624, updated Feb. 13, 2026) — the source for the 40%-of-APPE full-funding formula, the FY2025 10.2%-of-APPE actual funding level, FY2025 Part B appropriations ($14.214B Section 611, $420M Section 619), and the 7.9-million-children Part B caseload figure. congress.gov/crs-product/R44624
  • U.S. Department of Education, Teacher Shortage Areas — the federal program under which states annually designate shortage subjects, including special education. ed.gov
  • Learning Policy Institute, Teacher Shortages by Subjects Across States fact sheet — analysis of the U.S. Department of Education's 2024-25 shortage-area designations, the source for the 45-states figure. learningpolicyinstitute.org
  • National Center for Education Statistics / Institute of Education Sciences, School Pulse Panel press release, Most U.S. Public Elementary and Secondary Schools Faced Hiring Challenges for the Start of the 2024–25 Academic Year (Oct. 17, 2024) — the source for the hiring-difficulty percentages by school level and subject. ies.ed.gov
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