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Home Education

Tennessee’s Special Education Pre-K Programs Grapple with State Funding Shortfalls

October 20, 2025
in Education
Reading Time: 3 min

Across Tennessee, school districts are struggling to cover the increasing costs of essential special education pre-kindergarten programs for children as young as three. With insufficient federal and no consistent state funding, many are forced to divert hundreds of thousands of dollars from their existing K-12 budgets. A February 2025 analysis highlighted the scale of this challenge, revealing that over 9,900 pre-K students in the state depend on these critical special education services.

Tennessee law requires special education pre-K, but state funding falls short
Tennessee law requires special education pre-K, but state funding falls short

Federal Mandate, State Funding Gap

While federal law clearly mandates that schools provide specialized therapies, additional teachers, and comprehensive support for pre-kindergarten students with developmental delays or disabilities, Tennessee’s funding model tells a different story. The state’s Tennessee Investment in Student Achievement (TISA) Act, enacted in 2022, completely overlooks pre-K students in its funding calculations. This critical omission means state funding only kicks in once children reach kindergarten, leaving local districts to absorb the substantial costs for their youngest, most vulnerable learners.

The Steep Price of Specialized Early Learning

Establishing and maintaining specialized preschool classrooms for children with special needs comes with a hefty price tag, often running into hundreds of thousands of dollars each year for school districts. For instance, the Germantown program incurs annual expenses exceeding $800,000, yet receives a meager $23,000 in state grants. These specialized classrooms typically require a team of dedicated professionals, including a dually certified teacher, two paraprofessionals, various therapists, and sometimes even a nurse, with individual classroom costs ranging from $143,000 to over $200,000 annually. Similarly, the Lakeland School System manages four such classrooms for 34 special education pre-K students and 25 general education peers, facing annual costs over $617,000—funds that largely have to be pulled from other TISA-supported programs.

Stalled Legislative Progress and Ongoing Funding Woes

Despite earnest attempts to modify the TISA formula to encompass special education pre-K students, legislative efforts in the General Assembly have unfortunately stalled. While initial estimates from the legislature suggested a statewide cost exceeding $159 million annually for full funding, many district leaders contend the true amount required is considerably less. Nevertheless, advocates remain firm: what districts truly need is consistent, recurring state funding, not fragmented, one-time grants, to ensure these vital programs can continue to serve their communities effectively.

Clarifying the Distinction: Voluntary vs. Mandated Special Education Pre-K

A key hurdle in securing adequate funding has been persistent state-level confusion. Currently, voluntary pre-K initiatives, designed for at-risk students based on socioeconomic factors, receive a substantial $85 million in state funding. In stark contrast, special education pre-K programs, serving children aged 3-5 with diagnosed developmental delays or disabilities, are legally mandated, not optional. This crucial distinction is often overlooked, with many districts like Germantown and Lakeland not even offering voluntary pre-K, yet still bearing the unavoidable financial burden of their legally required special education classes.

A Call for Sustainable Solutions and Fair Prioritization

District leaders across Tennessee are persistently engaging with state legislators and the governor’s finance team, tirelessly advocating for the proper inclusion of special education pre-K students within the state’s official funding formula. A deep-seated frustration persists among these leaders, who question the state’s allocation of resources to private school voucher programs while legally mandated special education services continue to be critically underfunded.

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