Sweeping cuts at the Department of Education’s Office of Special Education and Rehabilitative Services could reduce federal oversight of local special education programs, according to educators and advocates.

According to Lindsay Wagner, communications director for the nonprofit Education Law Center, nearly the entire staff at the Office of Special Education and Rehabilitative Services were laid off in a reduction in force earlier this month as a part of a “broad effort by this administration to dismantle the Department of Education … and unlawfully flout Congress’ authority.”

The Trump administration has authorized expansive cost-cutting measures at numerous federal agencies since January, prompting dozens of lawsuits challenging the legality of mass layoffs and delays to congressionally approved funding.

The special education office dispenses about $15 billion annually to support state-level special education programs and ensures compliance with the Individuals with Disabilities Education Act, a 50-year-old law that forms the framework of modern special education in America.

The two main provisions of this law are ensuring that children with disabilities receive a free and accessible public education and that they receive their support services in the least restrictive environment possible, according to Appalachia Intermediate Unit 8 Chief Education Officer Amy Woomer.

“That law is very significant in providing protection for our most vulnerable students,” Woomer said.

One of the special education office’s main duties is administering an annual performance review of state special education programs that uses data drawn from public school districts to ensure their compliance with federal law, Woomer said.

This review helps states identify weaknesses in their programs and how to bring them into compliance.

Now, there is uncertainty on whether the Department of Education can or will continue to administer this review in the future due to the effective termination of the special education office, Woomer said.

“It’s hard to say who will do this (review) going forward,” she said.

Woomer does not anticipate an immediate change in the quality or availability of services local students with Individual Education Plans receive since the state Department of Education will continue to provide “robust” support to special education efforts.

The current leadership of the state Bureau of Special Education is capable, experienced and “proud of the work Pennsylvania has done, and very proud of their system,” Woomer said, which is not expected to change due to cuts at the federal level.

“We can assure Pennsylvania students with disabilities and their families and local education agencies that we have the expertise and capacity to continue providing oversight and monitoring without interruption,” said state Department of Education spokeswoman Erin James.

The state Department of Education is, however, concerned about the diminishing capacity of these resources at the federal level, James said in a statement.

The department occasionally relies on federal support for “guidance and assistance,” she wrote, so the newfound lack of capacity in the special education office may hinder this relationship.

“We wish the Trump Administration shared our strong commitment to supporting and protecting students with disabilities, but these changes at the federal level demonstrate clearly that the United States Department of Education under the current administration does not share that priority,” she wrote.

Financial woes

The ongoing state budget impasse is a more immediate issue than the lack of federal oversight, Woomer said.

The Pennsylvania state budget for 2025-26 is now more than 120 days late with no end in sight.

This means that public school districts are forced to dip into their savings in order to provide payroll, supplies and special education services.

As a nontaxing local education agency, IU8 is in a relatively stable financial state since it can rely on its savings for now, Executive Director Thomas Butler said.

With its current cash reserves, IU8 can provide its usual level of services through March 1, 2026.

The real hurdle is for public school districts, Butler said, since the state budget impasse has halted the pass through of over $4 million in federal funding destined for local special education programs.

Without a breakthrough in Harrisburg in the immediate future, these districts would be forced to take out Revenue Anticipation Notes — essentially loans in order to cover their day-to-day operating expenses.

These loans carry an interest rate on the amount due, which the state Department of Education is unlikely to pay even after the impasse is broken, Butler said.

The financial strain of paying back the interest on these loans could be a substantial financial burden on many small districts in central Pennsylvania, who may have to rework their upcoming budget to account for the interest payments.

“That’s the pressing concern,” he said.

The U.S. Department of Education did not return multiple requests for comment.