News & Articles

Graphic courtesy of Madison Public Schools Foundation.

According to many educators, Wisconsin has a serious public school funding crisis. Inflation is only part of the problem. Many years of state funding cuts, and other politically motivated bad policy choices, are the major cause.

The Wisconsin Public Education Network (WPEN) website says “For 16 consecutive years, Wisconsin kids have been given state budgets that have failed to keep pace with inflation. It’s time to end the cycle of inadequate funding and restore our commitment – and our constitutional obligation – to our children.”

Wisconsin Public Radio reports that the five largest public school districts have issued a joint statement asking the state legislature for action.

Their statement says, “Wisconsin urgently needs a bipartisan compromise on school funding. The current stalemate leaves public school districts unable to plan responsibly and pushes local communities to shoulder costs that the state should be sharing” (“Wisconsin superintendents ask Legislature to put politics aside and provide more funding,” WPR, January 26, 2026).

Currently the state budget has a $4 billion surplus. The statement asks the legislature to “do what is right by their constituents, Wisconsin families, and our public schools by investing this historic surplus in our children.”

The Wisconsin Policy Forum (wispolicyforum.org) says, “Spending per pupil by Wisconsin public schools has lagged inflation in recent years and fallen further behind the U.S. average. This is due to a series of policy choices.” (“Wisconsin Education Spending Falls Further Behind National Average,” Wisconsin Policy Forum, Focus #11, July 2025).

According to the Wisconsin Policy Forum, Wisconsin spent $14,882 per-pupil in the 2023 fiscal year and this was 9.9% below the national average of $16,526. More alarming is the longer term data. Adjusted for inflation per-pupil state spending on K-12 education increased only 2.4% since 2002 ($14,522 to $14,882 in 2023). Over this time the national average increased by 21.1%.

Wisconsin’s 2023-25 budget provided $13.9 billion in K-12 public school aid. This was only 31.2% of the state’s general program revenue (GPR). A decade ago schools received 43% of GPR. It was only 14.3% of the $97.4 billion total state budget which included a $1.5 billion reduction in state income and sales taxes.

According to WPEN the recently passed 2025-2027 budget provides no increase in general public school aid. But the state budget again reduces income and sales taxes by another $1.5 billion. Plus under this budget the state will pay $1.8 billion for private school vouchers and independent charter schools. Money for private schools comes from reductions in per-pupil aid to public schools.

For many years state aid for local schools has been inadequate. When state aid goes down local schools have few options. In Wisconsin, school districts are restricted by “revenue limits” imposed by past Republican controlled legislatures.

These spending limits restrict the total amount of money public school districts can spend regardless of the actual needs of the district or students. The cumulative result of these limits has been significant inequality in spending across the state.

The only option has been local referendums to override the spending caps.

In recent years record numbers of school districts have turned to referendums to override state imposed spending limits. In 2025, funding referendums were proposed in 94 school districts and only 56% passed.

So far in 2026, 73 referendums are on local ballots. School districts can seek approval from voters for operating expenses and/or for borrowing for capital improvements.

But even if these referendums pass, they provide only temporary relief. Plus funding schools via referendums exacerbates funding inequality between districts and doesn’t address the systemic problems with inadequate state aid.

With these shortsighted policies Wisconsin is hurting student’s educational opportunities, the state’s future economic prosperity and the quality of life for all Wisconsin residents.

We know businesses look at the quality of local schools when making location and expansion decisions. We know local schools are important to local communities. We know art, music, physical education, libraries, school nurses, counselors and food services promote more creative, successful and healthier students.

We know these programs are cost effective in the long run.

Everyone (except the conservative budget ideologues) wants better opportunities for our children. But without adequate funding, that keeps up with increasing costs, the quality of education can only decline.

Because of reduced state support many districts have been forced to voluntarily increase their property taxes using referendums. When referendums fail, the  only alternatives are to reduce the quality of education with reductions in staff, extra curricular programs, optional course offerings, increases in class sizes and deferred building maintenance.

We also know that property taxes are a regressive tax and, for many reasons, are a bad way to fund public schools. We know that when state support for public schools goes down, property taxes go up (or schools and public education deteriorate).

Historically Republicans have opposed increases in property taxes.

So why does the Republican-controlled legislature refuse to do what is needed for students, our public schools and the state by providing adequate state aid for schools?

Another funding issue is the failure of the legislature to provide adequate support for students with disabilities. The current reimbursement rate for is 29%. Educators want a minimum of 42% reimbursement.

The 2025-2027 budget provides a $500,000 million increase but this is “sum certain” dollars (funding stops when the allocated dollars are spent). This is inadequate to meet the 42% goal or the actual needs. By comparison private school students receive a 90% voucher which is “sum sufficient” (continues to pay based on eligibility regardless of dollars budgeted).

WPEN says at least a 60% sum sufficient reimbursement is needed for public schools to meet the needs of special education students.

We also know there is a proven solution to this crisis.

Under former Republican Governor Tommy Thompson, Wisconsin did a better job of funding public schools. Specifically per-pupil funding increases were tied to the cost-of-living. This provided schools with predictable support.

But cost-of-living adjustments were eliminated in 2009. This was the beginning of the school funding crisis and the 16 years of schools falling father and farther behind. Reestablishing cost-of-living increases is an obvious first step for fixing school funding problems.

Clearly the failure to adequately fund our public schools is a political choice and not a budgetary imperative.

The problem is not excessive school district spending, teacher salaries or teacher and staff unions. In Wisconsin inadequate public school funding is legislative choice.