Janesville officials detail $12 million special-education transfers, rising insurance costs and calendar constraints

District leaders told visiting legislators that ongoing special-education obligations and rising benefit costs are squeezing general operations.

"We transferred this year $12,000,000 from Fund 10, which is our operating, to our special education fund," Superintendent Mark Holzman said, describing an annual internal transfer Janesville makes to fully fund special-education services. Holzman and other administrators said state funding increases have helped but do not fully cover the district's special-education costs.

Administrators also described significant health-insurance cost pressures. Holzman noted recent insurance increases of roughly 9% for one plan and larger increases for another, and warned that rising premiums outpace typical compensation increases. "If the new CPI ends up being 3%, and our increase in health insurance is 9%, that's a loss every single year," he said, arguing for state incentives to enable district consortia or pooling to lower loss ratios and premiums.

Board members and district staff also discussed the state rule that limits when districts may begin the school year (Sept. 1 earliest start). Several speakers said the rule constrains calendar flexibility, extracurricular scheduling and the districts ability to create targeted intervention periods outside the regular day for students who need extra help.

What's next: District leaders asked legislators to consider policy adjustments that would help districts manage special-education funding and health-insurance volatility; legislators encouraged continued dialogue and follow-up visits to district schools.