The education agency overseeing Wisconsin’s K-12 schools said it will maintain operations while the federal government remains shut down, and most federal education dollars will continue to flow to local school districts.
In an email to Wisconsin school district administrators before the Oct. 1 shutdown, officials from the state Department of Public Instruction said federal education funds will largely remain secured. About 8% of Wisconsin school funding comes from federal sources, according to the DPI, which disburses funds to districts.
The U.S. Department of Education already distributed major sources of aid for this year to the DPI in July and August, including “Title” funds supporting teacher training, low-income schools, after-school programs and services for English language learners. The state agency has also disbursed funds to schools for special education programs under the Individuals with Disabilities Education Act.
The DPI said it will continue reimbursing schools for those federal dollars during the shutdown, but a prolonged halt in government services could delay grant allocations that districts would receive in July 2026.
The shutdown may also disrupt Impact Aid payments, which 20 school districts in Wisconsin receive, according to the DPI. The federal program supports school districts serving large numbers of children living on military bases, low-rent housing, Native American reservations or other federal properties.
The federal government issued over $24 million in Impact Aid payments to Wisconsin school districts in the 2025 fiscal year, including districts in Bayfield, Ashland, Tomah and Black River Falls, according to the National Association of Federally Impacted Schools.
Anne O’Brien, the association’s director of communications, said school districts were set to receive partial Impact Aid payments beginning this fall. While a short-term shutdown would have minimal effect on school districts expecting payments, a pause lasting weeks could hit high-need schools particularly hard, O’Brien said.
“It’s really going to start to hurt if it lasts awhile,” she said. “They’re going to have to make tough decisions around where they direct the existing funds that they have.”
The DPI said the agency’s financial services staff will notify affected districts of next steps for Impact Aid.
Another potential concern is federal aid for child nutrition programs, which include school meals. The programs operate on a 30-day reimbursement cycle, according to the DPI. The state education agency said it will pay districts for claims from September and anticipates funding will remain available through December, but officials are awaiting further guidance from the U.S. Department of Agriculture.
“We hope Congress can come together for all of us, especially our children,” the DPI told educational leaders in the email Sept. 30. “We stand with you advocating for solutions to this impasse.”
Reporter Cleo Krejci contributed to this article.
Kayla Huynh covers K-12 education, teachers and solutions at the Journal Sentinel. Reach her at khuynh@gannett.com and follow her on X at @_kaylahuynh. All of her work and coverage decisions are overseen solely by Journal Sentinel editors. Kayla’s position receives support from Kohl Philanthropies and contributions to the Community-Funded Journalism Project. Help continue this reporting with a tax-deductible donation at jsonline.com/support.
This article originally appeared on Milwaukee Journal Sentinel: Some funds to Wisconsin schools may be delayed under federal shutdown